If you're looking for a source of income in this low interest rate environment, then you may want to consider investing in one of the many dividend shares on offer on the ASX.
Two high yield ASX dividend shares that I feel are in the buy zone are listed below. Here's why I like them:
Aventus Group (ASX: AVN)
The first high yield ASX dividend share to look at is Aventus. It is the largest fully integrated owner, manager, and developer of large format retail parks in Australia. It currently owns a total of 20 centres, which are home to some of the biggest retailers in the country. This includes the likes of Bunnings, The Good Guys, Officeworks, and Aldi.
The popularity of its centres with consumers, combined with its high weighting towards every day needs, appears to have led to Aventus being less impacted by the pandemic than many of its rivals. As a result of this, Goldman Sachs recently forecast Aventus paying a ~17.3 cents per unit distribution in FY 2021. Based on the latest Aventus share price, this equates to a very generous forward ~8% distribution yield.
Commonwealth Bank of Australia (ASX: CBA)
Another high yield ASX dividend share to consider buying is Commonwealth Bank. Its shares have been hammered this year because of the pandemic and are down significantly from their 52-week high. While a decline in the CBA share price is not unwarranted due to the expected increase in bad debts, I think the selling has been way overdone.
In light of this, I think now could be a good time for income investors to consider a patient investment in its shares. I continue to expect Commonwealth Bank to cut its dividend down to ~$3.70 per share in FY 2021. Based on the current Commonwealth Bank share price, this means its shares potentially offer a forward fully franked yield of 5.1%.
