Join our community of smart investors

Can investors bank on FTSE 100 dividends?

Dividend reinvestment can be a profitable long-term investing strategy but does the FTSE 100 provide a suitable hunting ground for it?
Can investors bank on FTSE 100 dividends?

With many bonds and savings accounts offering little or no income to their holders - in some cases they are being asked to pay for the privilege of investing their cash - many investors have turned to shares instead. In an income starved world, the current dividend yield on the FTSE 100 index seems very attractive to income seekers but only if the dividends themselves are sustainable. This week, I’m going to have a look at the safety or otherwise of FTSE 100 dividends.

The attractions of dividend investing

There are many different ways to invest. However, dividend investing has many things going for it, which perhaps have been neglected in recent years given the soaring share prices of perceived quality growth shares.

To continue reading...
  • Read 3 articles for free each month
  • Educational articles and topical investment guides
  • In-depth podcast episodes by our writers and industry professionals
  • Interactive live webinars on investment themes that matter
Have an account? Sign in