The best and worst markets for Asian income

Asian income is a game of two halves, with the region dividend between cash hoarding markets and those with an established dividend culture. Margaret Weir, investment director at Eastspring Investments spells out the best and worst markets - including the world's worst offender.

Asian income: A game of two halves There are two sides to the Asian income story. As economies continue to recover, there is a decent cyclical tailwind for payouts to continue and grow as companies increase their earnings streams. But there is also a more important fundamental shift in Asian corporate culture, as the benefits of paying dividends is becoming better recognised by local corporations. In the 1990s, less than 50% of the region’s stocks paid dividends. That number is now 90%, at an average payout ratio of around 40%. Since 1999, investors may be surprised to learn tha...