This month, readers are continuing to enjoy Dwaine van Vuuren’s compilation of consistent dividend growers listed on the JSE - our number one most popular post. This article links up very neatly with post #4 by Stephan Maritz and Ian Stiglingh on why you should invest in dividend-paying shares. The four reasons they give for favouring these shares - backed up by data, of course - are certainly compelling.
Stephan Maritz’s article on his top five share picks for this year makes a comeback in May, which suggests investors may be looking at a quarterly rebalancing of their portfolios. If you’re thinking of adjusting yours, why not have a look at his original selection for suggestions?
Like Stephan, Mark Mayer also has two posts amongst the five most popular this month. In our number three spot, Mark updates readers on the South African residential property sector, looking at issues that continue to trouble the sector and what investors can expect in the near future. Then in post #5, Mark pulls together the various responses of SA’s top three balanced fund managers to questions about their performance in Q1:2018, their opinion on the local outlook, and on the recent volatility in global markets.
Without further ado, here are our top 5 posts for May:
Summary: Why local investors should favour companies with a consistent history of increasing dividends.
Key quote: "Since , a portfolio of dividend paying stocks out-performed the portfolio of non-dividend paying stocks by a factor of over 3.3 times, which translates into a 1.48% total return advantage each year."
Summary: Stephan Maritz’s choice of five shares expected to outperform this year.
Key quote: "What I looked for is a combination of shares that are trading at a significant discount to their NAV (or target price) or that I believe will outperform their sector peers, and are in sectors that I believe will perform well in 2018."
Summary: A look at real returns of SA property, the slowing of property price growth in the Western Cape, and positive home loan developments.
Key quote: "According to home loan originator Ooba’s "oobarometer", the first quarter of 2018 represented the highest home loan approval rate in over ten years. The approval rate came in at 76.9%, a healthy increase of almost 5% over the first quarter of last year."
Summary: The top four reasons why investors favour dividend-paying shares, and why including them in your portfolio can add resilience in difficult financial markets.
Key quote: "A company’s ability and willingness to pay dividends speaks volumes about its quality."
Summary: A comparison of the views and outlook of the top three balanced fund managers in SA.
Key quote: "We believe the current momentum is in favour of a continuation in the improvement of global growth dynamics as underlying global economic fundamentals remain strong - global growth has accelerated, is synchronised and self-sustaining in our view."
Natalie Mayer is an independent writer and editor with 12 years’ experience. She has a B.Com in Economics (UCT) and a Master’s in Sustainable Development (University of Stellenbosch) and has worked for a number of high-profile clients, such as the United Nations Educational, Scientific and Cultural Organization (UNESCO), Nedbank, the Sustainability Institute, Counterpoint Asset Management, Pearson Education, and of course, Sharenet - to name a few. Natalie has written and edited research papers, textbooks, print and online articles, and website content on a vast array of topics, including finance and money matters, education, property, social and environmental issues. She is passionate about communication that meets the needs of the audience, and her particular strength is to bring clarity to text.