Fortunately, in this low interest rate environment, the Australian share market is home to a good number of dividend shares that offer generous yields.

Two top ASX dividend shares that I would be buying right now are listed below. Here’s why I think they are top options for income investors:

Sydney Airport Holdings Pty Ltd (ASX: SYD)

If you can afford to be patient, then I think Sydney Airport would be a great dividend share to buy. The short term will be difficult the airport operator, but the crisis will pass and trading conditions will eventually return to normal. I believe this makes it worth considering a patient investment in the company’s shares. A recent note out of Goldman Sachs reveals that it expects travel markets to have recovered enough for the company to pay a 29 cents per share distribution in FY 2021. After which, the broker is forecasting a 37 cents per share distribution in FY 2022. This implies 4.75% and 6.05% distribution yields, respectively, over the next couple of years.

VanEck Vectors Australian Banks ETF (ASX: MVB)

If you don’t have exposure to the banking sector, then I think it could be worth looking at the VanEck Vectors Australian Banks ETF. Instead of trying to decide whether to buy Commonwealth Bank of Australia (ASX: CBA) or one of the other big four banks for dividends, this exchange traded fund gives you a piece of them all. It also gives investors exposure to the regional banks and investment bank Macquarie Group Ltd (ASX: MQG) as well. Due to dividend suspensions, cuts, and cancellations, it is hard to forecast what its dividends will be. However, I’m confident the VanEck Vectors Australian Banks ETF will provide investors with a dividend yield of at least 5% in FY 2021.

More reading

• Why the Nufarm share price is crashing lower today
• The latest ASX 200 stocks to be upgraded to “buy” amid the recession
• Why I would buy and hold these quality ASX dividend shares
• How bankable are the big four ASX bank shares in 2020?
• 3 best stocks for ASX 200 investors in retirement to buy 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 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.

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There are some ASX shares that I’d love to buy today and hold for at least the 2030s in mind. There are others I wouldn’t want to have for 20 minutes. 

Buying something and thinking you’re going to sell it a few months later isn’t giving your investments long enough to grow your portfolio.

But if you invest with the long-term in mind then you’re much more likely to generate great returns with your ASX shares. But only buy the best. 

So, with that in mind, here are three ASX shares I’d buy and hold for the 2030s in mind:

Bubs Australia Ltd (ASX: BUB)

In the business world it takes a while for a company’s plan to fully come together. It’s not a quick task when you’re talking about physical products and supply chains. But consumer-focused businesses can turn into very good businesses if they have a good product and brand.

Bubs is a goat milk product business that is rapidly growing revenue with its infant formula offerings. It’s resonating with consumers in Australia, China and Vietnam. The ASX share is reporting impressive growth every quarter. In the March 2020 quarter it reported positive operating cashflow, which is a great step.

Why would I hold it for the 2030s? It’s only just getting started in Asia and there are many, many countries that Bubs can target in the future. I’m not necessarily expecting Bubs to turn into a huge business, but it has a very long growth runway if it does well.

Bubs is regularly growing its profit margins and it has a solid cash balance which can fund its growth for the foreseeable future.

Propel Funeral Partners Ltd (ASX: PFP)

The funeral operator ASX share has certainly been volatile over the past few months. Australia has luckily avoided the coronavirus mortality that has hit other countries. This should mean that the long-term thesis for Propel is intact because of Australia’s ageing demographics. The funeral restrictions lifting helps short-term profit.

What kind of growth can Propel expect in the future? Death volumes are expected to grow by 1.4% per annum between 2016 to 2025 and then increase by 2.2% per annum from 2025 to 2050. That’s a steady growth runway for the business which is projected to pick up in the later 2020s and in the 2030s.

All Propel needs to do is benefit from these tailwinds, increase its market share a bit and slowly increase prices to grow profit strongly using the power of compounding. 

Pushpay Holdings Ltd (ASX: PPH)

Pushpay is another ASX share with great growth prospects. It services the medium and large US church sector which management believe is a $1 billion revenue opportunity because of how much donations are given. It could possibly be higher than that if Pushpay does very well. 

If the ASX share can achieve that goal it will become a much bigger business, which should also come with higher profit margins. It’s the type of business model that could see good recurring revenue from regular donations year after year.

I think Pushpay has a good opportunity by the 2030s to expand to other countries or perhaps grow into other donation areas. This would increase Pushpay’s total addressable market even more.

A recent acquisition has improved the ASX share’s market position and there is potential for more acquisitions in the future.

Foolish takeaway

I think all three of these ASX shares can steadily grow their revenue and profit into the 2030s, yet all three of them are fairly small, so they have a big growth runway. I’d be very happy to buy shares today.

More reading

• 3 quality ASX shares to buy and hold for decades
• Have $10,000? This is where I’d invest it into ASX shares
• 3 of the best ASX shares to buy with $3,000 right now
• Why I’m not afraid to invest in shares during this recession
• Afterpay and these top ASX tech shares are on fire in 2020

Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of PUSHPAY FPO NZX. The Motley Fool Australia owns shares of and has recommended BUBS AUST FPO. The Motley Fool Australia has recommended Propel Funeral Partners Ltd and PUSHPAY FPO NZX. 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.

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On Thursday the S&P/ASX 200 Index (ASX: XJO) continued its positive run and stormed higher again. The benchmark index ended the day 0.85% higher at 5,991.8 points.

Will the market be able to build on this on Friday? Here are five things to watch:

ASX 200 expected to drop.

It looks set to be a subdued end to the week for the ASX 200 index. According to the latest SPI futures, the benchmark index is poised to fall 13 points or 0.2% at the open. This follows a mixed night of trade on Wall Street, which saw the Dow Jones rise 0.05%, the S&P 500 fall 0.35%, and the Nasdaq index drop 0.7%.

Appen insider sales.

The Appen Ltd (ASX: APX) share price will be on watch today after the artificial intelligence company revealed large insider sales. Non-Executive Chairman, Chris Vonwiller, sold 2 million Appen shares on-market. This was for a number of personal reasons, including philanthropic endeavours. The company’s CEO and Managing Director, Mark Brayan, has also been selling shares. He sold 95,535 shares to satisfy tax obligations and diversify personal investments. Finally, Non-Executive Director, Bill Pulver, sold 275,000 shares to diversify personal investments.

Oil prices edge higher.

Energy shares including Santos Ltd (ASX: STO) and Woodside Petroleum Limited (ASX: WPL) could be on the rise today after oil prices edged higher. According to Bloomberg, the WTI crude oil price is up 0.1% to US$37.32 a barrel and the Brent crude oil price has risen 0.4% to US$39.95 a barrel. Traders appear optimistic that OPEC will announce further product cuts.

Gold price rebounds.

It could be a good day for Evolution Mining Ltd (ASX: EVN) and Newcrest Mining Limited (ASX: NCM) after traders were back buying gold again overnight. According to CNBC, the spot gold price is up 0.9% to US$1,720.30 an ounce. Trader were buying gold after Wall Street’s rally started to fizzle.

Vocus rated as a buy.

The Vocus Group Ltd (ASX: VOC) share price could be going higher from here according to analysts at Goldman Sachs. This morning the broker reiterated its buy rating and $3.85 price target on the company’s shares after it reaffirmed its guidance for FY 2020. Goldman notes that this guidance update has de-risked its positive investment view.

More reading

• ASX 200 rises again, rises 0.8%
• This ASX 200 stock is well placed to beat earnings expectations
• 3 stellar ASX growth shares I would buy right now
• The 10 shares that significantly move the ASX 200 index
• Top brokers just upgraded these 3 ASX 200 stocks to buy

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of Appen Ltd. 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.

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