The FTSE 100's Dividend-Raising Stars

Published in Investing on 21 August 2012

Kevin Godbold assesses these blue chips for future dividend growth.

In an outcome that's tough on investors, the FTSE 100 (UKX) has failed to deliver a rising dividend payout over the last few years.

Just look at the iShares FTSE 100 ETF (LSE: ISF), for example. This is an exchange-traded fund that tracks the benchmark index, and we can see the aggregate payment from Britain's top 100 companies has yet to regain its pre-recession peak:

Year20072008200920102011
Dividend per share19.1p20.2p17.1p16.2p18.1p

That's disappointing. But some companies within London's premier index have performed well on dividends, despite these austere times, and this series is seeking them out.

But before you read about the dividend stars I've found, I would strongly suggest you look at the dividend choices of super-investor Neil Woodford.

Mr Woodford is one of the UK's most successful fund managers and specialises in identifying companies with strong income potential. Indeed, such investments have helped him produce a 347% return between 1996 and 2011 -- a market-trouncing performance that included nine straight years of beating the index.

What's more, you can learn more about Mr Woodford's favourite holdings -- and how he generated such wonderful profits -- within this free Motley Fool report.

I strongly recommend you download "8 Shares Held By Britain's Super Investor" today, as many of Mr Woodford's selections look like excellent dividend-raising shares to me. Best of all, the report is free. But hurry, this Neil Woodford report is available for a limited time only.

You can read my company assessments to date by clicking the links below. I hope my research assists your investment decisions:

Aberdeen Asset Management: A FTSE 100 Dividend-Raising Star

Amec: A FTSE 100 Dividend-Raising Star 

AstraZeneca: A FTSE 100 Dividend-Raising Star

Babcock: A FTSE 100 Dividend-Raising Star

BAE Systems: A FTSE 100 Dividend-Raising Star

BHP Billiton: A FTSE 100 Dividend-Raising Star 

British American Tobacco: A FTSE 100 Dividend-Raising Star

British Sky Broadcasting Group: A FTSE 100 Dividend-Raising Star

Burberry: A FTSE 100 Dividend-Raising Star

Capita: A FTSE 100 Dividend-Raising Star

Compass Group: A FTSE 100 Dividend-Raising Star

Croda: A FTSE 100 Dividend-Raising Star

GlaxoSmithKline: A FTSE 100 Dividend-Raising Star

Hargreaves Lansdown: A FTSE 100 Dividend-Raising Star

Imperial Tobacco: A FTSE 100 Dividend-Raising Star 

Johnson Matthey: A FTSE 100 Dividend-Raising Star

National Grid: A FTSE 100 Dividend-Raising Star

Next: A FTSE 100 Dividend-Raising Star

Prudential: A FTSE 100 Dividend-Raising Star

Reckitt Benckiser: A FTSE 100 Dividend-Raising Star

SABMiller: A FTSE 100 Dividend-Raising Star

Sainsbury: A FTSE 100 Dividend-Raising Star

Tesco: A FTSE 100 Dividend-Raising Star

WPP: A FTSE 100 Dividend-Raising Star

If you are an ambitious investor hoping to profit from this uncertain economy, I urge you to read "10 Steps To Making A Million In The Market" today -- it could transform your wealth. Click here now to request your free, no-obligation copy. The Motley Fool is helping Britain invest. Better.

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