Best dividend paying mutual funds

The investing company to the shareholding depending with the profit, which the company has earned, usually pays dividends. Companies, which provide high dividend, are usually considered safe since only financially strong companies are in a position of offering high dividend to their customers. Dividends usually provide a sense of security to the investors. While searching for the best dividend mutual fund it is important to consider the following no load charge, low investing minimums, attractive yields, reasonable expenses and consistent dividend over a certain time period. The following are some of the funds providing high dividends to their shareholders.

Vanguard Dividend Growth

This fund has from 2006 displayed impressive performance. In the last decade, this fund managed to return 1.3 percentage points which is higher than standard and poor’s 500-stock index per year on an average basis. This fund has done this while it it had a volatility level which was below that for the market and also when compared to other funds. This fund has leaned heavily on large-cap stalwalts which include top holding in United parcel among others. The minimum investment for this fund is 3,000

Cullen High Dividend Equity Retail

This is considered the right pick for investors who want a low-volatility portfolio, which has a relatively high level of yield. The manger of this fund, James Cullen has used the philosophy of choosing funds, which are above average yield, and low price earning. When this investment grows by even a small margin, they get to share the dividend among the shareholders. The minimum investment amount for this investment is $ 1000

Commerce value

This fund is managed by Joseph C. Williams. He has steered this fund since its creation, which was in 1994. The commerce value of this fund has outperformed the S&P 500 over the 3, 5 and 10 years span. This fund has accumulated a significant lead over most funds.

Harbor International Investors

This fund invests in companies, which have low-earnings ratio and always try to keep the turnover at a minimum. The experience management team of this fund has always been willing to pay up for the business and try to improve the competitive position. This fund nearly earned a double-digit annual return rate over the last decade. It was placed in the top 10% of large blend foreign fund.

American Fund Capital Income Builder

This fund seeks an increasing income in upcoming years and also capital appreciation. It has invested about 90% of its assets in a variety of income producing securities. This fund has also invested in foreign common stock and bonds. This fund has a dividend of 3.13%. this fund has a return of 10.70% and 9.26% in the last one and three years respectively.