Later today eligible Australia and New Zealand Banking Group (ASX: ANZ) shareholders will be paid the banking giant's fully franked 80 cents per share interim dividend.
Whilst some investors will use these funds as a source of income to live from and others may take advantage of the bank's dividend reinvestment plan, I'm sure many investors will look to reinvest these dividends bank into the share market this week.
Here's where I would invest the funds:
Altium Limited (ASX: ALU)
If you're looking to make a long-term investment in a company that could grow materially over the next decade then I think Altium would be a great option. It is an award-winning printed circuit board (PCB) design software provider which has exposure to the fast-growing Internet of Things market. The Internet of Things is a term used for everyday items that are connected to the internet such as fridges, televisions, and security cameras. As PCBs are found in almost all connected devices, demand for its software is expected to continue increasing at a strong rate for a long time to come. I expect this to lead to exceptionally strong earnings growth as it scales.
Scentre Group (ASX: SCG)
If you're interested in turning those dividends into even more dividends in the future then you could do a lot worse than this real estate investment trust. Scentre Group is the company that owns all the Westfield buildings in Australia and New Zealand. I think these are some of the highest quality retail properties in the region and you only need to look at its traffic numbers and occupancy rate to see why. In the first quarter of FY 2019 the company revealed an occupancy rate of 99.3% and an increase in customer visits to 535 million. In light of this, management expects the company to grow its FFO by ~3% this year and pay a distribution of 22.6 cents per share. This equates to a forward 5.9% distribution yield.
