Dividends: Why bigger isn't always better

It is little wonder why savers are so pre-occupied with the hunt for income; a look at this week's best buy cash accounts shows the highest rate on offer is a paltry, below-inflation 1.75%. Unfortunately, the struggle for yield shows little sign of abating. In August the base rate was held at 0.5% for a record 53rd consecutive month and the new Bank of England Governor Mark Carney is expected this week to reveal that rates will stay low for 'many months to come'. One way savers have reacted is by moving their money from cash into higher yielding asset classes. Research by fund grou...