There are many investors out there who buy ASX 200 shares just for the dividends. And fair enough too. Receiving passive income from shares can help fund a retirement, boost a portfolio's returns in times of market turmoil and give an investor cash in the bank to buy even more shares.
But investing for dividends is not without risk. Just because a company pays out a healthy dividend one year does not mean it will continue to do so in the next.
So let's take a look at some of the highest yielding ASX dividend shares on the S&P/ASX 200 Index (ASX: XJO) as it currently stands. You may notice that all 6 of these ASX 200 shares come from one of two industries…
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6 ASX 200 dividend shares offering top yields today
Pendal Group Ltd (ASX: PDL)
Fund manager Pendal is first up today. This company has had a rough few months, falling by almost half since September last year. The silver lining though is that Pendal's dividend yield now tops 9% on current pricing, 9.03% to be exact. That comes from this ASX 200 company's last two dividends, totalling 42 cents per share, which was an increase on the 37 cents per share Pendal forked out in 2020.
Platinum Asset Management Ltd (ASX: PTM)
Another fund manager Platinum is next up. Platinum is one of the ASX's old souls in funds management, having started its operations back in the 1990s. Like Pendal, it has been suffering recently, falling more than 55% over the past 12 months.
But given Platinum (as of this Friday) will have forked out 22 cents per share in fully franked dividends over the past year, its dividend yield now sits at 10.19%.
Rio Tinto Limited (ASX: RIO)
ASX 200 mining giant Rio has always been well-known for its dividends. But especially so in recent years as record commodity prices, particularly in iron ore, have fuelled record dividends. Even after Rio's near-7% rise in 2022 so far, the mining giant still has a dividend yield of 10.22% on current pricing, replete with full franking.
BHP Group Ltd (ASX: BHP)
The same high commodity prices that have fuelled Rio's recent share price gains have also lifted BHP. BHP shares have risen more than 7.6% so far this year. But that hasn't brought the Big Australian's dividend yield down to earth by any means. BHP still has a 10.51% yield on the table as it currently stands.
Magellan Financial Group Limited (ASX: MFG)
Magellan has been one of the worst-performing ASX 200 shares of the past year. This once-venerated fund manager has struggled with the temporary departure of its star stock picker Hamish Douglass, as well as chronic fund underperformance and an exodus of funds under management.
However, Magellan's near-70% drop over the past 12 months has pushed its dividend yield up to a staggering 16.42% on current pricing. That's franked at 75% as well. Interestingly, Magellan paid out its highest-ever interim dividend earlier this month.
Fortescue Metals Group Limited (ASX: FMG)
Another ASX 200 iron ore giant rounds out our list today. Fortescue shares have benefitted from the same tailwinds as BHP and Rio recently, although the company's share price performance hasn't been as impressive. Fortescue has dropped more than 16% over the past year, which includes a 13.8% drop in 2022 thus far. Saying that, this has also ratcheted up the dividend yield currently attached to Fortescue shares. Get ready for this one, Fortescue now has a yield of 17.36% on the table today, which also comes fully franked.
However, it is worth noting that the interim dividend of 86 cents per share that the miner will pay out at the end of this month is a big drop from last year's interim dividend of $1.47. If Fortescue's final dividend later this year doesn't match 2021's whopping final payment of $2.11, we can expect a drop in this yield.
