At present, Commonwealth Bank of Australia (ASX: CBA) is offering term deposits with interest rates of 0.60% per annum on amounts over $50,000 for five years.
This is broadly in line with what you'll find from the rest of the big four banks right now.
Luckily for income investors, the Australian share market is home to a number of shares that offer yields many times greater than this.
Two ASX dividend shares which provide investors with yields eight times larger are listed below. Here's what you need to know about them:
Aventus Group (ASX: AVN)
Aventus is the owner and operator of 20 large format retail parks across Australia. It counts major retailers such as ALDI, Bunnings, Officeworks, and The Good Guys as tenants. This is good for two reasons. Not only does this mean it has a high occupancy level, these tenancies give the company's centres a high weighting towards everyday needs. This has proven to be a real blessing during the pandemic and allowed Aventus to collect the majority of its rent as normal in FY 2020.
Analysts at Goldman Sachs have just reiterated their buy rating and $2.76 price target on its shares. It notes that Aventus has a quality portfolio with opportunities outside the box with its land bank. Based on the latest Aventus share price, the broker estimates it offers a forward 5% dividend yield.
Telstra Corporation Ltd (ASX: TLS)
The 2010s were a difficult decade for this telco giant because of the NBN rollout. The good news for shareholders is that the NBN rollout is close to complete and the headwinds from this are easing notably. So much so, last week the company revealed that it is aiming to return to growth in FY 2022. It is also planning to split into three separate entities, with the aim of taking advantage of potential monetisation opportunities for its infrastructure assets.
In light of this, a number of brokers, such as Goldman Sachs and UBS, are now convinced Telstra will pay a 16 cents per share dividend in FY 2021 and FY 2022. Based on the current Telstra share price, this equates to a fully franked 5.1% dividend yield.
