What is the best way for investors to generate income today? – The National

What is the best way for investors to generate income today? – The National

While many companies are slashing dividends amid Covid-19, others are standing by their payouts. In the UK, FinTech financial services provider Link Group calculates that 30 per cent of all dividends will temporarily disappear, and that could rise to 50 per cent if the crisis drags on, costing investors about £50 billion (Dh183bn).. Those who continue to pay dividends can offer incredible yields, with oil giants BP and Royal Dutch Shell yielding 10.6 per_cent and 10.2 per_cent respectively.. Yields are calculated by dividing the dividend by the share price, so when the share price falls, the yield rises today's dizzying rates of income.. Shell has an unparalleled record of never cutting its dividend since the Second World War, and Mr Mould says we will find out more when it reports its first quarter results on Tuesday.. Michael Bolliger, who heads the emerging markets asset allocation team at UBS Wealth Management, says that just because a company is still paying its dividend, doesn't automatically mean that the underlying business is healthy. ". While a highly valued feature, paying a dividend when revenue plummet and cash flow is dwindling can be the wrong decision," he says.. If you buy individual stocks your