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National Australia Bank goes ex-dividend

National Australia Bank (ASX: NAB) is now trading ex-dividend.

Helped by solid growth in its personal lending business, NAB had raised its interim dividend by 3c to 93c a share.

On another tough day for the S&P/ASX All Ordinaries Index (Index: ^AXAO) (ASX: XAO), in late afternoon trade, including the 93c interim dividend, NAB shares have fallen $1.40 on the day to trade around $29.15.

NAB shares now trade on a fully franked dividend yield of around 6.3%.

That may appear juicy, especially when compared to the RBA cash rate of 2.75%, but as we’ve recently pointed out, on numerous occasions, banks are not a one-way bet, especially as slower economic growth is likely, and a recession is possible.

That advice has come home to roost in recent weeks, with ANZ (ASX: ANZ), Commonwealth Bank (ASX: CBA), NAB and Westpac (ASX: WBC) down 11%, 5%, 11% and 6% respectively in May alone.

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Bruce Jackson has an interest in ANZ, CBA and WBC.

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