Subscribe Sign in

Business

2 ASX passive income share ideas to use to generate $500 a month in 2027

1 min read Rewritten in plain language

Dividend Investing

Show what we removed Rules applied: A1×3 A3 D3×5 D4×6 E3×7 E5×4 F2×3 all 30 rules
  • One of the favourite types of investments to look at are ASX dividend shares that can provide passive income.
  • Owning shares in a listed investment company means getting exposure to a compelling portfolio.
  • Most of its portfolio focuses on ASX blue-chip shares, though a portion of its assets is also invested in Vanguard funds that provide exposure to international shares.
  • For the last 30 years, the LIC has either grown or maintained its regular dividend, which is a record of payout consistency by the ASX passive income share.
  • Achieving an average income of $500 per month targets $6,000 annually.

5 sentences from our version of the report, chosen to cover it. Nothing here is written; every line is in the article below. How

Headline check

Headline as published: 2 ASX passive income share ideas I'd use to generate $500 a month in 2027

All two things this headline claims are in the report.

Figures, names and quoted words in the headline, looked for in the report itself — not in the summary above. How this is checked

PIIGS Mk 4 map
PIIGS Mk 4 map The original uploader was Snow storm in Eastern Asia at English Wikipedia . / Wikimedia Commons, CC BY

One of the favourite types of investments to look at are ASX dividend shares that can provide passive income.

CBA is a high-quality bank, but it's a singular business. Owning shares in a listed investment company means getting exposure to a compelling portfolio. Each LIC has a portfolio built around its investment strategy.

Most of its portfolio focuses on ASX blue-chip shares, though a portion of its assets is also invested in Vanguard funds that provide exposure to international shares.

Now, its biggest holdings are CBA, BHP Group Ltd, Rio Tinto Ltd, ANZ Group Holdings Ltd, CSL Ltd, Wesfarmers Ltd, Westpac Banking Corp, Transurban Group and Washington H. Soul Pattinson and Co. Ltd.

For the last 30 years, the LIC has either grown or maintained its regular dividend, which is a record of payout consistency by the ASX passive income share.

Excluding special dividends, its current grossed-up dividend yield is 4.4%, including franking credits.

Some of the fund managers involved include Antipodes, Plato, WCM, Muncro, Vinva, Cooper Investors, Paradice, Morphic, Fairlight and Langdon.

The ASX passive income share has increased its annual payout every year for the past seven years in a row, which is a streak.

Achieving an average income of $500 per month targets $6,000 annually.

Shortened to 1 minute of reading, this version reads 14.7 on the Niral Score.

You are reading our version, not theirs. This is The Motley Fool Australia's report shortened to its most important sentences, in plainer words, with verdicts and loaded words taken out. Plain description stays, and so do adjectives that carry a fact, such as "former" or "federal". The reporting, the facts and the quotations are theirs — quotations are never edited — and the indicators beside it measure this version. Hover or tap Adjectives to see every one left in the text.

How this outlet filed it, and how we rewrote it

No other newsroom we read has filed on this event, so there is nothing to compare it with yet.

Outlet Niral ScoreAdjectivesSourcingSentimentHappiness
The Motley Fool Australiaas they published this story 21.9 24 3 0.7 59.8
Mundane Readneutralized from The Motley Fool Australia 16 21 3 0 59.8

Sign in to react.

Comments

Nothing here yet.

Sign in to comment.

Questions

Readers can ask a question about this story here. Questions and answers are for subscribers. Sign in to read them.

Comments are read before they appear where anything in them needs a person to look. Nothing posted here is ever deleted; a comment taken down keeps its text and the reason, so the decision can be looked at again. How this works