The income risk investors need to be aware of

For income-seeking investors, the UK stock market has a rich dividend heritage. However, an important thing to bear in mind is the highly concentrated nature of UK dividends. In 2024, figures from Computershare show that the top 15 dividend stocks accounted for 59% of all UK dividend payments.

To discuss the issue of concentration risk for income-seeking investors backing the UK market, Kyle is joined by Eric Moore, manager of Slater Income fund. Moore explains how he navigates this income risk, and why he adopts a total return approach to investing in dividend-paying companies.

On The Money is an interactive investor (ii) podcast. For more investment news and ideas, visit www.ii.co.uk/stock-market-news.

Kyle Caldwell is Collectives Editor at interactive investor.

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