You can quite comfortably get a 5.5 per cent dividend in an equity portfolio in Australia, while overseas a 2 per cent dividend yield is a very good outcome. So increasingly people are looking at Aussie equities for their dividend income and franking, and globally for growth.
When looking for income in Australia, investors should look at infrastructure, listed property trusts for example, some good quality industrial names, the big four banks, Woolworths
(ASX:WOW), consumer staples, as they all contribute to a good healthly dividend income stream throughout a cycle.
Even industrial companies like Ansell (ASX: ANN) or Brambles
(ASX:BXB) and Insurance companies like QBE
(ASX:QBE) generally pay out higher dividends relative to their peers offshore. But the big four banks (ANZ
(ASX:ANZ), CBA
(ASX:CBA), NAB
(ASX:NAB) and Westpac
(ASX:WBC)) very much stand out as they pay a very high and reliable dividend, again versus their peers offshore.
