Here on the ASX, it's very easy to find a dividend-paying share that doles out its shareholder payments every six months. That's the norm for ASX dividend shares, with everything from Commonwealth Bank Bank of Australia (ASX: CBA) and BHP Group Ltd (ASX: BHP) to Telstra Group Ltd (ASX: TLS) and Coles Group Ltd (ASX: COL) on this bi-annual payment schedule.
Although rarer, it's not uncommon to see ASX dividend shares on our markets that fork out dividend payments every three months too. Quarterly dividend payers that you might know include Rural Funds Group (ASX: RFF) and the Vanguard Australian Shares Index ETF (ASX: VAS).
But monthly dividend payers? They're almost as rare as hen's teeth on the ASX.
Almost.
There are only a handful of investments on the ASX that pay out dividends to their investors 12 times a year.
Let's discuss three of them today.
3 ASX dividend shares that pay cash monthly
Metrics Master Income Trust (ASX: MXT)
The Metrics Master Income Trust is a listed investment trust (LIT). It invests not in a portfolio of other ASX dividend shares, but in a portfolio of corporate loans and private credit investments. This could offer investors seeking some diversity of income an alternative investment that prioritises income stability and pays monthly dividends.
Over the past 12 months, the Metrics Master Income Trust has paid out 12 dividends that total 16.03 cents per share (unfranked). This gives this LIT a trailing yield of 7.93% at current pricing. Overall, investors have enjoyed an average return of 6.29% per annum from this investment over the past five years (as of 28 February).
BetaShares Dividend Harvester Active ETF (ASX: HVST)
Now, we turn to an ASX exchange-traded fund (ETF). As an ETF, HVST is not a dividend share in itself, but an investment that represents a portfolio of underlying dividend shares. This portfolio is constructed in a way that allows the fund to own a dividend share until it trades ex-dividend. After this happens, the share is sold in order to fund the purchase of the fund's next dividend share. This process is known as 'dividend harvesting'.
Some of HVST's current holdings include Woodside Energy Group Ltd (ASX: WDS), Westpac Banking Corp (ASX: WBC), and Aristocrat Leisure Ltd (ASX: ALL).
As you might have guessed, this ASX ETF pays out a dividend every single month. Over the past 12 months, HVST's dividend total has come to 85.5 cents per unit, giving this ETF a trailing yield of 6.51% at current pricing. Investors have enjoyed an average return of 8.01% per annum since this ETF's inception in 2022 (as of 28 February).
Plato Income Maximiser Ltd (ASX: PL8)
Finally, we have a listed investment company (LIC) to dive into with Plato Income Maximiser. Unlike the other investments on this list, Plato is a bona fide company, as well as an ASX dividend share. Like most LICs, it holds a portfolio of underlying investments, which it manages on behalf of its shareholders.
This portfolio consists of ASX dividend shares selected for their income-paying prowess. It includes heavy hitters like Westpac, CBA, and BHP, as well as other income stocks like Ampol Ltd (ASX: ALD), Super Retail Group Ltd (ASX: SUL), and Yancoal Australia Ltd (ASX: YAL).
The monthly dividends that Plato has forked out over the past 12 months amount to a total of 83.76 cents per share. All 12 of these payments came with full franking credits attached, too. This gives Plato shares a trailing yield of 5.16% today. Since this LIC's inception in 2017, investors have banked an average return of 9.8% per annum (as of 28 February).
