For dividend growth investors in Europe, we created a European Dividend Aristocrats certificate to easily track the European edition of the famous Dividend Aristocrats. The European Dividend Aristocrats gained 4.3% last month. Here is a summary of the June results.
European Dividend Aristocrats – June results
Here is are the key takeaways for June:
Two companies paid a dividend in June, which are:
- Red Electrica €0.727 per share
- Bechtle AG €1.148 per share
The top gainers since the inception of this ETF are:
- ASHTEAD Group +118.4%
- DSV Panalpina +91.3%
- Partners Group +69.3%
- Hexagon AB +68.1%
The main laggards are:
- Bechtle AG -11.8%
- Enagas – 7.6%
- Fresenius. Medical Care -6.2%
Tomorrow the quarterly rebalance will take place and will include the removal of BASF from this ETF. BASF decided to pay an annual dividend of €3.30 per share for the 2020 business year. This is equal to the dividend per share paid for the 2019 business year and has been paid in May-2021 to BASF shareholders. However, BASF is not meeting the requirement to have a yearly increase of dividends.
European Dividend Aristocrats tracker at a glance
The European Dividend Aristocrats portfolio (EUDIVAR) includes all companies that have increased dividends every year for the last 10 consecutive years and are part of the MSCI Europe-index.
The holdings are equally weighted and every quarter an automatic rebalance will be performed. Companies that cut or postpone their dividend payments will be closely monitored and removed when required. In addition, new companies that meet the criteria will be added during the year. The dividends received will be reinvested automatically as well.
The tracker is officially listed on the German stock exchange Stuttgart and can be traded via several brokers such as Comdirect, Flatex, Onvista Bank, ING DiBa, Postbank, and many more.
European Dividend Aristocrats tracker benefits
When building a dividend growth portfolio, the most prominent advantages of the European Dividend Aristocrats tracker are:
Low Initial Investment. The minimum investment is limited only by your broker’s minimum account size and the brokerage fees related to the amount to be invested.
Automatic Diversification. By investing in the European Dividend Aristocrats tracker, you get the benefits of spreading your investment across all (45+) Dividend Aristocrats. You also get diversification across sectors and countries.
Automatic rebalancing. Every quarter rebalancing will be automatically done as well as dividend reinvesting without transaction costs. New aristocrats will be added and companies that cut or postpone dividend payments will be removed.
Dividend Tax benefits. Dividend withholding tax and dividend reclaims are often complex and time-consuming. Investors will benefit from lower dividend taxation via this European Dividend Aristocrats tracker. For several stocks that pay dividends and are traded in euro (€) the gross dividend amount will be received in this tracker.
The performance can be followed on several financial portals such as Onvista or your online broker.