U.S. Dividends Surge To Record Highs

"Globally, dividends surged 11% to $302.5B, a first quarter record; underlying growth was even stronger at 16.1%. Every sector posted dividend increases, with particular strength in oil and mining sectors," says Matt Peron. “As the U.S. corporate earnings picture improved, companies rewarded shareholders with higher dividend payments to start 2022. With rising inflation and interest rates expected to put pressure on economic growth globally, greater uncertainty is clouding the outlook for corporate profits in the second half of the year. However, it’s important to keep in mind that dividend payments are much less volatile than earnings," Peron adds.