What would you rather….? Part II

Last time DividendWatch discussed how investors might weigh up the competing claims of immediate yield versus future growth in dividends. We asked, what would you rather…   Company A: yielding 6%, growing its dividend at 2%   or Company B: yielding 2% but growing its dividend at 6%?   We demonstrated that it would take 30

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What would you rather….?

“Do you know the only thing that gives me pleasure? It’s to see my dividends coming in”. Most modern income fund managers, whilst quietly agreeing with these words attributed to John D Rockefeller, would perhaps add that a growing dividend is especially pleasurable. To that end, most income investors seek out companies that provide a

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Do UK income investors have anything to fear from rising rates?

Baby steps The Bank of England has now increased interest rates in both of its last two meetings, taking base rates to 0.5%. The 10 year gilt yield has also moved up and is now over 1.0%. These are still vanishingly thin levels of interest by any standard. The UK equity market yields much more

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