On Tuesday the Reserve Bank of Australia will meet to discuss the cash rate once again. As with the previous 21 meetings, the general consensus is that rates will be held at the record low of 1.5% for another month.
In fact, economists at Westpac Banking Corp (ASX: WBC) think this will be the case until as late as 2021.
With that in mind, I feel savers would be better off turning to the share market for a source of income. Here are a couple of top dividend options I would consider:
National Storage REIT (ASX: NSR)
National Storage is a real estate investment trust with a focus on self-storage assets. I felt that the trust delivered a strong result in August when it posted a 12.5% increase in underlying earnings to $51.4 million. This solid growth was driven by a combination of the expansion of its self-storage centre network and a rise in its occupancy levels. The good news is that there appears to be a meaningful opportunity for the trust to grow its centre network even further in the future due to the overall market being highly fragmented. I expect this to underpin growth in earnings and its distribution for many years to come. At present National Storage's shares offer a trailing distribution yield of approximately 5.6%.
WAM Capital Limited (ASX: WAM)
WAM Capital is one of my favourite listed investment companies (LIC). This LIC provides Australian investors with exposure to an actively managed diversified portfolio of undervalued growth companies. The company's strategy has been very effective over the last few years and has led to solid earnings and dividend growth. So much so the company lifted its full-year dividend for the ninth year in a row last month. The board declared a 7.75 cents per share final dividend, bringing its full year dividend to 15.5 cents per share. This equates to a trailing fully franked 6.2% dividend. Judging by the performance of its funds so far this year, I suspect the company will make it a decade of dividend increases in FY 2019.
