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China Construction Bank Corp: Banking on dividends

Thiveyen Kathirrasan
Thiveyen Kathirrasan • 4 min read
China Construction Bank Corp: Banking on dividends
Historically lucrative dividend yields likely to continue, given strong balance sheet.
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Historically lucrative dividend yields likely to continue, given strong balance sheet

China Construction Bank Corp (CCB) is a leading commercial bank in China providing a comprehensive range of commercial banking products and services. CCB is one of the largest banks in the world by market cap and Tier 1 capital. It has subsidiaries in various sectors, including fund management, financial leasing, trust, insurance, futures, pension and investment banking, as well as more than 200 overseas entities covering 31 countries and regions.

Our case for CCB is that it is a dividend play. Before looking at its financial statements, its scale as a bank is a reason why it has a higher likelihood to pay dividends, along with its yearly dividend policy. We think that based on its history of paying dividends, and given that its dividend yields have been historically lucrative, it is a great investment for dividend yield investors.

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