reporter2
24-08-21, 19:10
Global dividends seen nearing pre-pandemic levels: report
Aug 24, 2021
GLOBAL dividends are forecast to rise to US$1.39 trillion this year, up slightly from a previous estimate to reflect a stronger than expected recovery in the company payouts, Janus Henderson said in a report published on Monday. Its latest estimate, up 2.2 percentage points from an earlier one, is just 3 per cent below the pre-pandemic peak.
Dividends slumped last year against the backdrop of the Covid crisis as regulatory constraints and government pressures to restrict payments weighed. But a strong recovery is currently underway, with headline growth at 26.3 per cent in the second quarter, data from the investment manager's Global Dividend Index showed. Underlying growth - adjusted for special dividends, changes in currency, timing effects, and index changes - was 11.2 per cent.
On a year-on-year basis, 2021 growth is expected at 10.7 per cent, equivalent to an underlying rebound of 8.5 per cent.
Dividends from companies restarting payments totalled US$33.3 billion and accounted for three-quarters of the underlying growth in the second quarter, the report said.
"Global dividends in aggregate will likely regain their pre-pandemic levels within the next 12 months," Jane Shoemake, client portfolio manager on the global equity income team at Janus Henderson, said in a statement.
Aug 24, 2021
GLOBAL dividends are forecast to rise to US$1.39 trillion this year, up slightly from a previous estimate to reflect a stronger than expected recovery in the company payouts, Janus Henderson said in a report published on Monday. Its latest estimate, up 2.2 percentage points from an earlier one, is just 3 per cent below the pre-pandemic peak.
Dividends slumped last year against the backdrop of the Covid crisis as regulatory constraints and government pressures to restrict payments weighed. But a strong recovery is currently underway, with headline growth at 26.3 per cent in the second quarter, data from the investment manager's Global Dividend Index showed. Underlying growth - adjusted for special dividends, changes in currency, timing effects, and index changes - was 11.2 per cent.
On a year-on-year basis, 2021 growth is expected at 10.7 per cent, equivalent to an underlying rebound of 8.5 per cent.
Dividends from companies restarting payments totalled US$33.3 billion and accounted for three-quarters of the underlying growth in the second quarter, the report said.
"Global dividends in aggregate will likely regain their pre-pandemic levels within the next 12 months," Jane Shoemake, client portfolio manager on the global equity income team at Janus Henderson, said in a statement.