Advertisement
UK markets close in 5 hours 41 minutes
  • FTSE 100

    8,445.37
    +64.02 (+0.76%)
     
  • FTSE 250

    20,667.06
    +135.76 (+0.66%)
     
  • AIM

    787.21
    +3.51 (+0.45%)
     
  • GBP/EUR

    1.1622
    +0.0011 (+0.09%)
     
  • GBP/USD

    1.2533
    +0.0009 (+0.07%)
     
  • Bitcoin GBP

    50,372.00
    +1,702.84 (+3.50%)
     
  • CMC Crypto 200

    1,303.93
    -54.08 (-3.98%)
     
  • S&P 500

    5,214.08
    +26.41 (+0.51%)
     
  • DOW

    39,387.76
    +331.36 (+0.85%)
     
  • CRUDE OIL

    79.76
    +0.50 (+0.63%)
     
  • GOLD FUTURES

    2,378.80
    +38.50 (+1.65%)
     
  • NIKKEI 225

    38,229.11
    +155.13 (+0.41%)
     
  • HANG SENG

    18,963.68
    +425.87 (+2.30%)
     
  • DAX

    18,828.13
    +141.53 (+0.76%)
     
  • CAC 40

    8,255.09
    +67.44 (+0.82%)
     

2 Bank Stocks to Buy for Yield and Dividend Growth

Dividend stocks have historically produced better returns over the long term than non-dividend-paying stocks, making them must-haves in all portfolios. With this in mind, let’s take a look at two banks with yields over 4% and track records of dividend growth that you could invest in today.

Canadian Imperial Bank of Commerce

Canadian Imperial Bank of Commerce (TSX:CM)(NYSE:CM) is Canada’s fifth-largest bank in terms of total assets with about $528.6 billion worth as of April 30, 2017. It provides a “full suite of financial products and services in Canada and around the world.”

CIBC pays a quarterly dividend of $1.27 per share, representing $5.08 per share annually, giving it a 4.8% yield. The company has also raised its annual dividend payment for six straight years, and its recent increases, including its 2.4% increase on February 23, have it positioned for 2017 to mark the seventh straight year with an increase.

ADVERTISEMENT

National Bank of Canada

National Bank of Canada (TSX:NA) is Canada’s sixth-largest bank in terms of total assets with about $239 billion as of April 30, 2017. It provides “comprehensive financial services to consumers, small and medium-sized enterprises, and large corporation in its core market, while offering specialized services elsewhere in the world.”

National Bank pays a quarterly dividend of $0.58 per share, representing $2.32 per share annually, giving it a 4.3% yield. It has also raised its dividend for six straight years, and its recent increases, including its 3.6% increase on May 31, have it on pace for 2017 to mark the seventh straight year with an increase.