Sign In  |  Register  |  About Los Altos  |  Contact Us

Los Altos, CA
September 01, 2020 1:26pm
7-Day Forecast | Traffic
  • Search Hotels in Los Altos

  • ROOMS:

Janus Henderson Global Dividend Index: US Dividend Growth in Q1 Reaches Post-Pandemic Low

  • US dividends increased 4.8% on an underlying basis during the first quarter, the slowest rate of growth since the post-pandemic recovery began
  • Despite higher interest rates, the US real estate sector was the largest contributor to dividend growth during the quarter
  • 97% of US companies raised their dividend payments or held them steady
  • Globally, dividends jumped 12.0% on a headline basis to a Q1 record of $326.7bn – boosted by the largest contribution from special dividends in nine years
  • Global underlying growth was 3.0%
  • Banks, oil producers and vehicle manufacturers were significant drivers of Q1 global growth

US dividend payments increased 4.8% on an underlying basis during the first quarter of 2023, according to the latest Janus Henderson Global Dividend Index. On a headline basis, which includes special dividends, exchange rate effects and other technical factors, US dividends climbed 8.3% to a record $153.4bn during the quarter. Over a third of the $9.8bn distributed in special dividends in the US came from the booming oil sector, but the largest was distributed by Ford Motor, which used strong free cash flow to fund the one-off payment.

Globally, dividends are off to a strong start to 2023 on the back of booming special dividends. The headline total rose 12.0% to a first-quarter record of $326.7bn. Underlying growth was significantly slower at 3.0%.

One-off special dividends at highest level since 2014

One-off special dividends of $28.8bn globally were the second highest on record (after Q1 2014). Ford and Volkswagen accounted for almost a third of the world’s Q1 special dividends. Headline payouts from the vehicles sector were ten times larger year-on-year as a consequence. One-off special dividends also made a significant impact on the transport, oil and software sectors.

Growth from banks and oil companies offset by falling mining dividends

The sharp decline in mining sector payouts globally, driven down one fifth by lower commodity prices, was almost exactly offset in Q1 by the strong positive contribution to growth from banks and oil companies. Most sectors delivered single-digit growth and there were relatively few weak spots. Globally, 95% of companies either raised dividends or held them steady in Q1.

Janus Henderson now expects total dividends for 2023 of $1.64 trillion1 globally, equivalent to a headline increase of 5.2% for the year and underlying growth of 5.0%2.

Ben Lofthouse, head of global equity income at Janus Henderson said: “Q1’s strong dividend growth is all the more impressive considering that 2022 was a difficult year for the global economy with high inflation, rising interest rates, conflict and continuing Covid lock downs. This growth illustrates the fact that dividends are generally less volatile than earnings. We do expect dividend growth to slow as a result of these factors but should nevertheless continue in line with the long-term trend this year.”

To receive a copy of the latest Janus Henderson Global Dividend Index, click here.


1 Up from $1.60 trillion in January

2 Up from 3.4% in January

Notes to editors

Our headline growth rate describes the change in the total dollar amount paid by companies compared to the corresponding quarter each year. Our underlying figure adjusts for the distortion that can be caused by one-off special dividends, changing exchange rates, the effect of companies entering and leaving the global top 1,200 that comprise our index and the impact of changes in payment dates. The latter two tend to be negligible over the course of a whole year at the global level, though they can have a greater impact in any one quarter, geography or sector.

About Janus Henderson

Janus Henderson Group is a leading global active asset manager dedicated to helping investors achieve long-term financial goals through a broad range of investment solutions, including equities, fixed income, multi-asset, and alternative asset class strategies.

At 31 March 2023, Janus Henderson had approximately US$311 billion in assets under management, more than 2,000 employees, and offices in 24 cities worldwide. Headquartered in London, the company is listed on the NYSE and the ASX.

Source: Janus Henderson Global Dividend Index & Factset, April 2023

References made to individual securities do not constitute a recommendation to buy, sell or hold any security, investment strategy or market sector, and should not be assumed to be profitable. Janus Henderson Investors, its affiliated advisor, or its employees, may have a position in the securities mentioned.

This press release is solely for the use of members of the media and should not be relied upon by personal investors, financial advisers or institutional investors. We may record telephone calls for our mutual protection, to improve customer service and for regulatory record keeping purposes. All opinions and estimates in this information are subject to change without notice

Issued by Janus Henderson Investors. Janus Henderson Investors is the name under which investment products and services are provided by Janus Henderson Investors International Limited (reg no. 3594615), Janus Henderson Investors UK Limited (reg. no. 906355), Janus Henderson Fund Management UK Limited (reg. no. 2678531), Henderson Equity Partners Limited (reg. no. 2606646), (each registered in England and Wales at 201 Bishopsgate, London EC2M 3AE and regulated by the Financial Conduct Authority) and Janus Henderson Investors Europe S.A. (reg no. B22848 at 2 Rue de Bitbourg, L-1273, Luxembourg and regulated by the Commission de Surveillance du Secteur Financier). Henderson Secretarial Services Limited (incorporated and registered in England and Wales, registered no. 1471624, registered office 201 Bishopsgate, London EC2M 3AE) is the name under which company secretarial services are provided. All these companies are wholly owned subsidiaries of Janus Henderson Group plc. (incorporated and registered in Jersey, registered no. 101484, with registered office at 13 Castle Street, St Helier, Jersey, JE1 1ES). Janus Henderson Investors (Australia) Limited ABN 47 124 279 518 is not under any obligation to update this information to the extent that it is or becomes out of date or incorrect.

Janus Henderson, Knowledge Shared and Knowledge Labs are trademarks of Janus Henderson Group plc or one of its subsidiaries. © Janus Henderson Group plc.


Data & News supplied by
Stock quotes supplied by Barchart
Quotes delayed at least 20 minutes.
By accessing this page, you agree to the following
Privacy Policy and Terms and Conditions.
Copyright © 2010-2020 & California Media Partners, LLC. All rights reserved.