UK stock markets remain extremely volatile following the 2020 crash. The FTSE 100 and FTSE 250 are whooshing higher again on Wednesday after strong housing market data. This erases the heavy falls UK shares endured just yesterday.
It’s likely stock markets will remain volatile for some time. A Covid-19 vaccine remains elusive, while news flow surrounding the economic consequences of the coronavirus crisis continues to chill. But this doesn’t worry me as an active share investor. I believe you and I can still get rich and retire early by buying UK shares today.
It’s our view at The Motley Fool that the stock market crash provides an opportunity to get seriously rich from UK shares. Stacks of top-quality stocks with robust balance sheets and bright profits outlooks remain strangely unpopular as market nerves jitter. This allows clever investors to buy them at low cost today, watch them balloon in value as economic conditions (and market confidence) improve, and make a killing in the process.
10% dividend yields!
This is a tried-and-tested formula that allowed Britons to make millions following the 2008/2009 stock market crash. They used products like Stocks and Shares ISAs to load up on cheap shares and got stinking rich during the subsequent economic recovery. I’m expecting another jaw-dropping rebound in UK share prices this time around too, supported by unprecedented help from central banks across the world.
I’ve continued buying cheap UK shares for my own ISA with a view to making a million, too. And I’m thinking of adding the following stocks to my stocks portfolio:
- FTSE 100 housebuilder Persimmon has leapt on Wednesday following that excellent house price data. But it still offers brilliant value for money today. It trades on a forward price-to-earnings (P/E) ratio of 13 times and sports a dividend yield north of 4%. Government schemes like Help to Buy and, more recently, the stamp duty holiday, should help support Persimmon and its peers in the immediate future. And Britain’s housing shortage means this UK share should deliver powerful profits growth over the longer term.
- I think Hargreaves Services is also worth a close look, at current prices. The industrial services business trades on a forward P/E of just 11 times and sports a 6% dividend yield too. This UK share faces some turbulence owing to Covid-19. But it has a solid order book to help see it through the short term. It’s also developing its skills in niche engineering sectors to help give it an edge in the current climate and drive profits in the years ahead.
More high-quality UK shares I’d buy today
There are many more top UK shares for dividend investors to choose from today. And The Motley Fool’s epic catalogue of exclusive reports can help you dig these out. So do some research and get investing in big-dividend-paying stocks. You could possibly even make a million like those ISA investors.