According to the latest weekly economic report out of Westpac Banking Corp (ASX: WBC), its team continue to expect the cash rate to stay on hold at 0.25% until at least the end of 2021.

I suspect that this forecast will prove accurate, which could be bad news for income investors who will have to contend with low interest rates for some time to come.

But don’t worry, because the ASX dividend shares listed below could help you earn an income in this low interest rate environment. Here’s why I like them:

Coles Group Ltd (ASX: COL)

The first dividend share to look at is Coles. I believe the supermarket giant is well-positioned to grow its earnings and dividend at a solid rate over the next decade. This is due to its defensive business, refreshed strategy, expansion opportunities, and its focus on automation. Together with its enviable track record of delivering consistent same store sales growth, I believe the outlook for Coles and its shareholders is very positive. At present I estimate that its shares offer a fully franked 3.8% FY 2021 dividend.

Commonwealth Bank of Australia (ASX: CBA)

Another dividend share I would consider buying is Commonwealth Bank. Although its shares have recovered strongly from their lows, I still believe they offer a lot of value for investors at this level. While a dividend cut in FY 2021 seems inevitable, I’m optimistic it won’t be as brutal as some believe. I suspect a dividend of ~$3.70 per share is possible. If this proves accurate it will mean a forward fully franked yield of 5.5%. This is certainly a very generous yield in this low interest environment.

Rural Funds Group (ASX: RFF)

A third and final dividend share to consider buying is Rural Funds. It is a property company that owns a diversified portfolio of high quality Australian agricultural assets. These asset include cattle properties, vineyards, and orchards. Due to the nature of these industries, tenants will generally sign up for ultra long leases. This gives Rural Funds great visibility with its future earnings. Which means it has been able to provide guidance for not just this year, but also next year. It plans to pay distributions of 10.85 cents per share in FY 2020 and then 11.28 cents per share in FY 2021. This equates to yields of 5.45% and 5.7%, respectively.

More reading

• If I won the lottery I’d buy these 6 ASX shares
• How to earn $50,000 in dividends each year with ASX shares
• Westpac tips the Australian dollar to continue rising
• 2 defensive ASX shares to protect your portfolio
• 3 ASX dividend kings to buy and hold forever

Motley Fool contributor James Mickleboro owns shares of Westpac Banking. The Motley Fool Australia owns shares of and has recommended RURALFUNDS STAPLED. The Motley Fool Australia owns shares of COLESGROUP DEF SET. 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 strong ASX dividend shares to buy next week appeared first on Motley Fool Australia.

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One group of shares that are particularly popular with retail investors are blue chip shares.

A blue chip is generally a large and well-established company that has operated for many years. More often than not, they will be a leader in their industry.

The Australian share market is home to a large number of blue chips and investors will no doubt have a hard time deciding which ones to buy.

To narrow things down, I have taken a look at three popular blue chip shares to see if they are in the buy zone right now. They are as follows:

Goodman Group (ASX: GMG)

One of my favourite blue chip shares is Goodman Group. It is an integrated commercial and industrial property group which owns, develops, and manages industrial real estate in 17 countries. Among its portfolio you’ll find warehouses, large scale logistics facilities, and business and office parks. It is the warehouses and logistics facilities that I’m most excited about. These give Goodman Group exposure to the structural tailwinds of the ecommerce market through its relationships with the likes of Amazon and Walmart. And given how rapidly online shopping is growing, I believe these assets will be in demand for a long time to come. This could underpin solid earnings and distribution growth over the next decade.

Telstra Corporation Ltd (ASX: TLS)

Another blue chip share to consider buying is Telstra. The telco giant has fallen out of favour with investors over the last few years due to its earnings decline, but I believe it is time to reconsider your view of the company. I think Telstra’s dividend is now at a sustainable level and feel that a return to growth is not too far away. This is thanks to its sizeable cost cutting, simplification of the business, and the easing of the NBN headwind. In fact, Telstra’s operating earnings would have grown during the first half if it were not for the NBN headwind. Overall, I believe now could be the time to make a long term investment in its shares.

Woolworths Limited (ASX: WOW)

This conglomerate could be another blue chip share to consider buying. I like Woolworths due to its quality brands, defensive qualities, and strong management team. Combined, I believe they have positioned the company to deliver solid earnings and dividend growth over the next decade. Another positive is the planned spin off of its hotels business. I expect this to unlock value for shareholders if it goes ahead.

More reading

• How I would build a balanced portfolio worth $100,000 with 10 ASX shares
• 12 top ASX dividend shares to buy in June 2020
• What would I rather buy today: TPG or Telstra shares?
• Tech shares! Should we even invest in anything else?
• Woolworths facing fresh threat from Amazon.com

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Telstra Limited. The Motley Fool Australia owns shares of Woolworths 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 3 ASX blue chip shares that could give your portfolio a boost appeared first on Motley Fool Australia.

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