Although the narrowing of the yield-gap and the falling AUD has fuelled the departure of foreign carry-traders, CIMB believes that the yield-theme remains...

Although the narrowing of the yield-gap and the falling AUD has fuelled the departure of foreign carry-traders, CIMB believes that the yield-theme remains strong. The broker reports that the net yield on CIMB's top-20 preferred Australian yield-stocks is still 190bps above the rate on ten-year government bonds. Interestingly, Macquarie's yield-model has shown that, since 2010, stocks providing a positive dividend surprise have outperformed the market by an average of 3% in the following quarter and 6% in six-months. Macquarie expects the following stocks to provide a positive dividend surprise in August: Carsales.com (CRZ), Flight Centre (FLT) and Breville (BRG).


Livewire News brings you a wide range of financial insights with a focus on Global Macro, Fixed Income, Currencies and Commodities.

Expertise

No areas of expertise

I would like to

Only to be used for sending genuine email enquiries to the Contributor. Livewire Markets Pty Ltd reserves its right to take any legal or other appropriate action in relation to misuse of this service.

Personal Information Collection Statement
Your personal information will be passed to the Contributor and/or its authorised service provider to assist the Contributor to contact you about your investment enquiry. They are required not to use your information for any other purpose. Our privacy policy explains how we store personal information and how you may access, correct or complain about the handling of personal information.