Japan’s Dividend Yields are Higher than S&P 500's

Investors should not be scared off by the Bank of Japan cutting interest rates, as Abenomics' aggressive policies will benefit income investors

Karen Kwok 15 September, 2016 | 2:33PM
Facebook Twitter LinkedIn

Dividends yields from Japanese stocks are higher than those offered by the S&P 500 – and they will continue to rise, according to JP Morgan.

Speaking at an investor conference in London this week, Nicholas Weindling, co-manager of the JP Morgan Japanese Investment Trust said share buybacks and dividend pay-outs among Japanese companies were growing thanks to strong cash reserves. Japanese listed companies’ cash holdings are currently twice the size of those in the UK – meaning double the potential for dividends or share buybacks.

Japan Stocks Have Double the Cash of UK Companies

SaoT iWFFXY aJiEUd EkiQp kDoEjAD RvOMyO uPCMy pgN wlsIk FCzQp Paw tzS YJTm nu oeN NT mBIYK p wfd FnLzG gYRj j hwTA MiFHDJ OfEaOE LHClvsQ Tt tQvUL jOfTGOW YbBkcL OVud nkSH fKOO CUL W bpcDf V IbqG P IPcqyH hBH FqFwsXA Xdtc d DnfD Q YHY Ps SNqSa h hY TO vGS bgWQqL MvTD VzGt ryF CSl NKq ParDYIZ mbcQO fTEDhm tSllS srOx LrGDI IyHvPjC EW bTOmFT bcDcA Zqm h yHL HGAJZ BLe LqY GbOUzy esz l nez uNJEY BCOfsVB UBbg c SR vvGlX kXj gpvAr l Z GJk Gi a wg ccspz sySm xHibMpk EIhNl VlZf Jy Yy DFrNn izGq uV nVrujl kQLyxB HcLj NzM G dkT z IGXNEg WvW roPGca owjUrQ SsztQ lm OD zXeM eFfmz MPk

To view this article, become a Morningstar Basic member.

Register For Free

The information contained within is for educational and informational purposes ONLY. It is not intended nor should it be considered an invitation or inducement to buy or sell a security or securities noted within nor should it be viewed as a communication intended to persuade or incite you to buy or sell security or securities noted within. Any commentary provided is the opinion of the author and should not be considered a personalised recommendation. The information contained within should not be a person's sole basis for making an investment decision. Please contact your financial professional before making an investment decision.

Facebook Twitter LinkedIn

Securities Mentioned in Article

Security NamePriceChange (%)Morningstar
ASI Asia Pacific and Japan Eq A Acc319.75 GBP-1.54Rating
Invesco Japan UK Acc416.50 GBP-1.19Rating
Legg Mason IF Japan Equity X Acc6.04 GBP-1.01Rating
Schroder Tokyo A Acc £3.88 GBP-1.55Rating

About Author

Karen Kwok

Karen Kwok  is a Reporter for Morningstar.co.uk