If you're wanting to beat low interest rates in 2021, then you might want to look at the dividend shares listed below.
They offer investors attractive yields that are vastly superior to term deposits and savings accounts. Here's what you need to know about them:
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BWP Trust (ASX: BWP)
The first ASX dividend share to look at is BWP Trust. It is a commercial property company with a focus on Bunnings Warehouse sites. At the last count, it owned a total of 68 properties that were leased to the home improvement giant, making it the largest Bunnings landlord.
Thanks to the strong demand for home improvement products due to a redirection in consumer spending and government stimulus, Bunnings has proven to a fantastic tenant for BWP. It has enjoyed high occupancy rates and been able to collect its rent as normal this year.
This led to BWP reporting a 6% increase in profit during the first half, allowing the BWP board to reaffirm its plans to pay a full year distribution of ~18.3 cents per share. Based on the current BWP share price, this equates to a 4.35% dividend yield.
Rural Funds Group (ASX: RFF)
Another ASX dividend share to consider is Rural Funds. It is an Australian agricultural property company with a portfolio of high quality assets.
These properties are leased to some of the biggest players in the agricultural sector on long term agreements. And with these leases including periodic rental increases, the company is well-positioned to deliver on its target of 4% growth in its distribution each year.
In FY 2022, Rural Funds intends to reward its shareholders with a distribution of 11.73 cents per share. This will be up 4% on FY 2021's distribution. Based on the current Rural Funds share price of $2.42, this will mean a yield of 4.8%.
