It looks as though 2020 will be the year that the cash rate drops to a record low of 0.5%.
This is likely to weigh on interest rates further, pushing them to even low levels over the next 12 months.
In light of this, if you're an income investor, I would suggest you consider these ASX dividend shares ahead of term deposits and savings accounts.
Aventus Group (ASX: AVN)
Aventus is the largest fully integrated owner, manager and developer of large format retail centres in Australia. It currently owns a portfolio of 20 centres valued at $2.1 billion. Through this portfolio it has a diverse tenant base of 590 quality tenancies, with national retailers representing 87% of its total portfolio. Demand for tenancies has been strong, putting Aventus in a position to deliver modest income and distribution growth in the coming years. At present I estimate that its shares offer a forward 5.9% distribution yield.
Accent Group Ltd (ASX: AX1)
Accent Group is the footwear-focused retail group behind chains such as Athlete's Foot, HYPE DC, and Platypus. The company also owns the exclusive rights to a number of popular global footwear brands in the Australian market including Dr Martins and Timberland. It has been performing very positively in recent years and looks well-placed for FY 2020. As a result, I estimate that its shares offer a forward fully franked 4.6% dividend yield.
National Australia Bank Ltd (ASX: NAB)
It has been another difficult year for the big four banks due to a series of industry scandals. Whilst this is disappointing, I feel the selloff that has ensued has left the big four trading at attractive levels. My favourite in the group at present is NAB. I think it was the strongest performer on an underlying basis in FY 2019 and looks well-placed to continue this form in the new financial year. Especially given the improving housing market and its overweight exposure to business banking. At present NAB's shares offer an estimated forward fully franked 6.5% dividend yield.
