With the cash rate at a record low and likely to go even lower next week, I think income investors should consider looking beyond term deposits and savings accounts to the high quality dividend shares on offer on the ASX.
Three top dividend shares that I would buy this week are listed below:
Aventus Group (ASX: AVN)
Aventus Group is a fully integrated owner, manager, and developer of large format retail centres. As of its last update, the property fund owned a total of 20 retail parks across Australia. Demand for its properties from some of the biggest retailers in the country has been strong, leading to the company recently reporting a 98.5% occupancy rate. In fact, 16 out of its 20 properties are enjoying 100% occupancy rates. Given the recent election result, things are looking good for the retail sector and the housing market. I think this bodes well for Aventus and believe it is well-positioned to continue growing its property income and distribution for the foreseeable future. Its units currently provide a trailing 7.25% distribution yield.
Telstra Corporation Ltd (ASX: TLS)
Although this telco giant's shares have recently hit a 52-week high, I don't think it is too late to invest. This is because I believe Telstra is well-placed to grow its underlying earnings at a modest rate over the next few years thanks to cost-cutting opportunities, the launch of 5G, improving mobile average revenue per user (ARPU), and the ACCC's decision to block the merger between TPG Telecom Ltd (ASX: TPM) and Vodafone Australia. I expect the company to pay a full-year dividend of 16 cents per share this year and in FY20, which equates to a fully franked 4.5% dividend yield.
Westpac Banking Corp (ASX: WBC)
Due to its attractive valuation, generous yield, the favourable election result, and the improved outlook for the housing market, I think now could be a good time to consider an investment in this banking giant's shares if you don't already have meaningful exposure to the sector. At present, Westpac's shares offer a trailing fully franked 6.7% dividend yield, which is significantly higher than the market average of ~4%.
