I think some ASX shares are capable of providing people with an (economic) stress-free life.

All businesses may see some volatility from time to time. That’s just what the share market is – different buyers and sellers deciding what price they’re happy to transact at.

Some share prices may be very volatile like Afterpay Ltd (ASX: APT) and Qantas Airways Limited (ASX: QAN).

But I think there are some ASX shares can provide more of a stress-free life:

CSL Limited (ASX: CSL)

CSL may be the most consistent blue chip on the ASX. Health and sickness isn’t really decided by economic cycles, so demand for CSL’s products is pretty consistent. Indeed, the company is one of the ones involved in trying to solve the coronavirus problem for the world.

The company has reaffirmed its profit guidance for FY20 and it’s steadily growing its earnings year after year. It’s a very reliable ASX share.

I really like that CSL is continually investing into research and development which will open up future earnings streams.

Magellan Global Trust (ASX: MGG)

This is a listed investment trust (LIT) which invests in the world’s best businesses. I know I can sleep better at night being invested in high-quality businesses rather just cheap ones.

Some of the businesses it’s invested in right now are: Alibaba, Alphabet, Microsoft, Tencent, Facebook, Visa, Mastercard and Reckitt Benckiser. These aren’t ASX shares, but we can get indirect access to them on the ASX.

Its portfolio is set up to be defensive in ‘normal’ market declines. The businesses it’s invested in are growing over the long-term too.

I like that sometimes we get the opportunity to buy Magellan Global Trust at a net asset value (NAV) discount of more than 5%.

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

Soul Patts could be one of the easiest ASX shares to be invested in for the long-term. It’s an investment conglomerate that has been operated for over a century. It will probably still be around long after we’ve looked at our portfolios for the last time.

It’s invested in a wide array of different businesses like TPG Telecom Ltd (ASX: TPM), Brickworks Limited (ASX: BKW) and Clover Corporation Limited (ASX: CLV). It also has some unlisted assets like swimming schools, agriculture and soon (reportedly) regional data centres.

The ASX share isn’t likely to produce huge returns after decades of strong growth, but it could outperform the index whilst paying an ever-growing dividend.

Foolish takeaway

Each of these ASX shares has long-term growth prospects but they’re also defensive. At the current prices I think I’d probably go for Soul Patts because I’m not sure US share prices are great value right now.

More reading

• 3 top ASX 200 shares to buy next week
• Where I’d invest $2,500 in ASX shares today
• How to replace your entire wage with dividends
• Invest like Warren Buffett with these ASX 200 shares
• 3 ASX dividend shares for retirees

Tristan Harrison owns shares of MAGLOBTRST UNITS and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Clover Limited and CSL Ltd. The Motley Fool Australia owns shares of and has recommended Brickworks and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia owns shares of AFTERPAY T FPO. 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 ASX shares for a stress-free life appeared first on Motley Fool Australia.

from Motley Fool Australia https://ift.tt/379PYo0

If you’re looking to buy some ASX dividend shares for your portfolio, then I think the ones below could be quality options. 

Both have strong businesses and offer generous dividend yields. Here’s why I would buy them when the market reopens:

Fortescue Metals Group Limited (ASX: FMG)

The first ASX dividend share to look at is Fortescue. I’m a big fan of the iron ore producer due to its world class and low cost operations. Another positive is that the company has been increasing the quality of its grade in recent times. This has allowed Fortescue to take advantage of the high prices that iron ore is commanding right now due to robust demand and supply disruption. Overall, I believe it is well-positioned to deliver bumper free cash flows in FY 2020 and FY 2021. And with the majority of its free cash flow likely to be returned to shareholders, this bodes well for its dividends. I estimate that its shares currently offer a fully franked 7% FY 2021 yield.

Rural Funds Group (ASX: RFF)

Another dividend share for income investors to buy is Rural Funds. I like the agriculture focused property group due to its high quality property portfolio and its ultra long tenancy agreements. At the end of the first half, Rural Funds’ weighted average lease expiry stood at a lengthy 11.5 years. Combined with rental increases that are built into its leases, this gives the company great visibility with its future earnings. So much so, management has already revealed what it plans to pay shareholders in FY 2021. It has provided distribution guidance of 11.28 cents per share for next year. This works out to be a forward 5.5% distribution yield. I think this makes Rural Funds a great long term option in this low interest rate environment.

More reading

• How to build a $20,000 passive income with ASX shares
• How to replace your entire wage with dividends
• 3 ASX dividend shares for retirees
• These quality ASX dividend shares have very juicy yields
• ASX shares are in a bull market. What should investors do now?

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended RURALFUNDS STAPLED. 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 2 strong ASX dividend shares to bolster your income appeared first on Motley Fool Australia.

from Motley Fool Australia https://ift.tt/374ZZ6b

Are you looking for an extra income stream? I believe that investing in ASX shares paying high dividends is an excellent strategy for achieving this. My top 3 picks right now are BHP Group Ltd (ASX: BHP), Telstra Corporation Ltd (ASX: TLS) and Wesfarmers Ltd (ASX: WES) shares.

All 3 of these ASX 200 shares pay strong dividends and are fully franked. This can further boost your income as you get a 30% tax rebate.

Wesfarmers shares

Wesfarmers is a highly diversified business. I believe this is the group’s core strength.

It has operations across a broad spectrum of the Australian economy. This provides it with a buffer to any industry-specific challenges that may come its way.

Wesfarmers has operations in general retail segments including merchandise and office supplies. It also has a number of industrial divisions with operations in energy and fertilisers, and industrial and safety products.

It continues to evolve its online offering, which has seen strong demand during the coronavirus pandemic. This includes its online-only channel via Catch and its Target and Kmart online offerings.

The Wesfarmers share price is sitting at $41.72 and offers a very nice forward fully franked dividend yield of around 3.6%.

BHP shares

BHP has diversified operations across a range of divisions. These include iron ore, as well as copper and aluminium.

The mining giant is definitely my pick of the resource companies listed on the ASX right now.

In its April quarterly activities report, it noted that it continues to expect to generate strong cash flows. This is despite the continued challenges it faces in light of the coronavirus pandemic.

Also, with signs of global markets improving, this could see its business pick up further in the second half of the year.

Based on current earnings with a share price of $36.34, BHP offers a very attractive forward fully franked dividend yield of around 5.2%.

Telstra shares

In a recent market update, Australia’s largest telecommunications provider revealed that it is on track to achieve most of its T22 strategy goals.

This includes a goal to reduce its underlying fixed costs by as much as $2.5 billion annually by the end of FY 2022. The telco giant is evolving into a leaner, more efficient telco provider.

Telstra has also witnessed strong demand for its services throughout the pandemic so far. This has helped to boost its recent performance.

I believe that Telstra remains well placed for long-term growth over the next five to 10 years.

Growth over the next few years will be partly driven by its market-leading position in the rollout of 5G services.

In addition, Telstra provides investors with a forward fully franked dividend yield of around 3.1% with a current share price of $3.23.

More reading

• Where I’d invest $2,500 in ASX shares today
• Top brokers name 3 ASX 200 shares to buy next week
• How to replace your entire wage with dividends
• Is this ASX small cap the best placed to benefit from the $700m HomeBuilder grant?
• These quality ASX dividend shares have very juicy yields

Motley Fool contributor Phil Harpur owns shares of Telstra Limited. The Motley Fool Australia owns shares of and has recommended Telstra Limited. The Motley Fool Australia owns shares of Wesfarmers 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 Want high-paying dividends? Try Wesfarmers shares and these 2 other ASX options appeared first on Motley Fool Australia.

from Motley Fool Australia https://ift.tt/3f2gVNr