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5 Megatrend Plays Offering Big Payouts

These companies offer long-term growth and immediate income

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MTN Group

MTNGroup185Dividend Yield as of 7/8: 4.2%

So far, this list has been admittedly American-centric. However, some of the biggest growth opportunities of all sit overseas in emerging markets.

I’m not talking about the usual BRIC nations, either. Russia’s economy remains ugly under Putin’s iron fist, China is still suffering from a slowdown, while Brazil and India have both been trimming growth forecasts.

Instead, investors have been eyeing Africa — and for good reason. While the continent faces its share of challenges, average growth is expected to come in over 5% this year, with low-income countries growing at around 6.6%.

If you want a piece of that booming pie, African company MTN Group (MTNOY) is an appealing and high-yielding option. The company is the continent’s leading telecommunications provider, operating in 21 countries across the region. It also has exposure to the Middle East. Last year, that presence translated to revenue growth of 11%, subscriber growth of 15% and earnings growth of 7%.

While it’s easy to be skeptical about a 4% yield from an African telecom, MTN has increased its annual payout every year since 2009, usually doling out two dividends each year. Based on its past two payouts, that gives you a yield north of 4%.

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