With interest rates unlikely to increase until the end of next year, I believe investors ought to consider skipping savings accounts and put their money to work in the share market instead.
After all, the Australian share market is home to a great number of shares that provide investors with generous fully franked dividends.
Three dividend shares I would consider today are listed below:
G8 Education Ltd (ASX: GEM)
Although this childcare centre operator's shares just hit a two-year high, they still provide a generous dividend yield. G8 plans to pay a fully franked 20 cents per share dividend in FY 2018, equating to a 4.5% yield at the current share price. I expect this dividend could increase in FY 2019 thanks to the recent acquisition of a portfolio of quality childcare and early education centres that are expected to be accretive to earnings.
Japara Healthcare Ltd (ASX: JHC)
I think that Japara is a great way to gain exposure to the ageing population thematic. Thanks to its plan to increase capacity significantly over the next few years, I think this leading aged care provider is in a strong position to grow its earnings at a solid rate in the long-term. While FY 2018 is expected to be relatively flat, I feel the company will reap the rewards of its investments in FY 2019 and onwards. Currently its shares provide a trailing fully franked 6.1% dividend.
Retail Food Group Limited (ASX: RFG)
Year-to-date Retail Food Group's shares are down 36%, leaving them trading at just over 10x trailing earnings. With its shares showing signs that they have bottomed now, I think investors ought to consider snapping them up. Especially considering they provide a very generous trailing fully franked 6.6% dividend.
