Investment Watch: Matt Morris's verdicts on recent developments

Tender Mercies The Investment Association has reduced the amount funds have to pay out to qualify for classification within its UK Equity Income sector. The trade body will now require funds in this sector to yield at least 100% of the yield of the FTSE All-Share index over a rolling three-year period. Previously these funds had to pay at least 110% of the index. The new rules will take effect from 3 April. Verdict: Promising lead The Money Pit Advisers and their clients should be wary of the quality of some of the high yield bonds currently being issued, Kames Capital has warned....