Which UITF would be primarily aimed at generating steady income through interest payments?

A Fixed Income Fund is primarily aimed at generating steady income through interest payments. This type of UITF invests in securities that pay a fixed rate of return, such as government bonds and corporate bonds. Investors typically seek these funds for their predictable income streams, which are generated from the interest that these securities yield.

Fixed Income Funds tend to have lower volatility compared to equity-oriented options, making them suitable for investors looking for stability and consistent cash flows, particularly those in retirement or those who require regular income. The focus on interest-bearing assets aligns perfectly with the goal of generating steady income over capital appreciation.

Other fund types, such as Equity Funds, primarily invest in stocks with the objective of capital growth rather than stable income. Balanced Funds combine both equity and fixed income assets but may not focus solely on income generation. Money Market Funds, while also seeking stability and liquidity, typically invest in short-term securities and provide lower income compared to Fixed Income Funds, which have longer durations and potentially higher yields.