Investing in Swedish dividend stocks
Posted: Dec 20, 2018
The Swedish stock market contains a large number of stocks that pay very high dividends. Many of these companies are large well-established companies. Companies that have a large market share and a bright future. The Swedish stock market allows you to invest in the Swedish equivalent of blue-chip stocks and still get a high dividend yield.
Why dividend stocks?
Dividend stocks is a great way to invest long-term. They are ideal for anyone who is saving for retirement or who want to build a passive income. The benefit of high yield dividend stock is that they give you money without you having to sell them. You get money each year that you can use to cover your daily expenses without having to sell your shares. This makes them ideal if you want to save money for your retirement. You can build a portfolio that pay you dividends that are high enough for you to live on. This way you never have to sell any stock and you never have to worry that you will run out of money. It does not matter how long you live. Your pension is going to keep growing and so is your net worth.Buying stock in Sweden
It is very easy to buy stock in Sweden and the other Scandinavian countries. The Swedish stock exchange is a part of NASDAQ called NASDAQ Nordic. All stocks are traded using the same system as NASDAQ. If you know how to buy stocks on the NASDAQ then you know how to buy Swedish stock. Most, if not all brokers allow you to buy and sell Swedish stocks.
Buying stocks in Sweden is cheap. You will usually pay the same fees as you would pay if you bought US stocks. Exactly how much you will pay depends on which broker you will use. Some brokers charge more than others. There are some brokers that allow you to buy and sell Swedish stocks for free.
High dividend stocks
Below I will list a few examples of high dividend stocks. It is not the only high dividend stocks on the Swedish market. Nor is the stocks with the highest dividends. It is merely some stocks that I find attractive. Please investigate the stocks and form your own opinion before you decide to buy any of these stocks.
Nordea is the largest bank in Sweden. They pay a dividend of 8,94% based on their current stock price and last paid dividend. The bank has a healthy profit margin and is well prepared for a crisis in the market. The stock might suffer if there is a new bank crisis but is likely to recuperate quickly. The risk is high if you are a short term investor and low if you are a long-term investor.
NetEnt (Previously NetEntertainment) is a large Swedish game developer that develops games for online gaming operators. Their business model is built entirely around developing games and licensing them out. The company is very well established on the market and they have a very large market share. This stock looks attractive to me at the current price. It pays a 6.14 % dividend.
Kindred group is one of the many companies that license games from NetEntertainment. They operate gaming websites all across Europe. They are very well established and well regarded on the market. They license games from a number of different developers. Not just NetEntertainment. This stock seems attractive but the risk is a little bit higher than I would like. Kindred group pays 7.67% dividend.
Boliden is a mining company specializing in Zink and Copper. They also mine Gold, Silver and Lead. They pay a yearly dividend of 6.81%. The company is completely focused on running established mines. They do not prospect for new mines. Their mines are all located in Sweden or Ireland. Some of their mines have been operating for several hundred years and is believed to remain economically viable for decades to come.
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