The best ASX dividend shares for income are the only ones I’d trust to fund my life’s expenses.

I just don’t think that shares like Westpac Banking Corp (ASX: WBC) and Sydney Airport Holdings Pty Ltd (ASX: SYD) are going to cut it over the medium-term, particularly due to the coronavirus.

Here are three of the best ASX dividend shares for income in my opinion:

WAM Research Limited (ASX: WAX) 

I think, WAM Research is one of the best listed investment companies (LICs) that focuses on ASX shares. It’s run by Wilson Asset Management (WAM) and it targets small and medium undervalued companies where there’s a potential catalyst to boost the value of the company.

Over the past decade it has generated some of the best LIC gross investment returns. WAM Research has managed to do this whilst holding onto high levels of cash. It holds dozens of shares, so it has a diverse portfolio.

It has increased its dividend every year since the GFC and it still has an attractively large profit reserve so it can keep paying dividends. WAM Research currently has an annualised grossed-up dividend yield of 11.1%.

APA Group (ASX: APA) 

APA is one of the best ASX dividend shares in terms of how many years it has consecutively grown its income to shareholders. The distribution has grown every year for over a decade and a half, including through the GFC.

It owns a vast network of 15,000km of natural gas pipelines around Australia with a presence in every mainland state and the Northern Territory. It also owns or has interests in gas storage facilities, gas-fired power stations and renewable energy generation (wind and solar farms). APA owns, or manages and operates, a portfolio of assets worth more than $21 billion and delivers half the nation’s natural gas usage.

I’m excited by the prospect of the company looking at US opportunities. America is a large market there and earnings diversification would make the company an even safer income bet.

Using the 50 cents per unit distribution guidance, it currently offers a distribution yield of 4.3%.

Washington H. Soul Pattinson and Co. Ltd (ASX: SOL) 

I think Soul Patts could be the best ASX dividend share. It has grown its dividend every year since 2000 and has paid a dividend every year in its existence, which stretches back over a century.

The investment house funds its annual dividend just from the investment income it receives, less operating costs. The retained cash profit is re-invested into more long-term opportunities.

I believe some of its largest positions still have exciting medium-term growth prospects. The TPG Telecom Ltd (ASX: TPM) merger with Vodafone Australia is exciting for all of the potential synergies and bigger dividends. Brickworks Limited (ASX: BKW) has a promising long-term future in the US from productivity improvements alone.

Soul Patts currently has a grossed-up dividend yield of 4.7%.

Is it time to buy the best ASX dividend shares?

If income is your only concern then I think all three could be a buy today. However, APA’s share price has recovered strongly and WAM Research is probably trading at an expensive premium. Soul Patts would be my preferred pick today for dividends and growth.

More reading

• Where I’d invest $1,000 into ASX shares right now
• 2 ASX shares that every investor should own
• 3 ASX dividend shares raising dividends like clockwork
• Why I’m even more confident about the Soul Patts share price
• How to make a $1 million share portfolio by investing $1,000 a month

Motley Fool contributor Tristan Harrison owns shares of Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia owns shares of and has recommended Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia owns shares of APA Group. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post 3 of the best ASX dividend shares for income appeared first on Motley Fool Australia.

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It’s not exactly breaking news to say we’re in the middle of a health pandemic.

And you don’t have to be a rocket surgeon to know that the economy has taken an almighty hit, as a result.

The good news — the good lord willing and the creeks don’t rise — is that the actions of the authorities (and maybe not just a little good fortune) mean the virus is largely controlled, and we’re on track to getting back to life-as-somewhat-normal, including a staged reopening of the economy.

I’ve never been afraid to have a dig at either side of politics, if they’ve deserved it, but the handling of this crisis — unlike the bushfires — has been very good. Sure, hindsight is 20/20, and there are things that could have been done differently, but the PM and Premiers have done a very good job.

What has been impressive is not only the actions taken, but the public presentation. In my (limited!) travels and conversations, people seem reassured and prepared to do their bit. Leadership is, in no small part, about being seen, and heard, and our state and federal leaders have done very well.

Which — and let’s not understate the importance of this — means we, as a country, can now turn our attention to the recovery, while others are still dealing with the fallout.

The reopening must be slow. It must be staged, and carefully calibrated. We’ve seen, from South Korea, what happens if we move too quickly: soon after bars and nightclubs were reopened, 27 people have tested positive from as little as one infected person spreading the virus. Bars and nightclubs are now closed again, there.

But just how sick is our economy?

What do governments need to do, now?

And what will the recovery look like?

Of course, I have a view. And I like to think it’s a reasonably informed one.

But I’m not an ex-chief economist of a Big 4 bank.

The good news is that Warren Hogan is!

Now Industry Professor at UTS, Warren has been an active participant in watching, modelling and commenting on the economy for his whole working life, in a number of different roles.

Warren had previously joined me for one of our most popular podcast episodes ever, earlier this year. At the time, if anyone was talking about Coronavirus, it was as a small, localised issue in China.

Almost four months later, to the day, it’s an understatement to say that things have changed.

So he’s back!

Warren was kind enough to agree to chat to me again late last week, and it was a fascinating conversation.

Some of my views were confirmed. He politely disagreed with others. I learned a lot.

It was a great conversation, and I think you’re really going to enjoy listening.

Warren touched on how he sees the economy right now, what he thinks the government should do next and, importantly, how he sees the recovery from here.

If you’re interested in the economic circumstances we’re in, and what the recovery might look like, you’re going to want to take a listen.

In short — you don’t want to miss it.

If you’re reading this on an iPhone, you can find a link to the podcast, here.

If you’re using an Android phone (or you’re reading this on a computer) just open your favourite podcast app and search ‘Triple M Motley Fool Money’. Warren’s episode was published last Thursday afternoon. If you need a suggestion for an Android-based podcast app, I use Pocketcasts. You can find it on the Google Play Store here.

(And, of course, don’t forget to subscribe while you’re there — we think you’ll like what’s coming up, so you don’t want to miss it!)

Have a great week, Fools!

More reading

• Why Advance Nanotek, Macquarie, Tyro, & Zip Co shares are charging higher
• Are ASX retail shares undervalued today?
• 3 ASX 200 shares to watch this week
• Why Fisher & Paykel Healthcare, Graincorp, Polynovo, & SEEK are dropping lower
• ASX tourism shares on watch as government flags easing of coronavirus restrictions

Motley Fool contributor Scott Phillips has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post An economist’s expectations for coronavirus and beyond appeared first on Motley Fool Australia.

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The S&P/ASX 200 Index (ASX: XJO) has followed the lead of U.S. markets and started the week on a very positive note. In late morning trade the benchmark index is up 1.2% to 5,456.3 points.

Four shares that have climbed more than most today are listed below. Here’s why they are charging higher:

The Advance Nanotek Ltd (ASX: ANO) share price is up 14% to $5.36 after the release of a trading update. The advanced materials company revealed that it expects its net profit before tax to be approximately $8.4 million in FY 2020. This will be 2.5 times greater than FY 2019’s profit before tax. The company also advised that sunscreen manufacturing has recommenced in the United States. And although manufacturing is occurring at smaller volumes, it anticipates sales volumes to return to normal.

The Macquarie Group Ltd (ASX: MQG) share price is up almost 5% to $110.22. This gain may have been driven by a broker note out of Morgan Stanley. This morning the broker retained its overweight rating and lifted the price target on the investment bank’s shares to $120.00. This offset a downgrade by Credit Suisse to neutral with a $107.50 price target.

The Tyro Payments Ltd (ASX: TYR) share price has jumped over 8% to $3.67. This follows the release of its weekly trading update. According to the release, Tyro’s transaction values have continued to recover. During the week ending May 8, its transaction value was $315 million. This is down 23% on the prior corresponding period. A week earlier, its transaction value was down 27%.

The Zip Co Ltd (ASX: Z1P) share price has stormed a further 8.5% higher to $3.55. Investors have been buying the buy now pay later provider’s shares since the release of a strong trading update last week. During April, Zip Co’s monthly revenue increased 81% on the prior corresponding period to $15.1 million. The company also reported an 86% lift in monthly transaction volume to $181.6 million and net bad debts of 1.99%.

More reading

• How Macquarie Group is vying to unseat CBA
• ASX 200 Weekly Wrap: New ASX bull run continues
• These are the 10 most shorted ASX shares
• 5 things to watch on the ASX 200 on Monday
• Which is the cheapest ASX bank stock on the market?

James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Advance NanoTek Limited, Tyro Payments, and ZIPCOLTD FPO. The Motley Fool Australia owns shares of and has recommended Macquarie Group Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post Why Advance Nanotek, Macquarie, Tyro, & Zip Co shares are charging higher appeared first on Motley Fool Australia.

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