The Fund adopts a total return approach, using income as the engine This is in stark contrast to underperforming absolute return strategies We believe DIF’s approach makes it a reliable core holding Capital markets were challenging to navigate in 2020, but it was possible to deliver a positive return primarily driven by resilient income; the Diversified Income Fund (DIF) did so for an eight consecutive year, offering protection during weaker markets in addition to upside participation; this versatility is down to three core elements of its philosophy. The Fund adopts a total return approach, using income as the engine of performance; our process is straightforward but effective, enabling us to protect against the downside; and finally, our process is aided by the ability to invest across a wide variety of asset classes with a flexible toolkit. DIF’s performance is in stark contrast to absolute return strategies which – despite their goal of delivering positive returns irrespective of market conditions – have performed poorly in recent years; such funds are often complex and open to excessive volatility, in our view.