Although the Reserve Bank opted not to cut rates yesterday, I don't think it will be long before the central bank takes the cash rate down to a new record low of 1.25%.
In light of this, I think this low interest rate environment is likely to stick around for some time to come.
But don't worry because I've named three top dividend shares which can help you overcome low rates. They are as follows:
National Australia Bank Ltd (ASX: NAB)
One of my favourite options in the banking sector right now is National Australia Bank. I think its shares are trading at a very attractive level and still offer one of the more generous dividends on the Australian share market despite its recent cut. At present NAB's shares offer a trailing fully franked 7% dividend yield. Another bonus is that it isn't too late to be eligible for its interim 83 cents per share dividend. NAB's shares will trade ex-dividend for this dividend next week on May 14.
National Storage REIT (ASX: NSR)
National Storage is one of the leading self-storage operators in the Australia and New Zealand market. It provides tailored storage solutions to over 50,000 residential and commercial customers across its network of 146 centres. Thanks to improving operational performance, centre acquisitions, new developments, and expansions, the trust reported a 17.4% increase in underlying earnings to $26.3 million in the first half of FY 2019. Management appears confident in its outlook and sees plenty of room for growth in a highly-fragmented storage industry. I believe this bodes well for its distribution which already offers a very generous forward yield of between 5.6% and 5.8%.
Rural Funds Group (ASX: RFF)
I think Rural Funds could be a great option for income investors. The agriculture-focused real estate property trust owns a portfolio of high quality assets across different climatic zones and industries. I believe this portfolio, their long term leases, and management's use of rental indexation means the fund is well-placed to grow its distribution at a steady rate over the next decade. At present its units offer income investors a 4.8% forward distribution yield.
