UK-based investment manager Schroders has unveiled a new high income fund of funds with monthly distribution from equities, bonds, property securities and income from volatility.

The Managed Monthly High Income Fund aims to have unchanging monthly distribution and a potential yield of 5.5 per cent or more per annum.

The fund will invest in a selection of Schroder Maximiser funds and the firm’s fixed Income unit trusts. It will be co-managed by Thomas See, head of structured fund management and responsible for Schroders’ Maximiser fund range, and Gareth Isaac, senior fixed income portfolio manager.

Schroders’ structured fund management team manages about £1.4 billion ($2.25 billion) in its Maximiser income enhancement strategies.