Todor Kostov's avatar
$5.3m follower assets
Top 20 set to pay over 70% of FTSE 100 dividends
According to AJ Bell, "Just ten stocks are forecast to pay dividends worth £42.8 billion, or 54% of the forecast total for 2022. The top 20 are expected to generate 72% of the total index’s pay-out, at £57.3 billion."


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Source: AJ Bell

https://www.ajbell.co.uk/articles/investmentarticles/254997/ftse-100-dividends-forecast-hit-new-record-2023-slowing-profit
FTSE 100 dividends forecast to hit new record in 2023 but slowing profit growth and recession pose a threat | Friday 13 Jan 2023
AJ Bell
FTSE 100 dividends forecast to hit new record in 2023 but slowing profit growth and recession pose a threat | Friday 13 Jan 2023
After the index’s autumn rally and cuts to analysts’ dividend forecasts, the FTSE 100 is now expected to yield 3.8% in 2022. | Thursday 12 Jan 2023
Nathan Worden's avatar
This further adds evidence to the idea that certain companies directly cater to investors who want a dividend, and become known for their dividend. Once that is part of your identity, it's very hard to switch away from that. Which is why you get the dynamic where most of the dividends come from a small group of comapnies.
Todor Kostov's avatar
@nathanworden Well, it's one way to allocate capital by distributing it to shareholders. Shouldn't forget also that pension funds and mutual funds depend on these dividends as well.

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