David GoodmanYvonne Berg
DundeeWealth Inc. is doubling the quarterly dividend paid to its shareholders in response to improved conditions at the Toronto-based mutual fund and wealth management company.
The dividend will rise to 7 cents per share from 3.5 cents per share, with the payout to be on April 15 to shareholders of record on April 1.
The new dividend rate represents an annual yield of 2.1 per cent, based on the Friday closing price of $13.51 a share at the Toronto Stock Exchange.
DundeeWealth's shares were up 19 cents on Monday in early afternoon trading shortly after the new dividend rate was announced. The company is scheduled to release its fourth-quarter results on Tuesday.
"Our decision to double the quarterly dividend is a reflection of a significant improvement in our financial strength," said David Goodman, president and chief executive officer of DundeeWealth.