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The International High Dividend Vue is a concentrated share portfolio of high conviction positions in 10 rigorously analysed and carefully selected stocks from developed and emerging markets designed to deliver investors a steady income stream.

Every quarter our Investment Team conducts a thorough review of this portfolio, taking into account recent earnings and related news flow, and provides our investors with an update on its performance and any changes made to the Vue.

Overview

Macrovue’s International High Dividend Vue has returned +3.80% over the past year (1 May 2017 – 30 Apr 2018). The Vue has a current running yield of +8.09% (as of 17 May 2018).

As a means of comparison, the ASX 200 generated a total return of +5.46% over the same period.

Some of the top contributors to performance were:

  • Deutsche Pfandbriefbank AG (ETR:PBB): +34.26%
  • Zurich Insurance Group AG (VTX:ZURN): +15.22%
  • Vodafone Group plc (LON:VOD): +6.49%

Top 3 international high-dividend shares in the last 12 months

Zurich Insurance Group AG

Analysts believe that CEO Mario Greco is making progress in his mission to make Zurich a simpler, leaner, more accountable and business-focused organization. A comparatively modest $700 million net loss from hurricanes Harvey, Irma and Maria illustrates the advances made in reducing the volatility of Zurich's business.

Life operations are also making good progress and the insurer is investing in digital technology to become more customer focused. Sustainable and more consistent earnings will be key to Zurich's ability to raise the dividend.

Greco re-joined Zurich as CEO on March 7, 2016. He was formerly CEO of Global Life at Zurich Insurance from 2008-10, and head of its general-insurance business from 2010-12 before leaving to head Generali.

Zurich Insurance Group's acquisition of ANZ OnePath Life parachutes the company into top position in the Australian individual-life market by in-force share. It also takes it to No. 6 in the group-life market.

The acquisition extends Zurich's focus on capital-light protection and unit-linked life and savings business and creates another strong bancassurance partnership. While Zurich is paying about 1x embedded value, the transaction is expected to be immediately accretive to earnings and cash.

Expanding Zurich's life business makes sense as it helps reduce overall earnings volatility via higher life income.

Deutsche Pfandbriefbank AG

Deutsche Pfandbriefbank AG plans to Issue Additional Tier 1 Capital. The company plans to issue a perpetual subordinated bond with a total nominal amount of up to EUR300 million.

The instrument will comply with applicable regulatory requirements for AT1 under the EU Capital Requirements Regulation (CRR), thereby qualifying in full as additional tier 1 capital.

If Deutsche Pfandbriefe’s Common Equity Tier 1 (CET1) ratio falls below a threshold of 7.0%, the bond's terms and conditions provide for a temporary write-down of the nominal amount.

The threshold of 7.0% is based on a consolidated basis in accordance with IFRS - or additionally in accordance with German GAAP on a single-entity basis, should the company no longer be exempt from determining regulatory ratios on a single-entity basis.

Vodafone Group plc

Recently Vodafone announced it had entered the Internet of Things (IoT) consumer market with the launch of its “V by Vodafone” product which will enable consumers to connect millions of home and leisure electronics products to the Group’s dedicated global IoT network which is the largest of its kind in the world.

IoT technologies bring Internet-connected network intelligence to a wide range of devices at work, home and on the move. Analyst estimates suggest that by 2020 there will be more than 370 million consumer electronics and smart home devices capable of connection to mobile IoT networks in the countries in which Vodafone operates, up from around 50 million today.*

“V by Vodafone” is a new and simple system for consumers to connect and manage IoT devices. It has a product range that includes a connected car dongle, a 4G security camera, a pet location and activity tracker and a bag location tracker.

Vodafone’s consumer IoT strategy will build upon the company’s extensive track record in developing and implementing enterprise IoT technologies. Vodafone has over 59 million IoT connections and an international network and services platform for a wide range of business-critical applications.


Important: This content has been prepared without taking account of the objectives, financial situation or needs of any particular individual. It does not constitute formal advice. Consider the appropriateness of the information in regards to your circumstances.

Past Performance is not a reliable indicator of previous performance. See how our performance is calculated.

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