Guess which 3 ASX 200 shares are among the top 10 dividend payers in the world

Income shares are gaining more attention as growth shares are struggling.

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Key points

  • Three ASX 200 dividend shares count among the world's biggest payers in 2021
  • Soaring commodity prices saw global mining stocks return record cash to shareholders
  • The mining industry is highly cyclical

The S&P/ASX 200 Index (ASX: XJO) has slipped into the red, down 0.89% at the time of writing after managing to post gains of some 0.4% in the morning.

ASX 200 shares have struggled this year, faced with the prospect of rising interest rates and soaring geopolitical tensions.

And as investors mull the potential that the big post-pandemic sell-off growth years may be behind us, the focus on dividends is making a comeback.

But did you know that 3 ASX 200 shares count among the top 10 dividend-paying stocks in the world, according to data sourced from Janus Henderson?.

Even better for investors, their dividends are fully franked, decreasing (or potentially negating) investors' tax burdens on the payouts.

To be clear, we're talking about total dividend payouts by the company in dollar terms. This doesn't, as you'll see below, equate to dividend yields.

So, without further ado…

ASX 200 shares in the top-10 global dividend category

Leading the charge as the world's top dividend payer in 2021 is iron ore giant BHP Group Ltd (ASX: BHP).

At the current share price, BHP pays a dividend yield of 9.9%, fully franked.

Our next ASX 200 share, and the No. 3 dividend payer in the world in 2021, is Rio Tinto Limited (ASX: RIO).

Rio also paid out some special cash dividends during the year. At the current share price, Rio Tinto pays a trailing dividend yield of 7.5%, fully franked.

And the 10th  biggest dividend payer on Earth in 2021 is fellow ASX 200 share and iron ore miner, Fortescue Metals Group Limited (ASX: FMG).

With Fortescue's share price the only one among these three to have declined in 2022, its trailing dividend yield currently stands at 15.8%, also fully franked.

Highlighting the strength of the global mining industry in 2021, Janus Henderson noted:

Record payments from the miners meanwhile reflected the strength of their profits. The mining sector distributed US$96.6 billion over the year, almost double the previous record set in 2019 and ten times more than during the slump in 2015-16. However, as a highly cyclical sector their distributions will return to more normal levels when the commodity cycle turns.

It's worth taking note of the cyclicality of the sector.

It's also worth noting that the yields mentioned above are trailing yields. There is no guarantee yields will match these in 2022.

How have these 3 miners been performing?

Atop its juicy, world-beating dividends, the BHP share price is up almost 13% in 2022.

Rio Tinto's share price has gained 13% over that same time, while Fortescue's shares have slipped 7% year-to-date.

By comparison, all the ASX 200 shares taken together are down around 7% this year.

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.

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