Persimmon is a large UK-based homebuilder that was first formed in 1972. Its most recent dividend payment worked out to an annualized yield of 8.68%, which is huge and makes it on of the best UK dividend stocks for 2021. Take note, profits at Persimmon were down in its most recent earnings report, so this could have a negative impact on its future dividend payments.<\/p>\n

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5. Aviva \u2013 Recent Dividend Yield of 9%<\/h3>\n

An additional high-yielding dividend stock that is worth considering is that of Aviva. The firm operates primarily in the UK and European insurance scene, and it also has a growing pension division. Although its stock price has been somewhat stagnant in recent years, Aviva does at the very least pay a juicy dividend. In its most recent distribution, this stood at a whopping yield of 9%.<\/p>\n

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How to Pick High Dividend Stocks<\/h2>\n

When it comes to picking high dividend stocks on a DIY basis, this can be a challenging task. After all, just because a UK company pays a high dividend in one quarter, this isn\u2019t to say that it will continue to do so.<\/p>\n

With this in mind, below you will find a few tips on how to pick high dividend stocks with ease.<\/p>\n

Look at Historical Dividend Payments<\/h3>\n

Your first port of call should be to look at the company\u2019s historical dividend policy. A prime example of this would be British America Tobacco. On the one hand, you might be somewhat sceptical about the sustainability of a 7.2% dividend yield.<\/p>\n

But, in the case of BAT, the tobacco giant has increased its dividend payments every year for the past two decades. As a result, these are the sort of companies that you want to be targeting if you want to build a portfolio of the best dividend stocks.<\/p>\n

Research at the Financials<\/h3>\n

On top of exploring the historical dividend policy of a company, you also need to look at the financials. In particular, spend some time looking at the relationship between the dividend yield and that of its share performance. For example, let\u2019s suppose that you invest in a UK stock that pays an annualized dividend of 5%.<\/p>\n

Although this is a healthy form of passive income, it defeats the object if the firm lost 10% in share value. On the flip side, you need to remember that stock investments should be viewed in the long run. In fact, the general rule of thumb is that you should avoid selling your shares for at least five years.<\/p>\n

In doing so, you can ride out the volatile waves of market turbulence. Nevertheless, you should also look at the specific industry the dividend stock operates in. For example, if hold shares in an airline company, but the wider travel industry is suffering because of the COV-19 pandemic, the firm might be forced to suspend its dividend policy.<\/p>\n