This morning eligible Wesfarmers Ltd (ASX: WES) shareholders are due to receive the retail conglomerate's fully franked $1.03 per share interim dividend.
While some shareholders will use this as a source of income to live from, others may wish to reinvest it back into the market.
Here are three shares that I would consider investing these funds into:
Dicker Data Ltd (ASX: DDR)
Investors looking for more income in the future might want to consider this founder-led computer software and hardware wholesale distributor. As well as being a generous dividend payer, the company pays its dividend in quarterly instalments. This makes it a great option for income investors in my opinion. In FY 2018 management expects Dicker Data to deliver a 6% increase in earnings and grow its dividend 10% year-on-year to 18 cents per share. This equates to a forward fully franked 6.3% yield based on its current share price.
Nextdc Ltd (ASX: NXT)
I think that investors looking to gain exposure to growth shares ought to consider this data centre operator. Although NEXTDC's shares are looking quite expensive, I remain confident that demand for its world-class centres is growing at such a strong rate that it will easily justify the premium. Especially given how the seismic shift to the cloud and data consumption continues to accelerate.
Rio Tinto Limited (ASX: RIO)
Any investors that want a little exposure to the resources sector could do a lot worse than this mining giant. With the global economy growing strongly, I expect demand for the commodities it produces will remain robust and support favourable prices. This should put Rio Tinto in a position to deliver solid earnings and dividend growth for the next couple of years at least. Another bonus is its sizeable cash balance following its exit from the coal industry. This is likely to be returned to shareholders through dividends and share buybacks.
