Income Majors 2019 

Glencore: high yield, higher risk

Glencore: high yield, higher risk

The mining industry was in a slump when Glencore (GLEN) chief executive Ivan Glasenberg and co decided to cut the then-heavily-geared company’s dividend in 2015. This was a hefty haircut for Mr Glasenberg, an 8.6 per cent shareholder, and his now-retired copper boss Telis Mistakidis, who holds 3.2 per cent. Both men, and fellow Glencore billionaires Alex Beard and Tor Peterson also pitched in to the equity raise to pay down massive debts. Commodity cycles move on, however, and with most commodities once again on a profitable footing, the dividend was back up to 20¢ a share in 2018.

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