Pensions World

The Dividend Investor by Rodney Hobson, £17.99, ISBN 978 0857190963 (279 pages) www.harriman-house.com

Many private investors would like to build a portfolio of shares that will produce a steady and rising income. Experienced financial journalist Rodney Hobson has packed this book with real life examples and analysis of how to gain such added income through shares with healthy dividends.

Topics made simple include ratios, yield, dividend cover, the dividend payout ratio, total return, cash flow, burn rate, gearing or leverage, interest cover, earnings per share and the price/earnings ratio, plus the advantages and disadvantages of shareholder perks. A timely book in this era of low interest rates.