If you’re looking for income and to diversify your portfolio with less volatile assets, a good option could be infrastructure. But many of the investment trusts focused on this asset are trading at what look like high premia to net asset value (NAV). This means that you need to make a judgement call on whether to invest now in the hope that the trusts you are considering can continue to do well, or watch and wait.
Lags rising equity markets
Infrastructure trusts also invest in a number of different areas, meaning that you need to do a considerable amount of research to establish which ones you want to hold, and to be well diversified you may need to hold more than one.