We’ll get 7.8% yield from ASX this year, says investment pro

Dividend shares were out of favour last year as the COVID-19 pandemic hit. Businesses roundly cut yields to preserve capital for tough times.

That made life difficult for older investors, who rely on yield for their day-to-day income.

“It’s been near impossible for retirees to generate any sort of meaningful income from cash in the bank or bonds for a number of years now and when dividends were slashed throughout 2020, I think many would have been facing the prospect of drawing down capital to keep the lights on,” said Plato Investment Management managing director Dr Don Hamson.

But as this year began, experts predicted dividend stocks…