"During the financial crisis a lot of companies suspended or cut their dividend payments. During 2008 the top 10 dividend payers in the UK were responsible for more than 65pc of the total income paid of the FTSE 100 index. The concentration reached a peak when BP suspended its dividend after the Gulf of Mexico oil spill," she said.
"Although global income funds faced similar issues they still had a much larger universe to choose from. Asia in particular saw far fewer dividend cuts than Europe, Britain and the US."
Asia not only suffered least during the credit crisis, but has seen healthy levels of dividend growth in the past two years. Mr Dennehy said that dividend growth is dictated by earnings, and one region that has experienced the greatest earnings growth ? and is expected to continue to lead global growth ? is Asia.
He picks Newton Asian Income managed by Jason Pidcock as the best way to gain exposure to the region. Invested in equites from across the Asia Pacific, the fund is a third exposed to financials, with industrials, telecoms, oil and gas and technology stocks making up the bulk of the rest.
Closer to home, Europe is presenting income seekers with a growing number of options. The cyclical sectors offer the greatest dividend growth opportunities. Ms Schemmann likes banks, insurance companies, industrials and telecoms. She picks Deutsche Telekom, SKF, Atlas Copco and Zurich Finance.
Though it has historically proved difficult for US fund managers to beat their index, income seekers should not write the region off. "In another example of the UK's limitations: the US boasts 92 companies that increased dividends every year for the past 25 years ? there are just five in the UK," said Mr Dennehy. He picks M&G Global Dividend fund as the best way to exploit this potential.
He added that the global story was not just for pure income seekers either. " 'Go where the dividends grow' is a very important mantra for UK-based investors, even those focused on growth," he said. "Seventy per cent of long-term returns for the stock market are derived from reinvested dividends. Therefore if 'growth' investors sidestep equity income funds, they immediately start with a disadvantage."
As with any overseas investing, currency risk is a concern. Gains made on a US stock could be eaten up by currency conversion. But Ms Schemmann said a good fund manager can play this to their advantage. "Currency obviously plays a role when buying overseas stocks, but it can be a benefit as well as a risk. There are some fully hedged funds which counter any currency losses."
Even if you invest in a fund with a currency hedge, going global is about exposure to international markets, not swapping out of domestic stocks entirely. Peter Lawery, co-manager of the Jupiter Merlin suite of funds, said UK investors should diversify thematically rather than be hung up on geography. "You have to get to the 16th largest stock in the FTSE 100 before you get to a domestically focused company ? and that is Tesco, which is a huge overseas growth story," he said. "It is more important to ensure you have thematic diversity than to insist on overseas stocks and introduce currency risk."
For those wishing to keep their exposure to the UK stock market, Mr Dennehy likes Psigma Income and Rathbone Income. "There are some great pockets of value in the UK, which can be exploited, but there are multiples more overseas," he said.
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