the FTSE 250 index The index is home to a large number of mutual funds, a few of which pay dividends. Here, I want to highlight two that I think investors interested in passive income should delve into.

High quality infrastructure assets

Let’s start with 3i infrastructure (LS E: 3 inches). This investment fund has stakes in 12 assets covering areas including energy networks, fiber broadband and transport infrastructure. These generate long-term cash flows, which are often linked to inflation, supporting predictable income.

Given this stability, the forward-looking dividend yield is not particularly high at 3.8%. However, 3i Infrastructure has generated 14% annual returns since going public nearly 20 years ago. So this is a high-quality income institution.

Now, one of the risks here is that the portfolio is quite concentrated. For example, it has a significant 16.5% weighting towards TCR Group, Europe’s largest independent manager of airport ground support equipment. So, if TCR issues arise, this will be a problem for 3i’s infrastructure.

However, in the six months to September 30, total income and non-income cash rose 18%, leading to a 6.3% increase in confidence in annual profits. The long-term earnings growth prospects look very strong.

Currently, investors can purchase fund shares at a very attractive discount of 9.2% to net asset value (NAV).

Our largest investment, TCR, continues to beat expectations and deliver significant value growth. We remain confident in the long-term growth potential of the portfolio. The company is on track to achieve results ahead of its target return for this financial year. 3i infrastructure.

Income from Asia

Head east now with Schroder Eastern Income Fund (LSE:SOI). I find the investment proposition of this trust attractive: “Asian companies are increasingly becoming global leaders and returning cash to shareholders. The Schroder Eastern Income Fund aims to capitalize on the Asian income story and help investors diversify their earnings“.

Top holdings here include Taiwan Semiconductor Manufacturing Co., Ltd (TSMC), Samsung Electronicsand Singapore Telecom. It also has a few Australian dividend stocks including Telstra Group (Australia’s largest telecom provider).

The stock price is up 20% since the beginning of the year. Despite this, the trust still offers a decent initial yield of 3.7%.

Of course, investors will have to take the long view here, as US tariffs are not ideal for many Asian companies in the near term. There could be some volatility in 2026 if trade tensions flare up again.

Again, I see this trust as having strong earnings growth prospects. By 2050, emerging Asia could account for more than 50% of global growth. Additionally, with holdings such as leading chip foundry TSMC and China netease (The power of video games), I think the stock price will be good too.

The Schroder Oriental Income Fund currently trades at a roughly 5% discount to NAV.

Wacky takeaway

As mentioned earlier, these two companies don’t have huge 10%+ returns like other funds in the FTSE 250 today. However, through a combination of growth and income, I believe they can build wealth within a diversified ISA portfolio.