Nikkei Inc. announced that it will begin calculating and publishing the newly established Nikkei High Dividend Stock 30 Index on 19 October. The index will comprise the 30 stocks with the highest forecast dividend yields selected from the 500 largest companies by market capitalization on the TSE Prime Market.
The index was established against a backdrop of growing demand for high-dividend stocks in medium- to long-term asset building and companies’ increased efforts to return profits to shareholders. The Nikkei High Dividend Stock 30 Index selects stocks listed on the TSE Prime Market after taking their financial condition and performance into account, and comprises 30 stocks subject to a maximum weight of 5% each. Regular constituent changes are scheduled to take place every June.
The initial constituents include 安藤・間, 大東建託, 日本たばこ産業, 野村不動産ホールディングス, 飯田グループホールディングス, 王子ホールディングス, ダイセル, 武田薬品工業, 関西ペイント and JFEホールディングス, among many others, for a total of 30 stocks. The forecast dividend yield at the start of calculation is considered high at 4.4%.
The difference from the Nikkei 225 High Dividend Yield Stock 50 Index is that the Nikkei High Dividend Stock 30 Index selects TSE Prime stocks, including large-cap stocks, while also considering financial condition and performance. The Nikkei 225 High Dividend Yield Stock 50 Index, by contrast, selects stocks from the Nikkei Stock Average constituents with an emphasis on dividend yield. Related ETFs and investment trusts that track the indexes have also been introduced.
Calculation and publication of the Nikkei Progressive High Dividend Stock Index and the Nikkei Continuous Dividend Growth Stock Index are also continuing. ETFs and investment trusts tracking the new index are expected to attract attention as new options for high-dividend stock investing.