3 small ASX shares with big dividend yields

These ASX shares might not be large, but they have big dividend yields.

| More on:
asx dividend shares represented by tree made entirely of money

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Some ASX shares have relatively small market capitalisations but they are capable of having quite high dividend yields.

The below businesses have yields that are higher than the market average:

360 Capital REIT (ASX: TOT)

360 Capital is a real estate investment trust (REIT) which invests in a wide range of property-related assets.

It has invested in a few different ASX shares in recent times. Peet Limited (ASX: PPC) is a residential developer that delivers master planned communities, medium density housing and apartments. Another investment was Irongate Group (ASX: IAP), which is a diversified real estate investor and it also has a third-party funds management platform.

360 Capital has also bought half of PMG Group, a New Zealand commercial real estate funds management business.

The forecast distribution guidance for FY21 is 6 cents per security, which translates to a forecast yield of 6.25%.

Pengana Capital Group Ltd (ASX: PCG)

Pengana is a fund manager that runs a number of different strategies including ASX shares, international shares and private equity. The company said that it's looking to diversify over time by adding new strategies.

In the six months to December 2020, the ASX share said that funds under management (FUM) increased by 15% thanks to both investment performance and net inflows. All of its strategies outperformed their respective benchmarks for the period. The fund manager said that it's growing FUM on higher margin products.

The Pengana Property Securities Fund was one of the latest products to be launched.

In the half-year result, Pengana grew its interim dividend by 25% to 5 cents per share. That brought the trailing annual payment to 9 cents per share, translating to a grossed-up dividend yield of 8%.

In the latest monthly FUM update, Pengana said its FUM had increased from $3.7 billion to $3.8 billion.

Pacific Current Group Ltd (ASX: PAC)

Pacific is an asset management ASX share that aims to partner with exceptional investment managers. It combines capital (offered through different economic structures) with strategic business development to help those investment managers grow.

Some of its investments include GQG, ROC, Carlisle, Proterra and Victory Park. Those were the ones that saw elevated inflows in the three months to 31 March 2021. It also acquired a stake in Astarte Capital Partners. In that same quarter, it experienced 8.9% organic FUM growth.

Over the last 12 months, Pacific Current has paid an annual dividend of $0.35 per share. That equates to a grossed-up dividend yield of 8.9%.

Tristan Harrison owns shares of PACCURRENT FPO. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Dividend Investing

A woman standing in a blue shirt smiles as she uses her mobile phone to text message someone
Dividend Investing

Buy Telstra and these ASX dividend shares next week

Analysts are expecting good yields from these shares.

Read more »

Five happy young friends on the coast, dabbing and raising their arms in the air.
Dividend Investing

5 ASX 200 shares that boosted their dividends this earnings season

These five popular ASX 200 blue chip shares just gave investors a dividend pay rise.

Read more »

A man wearing only boardshorts stretches back on a deck chair with his arms behind his head and a hat pulled down over his face amid an idyllic beach background.
Dividend Investing

How are these passive income investors still earning a 14% dividend yield on Woodside shares?

Woodside reduced its final dividend payout, but some investors are still making hay.

Read more »

Three women dance and splash about in the shallow water of a beautiful beach on a sunny day.
Dividend Investing

Passive income watch: The ASX stocks dishing out the biggest dividend boosts this earnings season

Income investors are delighted with these 9 ASX shares and their boosted dividends this earnings season.

Read more »

A retiree relaxing in the pool and giving a thumbs up.
Dividend Investing

If I were entering retirement tomorrow, I'd buy these ASX shares

These are strong businesses with impressive dividend credentials.

Read more »

A man sits bolt upright watching something intently on his television.
Dividend Investing

34 ASX 200 shares with ex-dividend dates next week

Do you own any of the 34 stocks set to cut off dividend eligibility next week?

Read more »

Woman refuelling the gas tank at fuel pump, symbolising the Ampol share price.
Energy Shares

Why is the Ampol share price tumbling 5% on Friday?

The Ampol share price is taking a big fall on Friday.

Read more »

Close up of woman using calculator and laptop for calculating dividends.
Dividend Investing

Morgans says these ASX dividend stocks are buys

Here's what the broker is saying about these shares.

Read more »