If you're looking for a source of income in this low interest rate environment, then the share market is a great place to start.
There are a large number of shares on the ASX that offer dividend yields that smash the interest rates on offer with other interest-bearing assets.
Three that I think would be great options for income investors are listed below:
Accent Group Ltd (ASX: AX1)
I think Accent Group could be a good option for income investors. Although trading conditions in the retail industry are tough, this hasn't stopped this footwear-focused retail group from delivering solid profit and dividend growth. I'm confident there will be more of the same in FY 2020 thanks to the popularity of its Athlete's Foot, HYPE DC, and Platypus stores with consumers. I estimate that its shares offer a forward fully franked 4.7% dividend yield.
Scentre Group (ASX: SCG)
Another dividend share to consider buying is Scentre. It is the property company behind the Westfield shopping centres in the ANZ market. These centres have hundreds of millions of customer visits each year, which hasn't gone unnoticed with retailers. Its tenancies are demand with the nation's biggest retailers, leading to a sky high occupancy rate. Thanks to this, I believe Scentre is in a position to grow its distribution at a modest rate in the coming years. At present its units offer a trailing 5.9% distribution yield.
Westpac Banking Corp (ASX: WBC)
If you're looking for exposure to the banks, then it could be worth considering an investment in Westpac. Although trading conditions remain tough in the sector, I believe the recent improvement in the housing market will lead to mortgage loan growth in the coming years. This should support its earnings and dividends in the coming years. Another positive is its generous yield. Even after factoring in a dividend cut in FY 2020, I estimate that its shares offer a forward fully franked 6.3% dividend yield.
