4 Investments Raise Dividends and Offer 5%-Plus Yields
By: Ned Piplovic,
Four equities boosted their dividends 5.4-96.7% to supplement 5%-plus yields.
Each of the equities increased its annual dividends during last two years. In addition to the rising dividends and robust yields, the four investments offered their shareholders a bonus of double-digit percentage capital appreciation during the last year.
One of the ex-dividend dates is on February 13, 2017 and the remaining three are on February 24, 2017. The investment and their dividend yields are shown below.
BlackRock Corporate High Yield Fund, Inc (NYSE:HYT)
BlackRock Corporate High Yield Fund is a fixed income fund with current income as its primary objective. The trust invests at least 80% of its assets, directly or through derivatives, in high-yield securities such as high-yield bonds, corporate loans, convertible debt securities and preferred securities which are below investment grade quality.
The BlackRock fund raised its monthly dividend 37% from last month’s $0.051 payout to the $0.70 amount announced this week. The current annualized payout of $0.84 yields 7.6%. That yield is slightly lower than its 8.8% five-year average, but the fund has increased its dividend for the last two years.
The share price rose almost 20% between the 52-week low in February 2016 and the beginning of November 2016. Like the overall market at that time, the price dropped 10%, but recovered subsequently to reach a new 52-week high on January 27, 2017. The current share price closed on February 3, 2017, at $11.05, which is only 1.1% below last week’s peak and 21% above the low from last February.
Blue Capital Reinsurance Holdings Ltd. (BCRH)
Through its subsidiaries, Blue Capital Reinsurance Holdings Ltd., provides collateralized reinsurance in the property catastrophe market.
The current quarterly dividend of $0.59 is nearly 97% higher than the $0.30 payout from its previous quarter. The company has increased its annual payout every year since starting to pay a dividend in 2014. Including the currently announced distribution, the company’s trailing 12-month dividend yield is 6.4%.
Over the last year, the share price experienced a significant amount of volatility. The price reached $19.39 in February 2016, before plunging almost 12% by July. Between July and mid-December 2016, the company’s share price went through four significant up-and-down cycles, before settling to a steady growth towards a new 52-week high of $19.90 on February 2, 2017.
Brookfield Property Partners LP (NYSE:BPY)
Brookfield Property Partners owns and operates commercial properties in North America, Europe, Australia and Brazil. BPY has interests in office and retail properties, multi-family units and industrial space. Additionally, the company invests in commercial real estate mortgages, as well as distressed and under-performing real estate assets and businesses.
The partnership pays a quarterly dividend and its annual payout of $1.18 is equivalent to a 5.2% yield. Since starting to pay a dividend in 2013, BPY boosted its payout every year. The total dividend payout for 2017 appears to be on target to raise its dividend for a fifth consecutive year.
BPY’s share price rose 33% between its 52-week low of $18.69 in February 2016 and the 52-week high of $24.98, which it reached on June 23, 2016. After June, the share price receded 16% by mid-November. Afterward, the share price recovered and closed at $22.90 on February 3, 2017, which is only 8.3% short of the 52-week high and 23% higher than the low from last February.
Brookfield Infrastructure Partners LP (BIP)
Brookfield Infrastructure Partners L.P. owns and operates electricity transmission lines, rail, motorways, port terminals, communications infrastructure, as well as transportation, storage, and handling services for freight, bulk commodities and passengers. Its service area spans North America, South America and Europe.
The current quarterly dividend of $0.435 is 10.6% higher than its previous payout of $3.93. The annual dividend of $1.74 a share converts to a 5% yield. Since 2009, the partnership has paid a rising annual dividend every year.
The company’s share price showed a steady growth with minimal volatility since the 52-week low of $22.31 last February. After a minor dip of 7% in November, the company’s share price continued to rise and reached the 52-week high of $36.27 on January 17 ,2017. As of closing on February 3, 2017, the price was $35.31, which is 2.6% lower than the recent high and 58% higher than its low price for the past 52 weeks.
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Ned Piplovic is the assistant editor of website content at Eagle Financial Publications. He graduated from Columbia University with a Bachelor’s degree in Economics and Philosophy. Prior to joining Eagle, Ned spent 15 years in corporate operations and financial management. Ned writes for www.DividendInvestor.com and www.StockInvestor.com.