‍Profits are a matter of opinion; dividends are a matter of fact

Are dividends still relevant in today’s investing landscape? In our upcoming webinar with Guinness Global Investors, host Arifa Essop will explore the answer to this pivotal question as well as the enduring power of dividends in equity investing.

Guest speaker and portfolio manager at Guinness, Ian Mortimer, will share insights on how dividends have continued to deliver their gradual but potent contribution to long-term total returns.

This session is ideal for financial advisers interested in an opportunity to capture a potentially growing income stream.

More about the Webinar

The power of dividends from equity investing has not diminished. We will highlight how dividends have, in fact, continued delivering their gradual but potent contribution to long-term total returns, and mitigating the effects of both market falls and inflation.

During this webinar, we will investigate the ability of dividends to:

• Both instil and indicate efficient capital management in mature businesses
• Provide a simple but powerful stock selection guide for total return investors
• Deliver a proportion of total return that grows considerably over the life of an investment
• Deliver an even greater proportion of total returns in periods of low growth
• Deliver an income stream that is much more consistent than company earnings

When looking over the long term, dividends’ contribution to total return is compelling. We believe investors should continue to focus on companies which can maintain and grow their dividends over time.

Investors should also recognise that it’s not just the blue-chip stalwarts which pay a dividend. Over the last ten years we have seen more companies in ‘non-traditional’ income sectors such as Information Technology initiate dividends. These ‘new’ dividend-paying companies can also provide the investor with the ability to capture a potentially growing income stream, which acts to further compound many of the positive effects such as inflation hedging, or the benefits of compounding over the long term.