Research finds dividends could cushion blows from an uncertain 2019

European companies to pay record amounts

Jayna Rana
clock • 2 min read

Dividends are set to provide investors with a welcome cushion from expected volatility amid political uncertainty this year, according to new research from Allianz Global Investors.

The 2019 outlook remains uncertain due to the current political backdrop with Brexit and a number of key national elections looming.  Furthermore, government bond yields in many countries are hovering in negative territory and are therefore at an "insufficient level to preserve capital". As a result, investors are more reliant on dividend payouts and according to AllianzGI's Dividend Report 2019, these "look set to remain an important anchor for investors [this year]". The study found European companies are looking the most attractive, having contributed to around 41% of total retu...

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