Six income ideas for your Investment ISA

These income funds could be considered for your ISA portfolio, depending on your personal risk appetite.

Here, I highlight six funds that produce an income and could be considered for your ISA portfolio, depending on your own personal risk appetite. Please note that yields may fluctuate and are not guaranteed.

1. City of London Investment Trust: 4.7% yield*

City of London (LSE:CTY) invests in UK companies. It has increased its dividend payment every year for more than 50 years and has been run by its current manager, Job Curtis, since 1991. His thorough research process and conservative approach has generated steady returns over an extremely long period of time. Maintaining dividend income is of utmost importance to the trust’s board and the result is a consistent, reliable and growing yield. Ongoing Charge (OCF):0.41%

2. Artemis Global Income: 3.25% yield*

Artemis Global Income invests in companies from all over the world, including in emerging markets. The manager, Jacob de Tusch-Lec, seeks out well-run, well-capitalised and growing companies that offer investors sustainable and rising dividends. He tries to identify stocks or sectors that are out of fashion, but where he believes there may be a catalyst for change. The fund's income comes from three sources: quality, value or cyclical yield ideas. The manager can vary the proportion of these, as the business cycle evolves. OCF: 0.8%

3. Invesco Monthly Income Plus: 5.28% yield*

Invesco is widely considered to be one of the UK's best bond houses and this is its flagship fund. Run by two very experienced managers, Paul Causer and Paul Read, Invesco Monthly Inc Plus has the flexibility to invest in any type of bond and, unlike many of its rivals, it can also invest up to 20% in UK equities. The fact that it always has a higher yield than most of its competitors and that it is paid monthly also makes it attractive. OCF: 0.72%

"The fund not only has lots of eggs, it also has lots of baskets"

4. Time: Commercial Freehold: 4.25% yield*

Time: Commercial Freehold is slightly different to your standard 'bricks and mortar' property fund. It acquires commercial freehold ground rents (typically 60 years-plus and often inflation protected) and commercial freehold property, which it also lets for long periods (15 to 40 years). Tenants are normally responsible for all the property-related costs during their occupation. The long leases provide a stable backdrop and the fund has very low volatility. It is lowly correlated to fixed income and equities and even its own peer group, so could also be an excellent diversifier. OCF: 1.29%

5. VT Gravis UK Infrastructure Income: 5.44% yield*

VT Gravis UK Infrastructure Income invests mainly in investment trusts exposed to different types of UK infrastructure, from railways and roads to GP surgeries and solar power. Not only can it invest in infrastructure equities, but also in infrastructure debt. It offers exposure to a less volatile and higher-yielding area of the UK economy, and I’ve been a fan since it launched just over three years ago. It is well diversified and offers investors some protection against rising inflation. OCF: 0.75%

6. Premier Multi-Asset Monthly Income: 5.02% yield*

If you would like a one-stop-income-shop, Premier Multi-Asset Monthly Income is worth a look. It invests in income-producing funds and trusts in different asset classes, doing the job of income-diversification for you. As its manager, David Hambidge, says: "Not only does the fund have numerous eggs, it also has lots of baskets." This fund delivers a high yield, which is paid monthly. OCF: 1.25%

*Source: FE Analytics, fund fact sheets, as at 30 November 2018

Past performance is not a reliable guide to future returns. You may not get back the amount originally invested, and tax rules can change over time. Darius's views are his own and do not constitute financial advice.

Darius McDermott is managing director at Chelsea Financial Services and FundCalibre.

Full performance can be found on the company or index summary page on the interactive investor website. Simply click on the company's or index name highlighted in the article.