In a low interest rate environment, investors genetic search for yield. While high yield corporate bonds are an option, there are several companies listed on the Toronto Stock Exchange that currently offer attractive dividend yields. One such company is Power Financial Corp. (TSX: PWF). The company, this morning, announced a dividend hike.
Based in Montreal, Canada, Power Financial is a diversified management and holding company with direct or indirect interests in companies in the financial services sector in Canada, the U.S., Europe and Asia.
Power Financial raised dividend for holders of its common shares after reporting record earnings for 2015. The company reported operating earnings of C$2.24 billion for the fiscal year ended December 31, 2015, compared to operating earnings of C$2.10 billion reported in the previous year. Net earnings for the fiscal year was C$2.32 billion, or $3.25 per share, compared to C$2.14 billion reported in the previous fiscal year.
Following the record results, Power Financial raised its dividend from 37.25 cents to 39.25 cents per share. Even before the the dividend hike, Power Financial was offering an impressive dividend yield of 4.55%. The dividend hike provides further boost to yield.
