LSE:LGEN<\/a>). But with its generous dividend \u2013 the stock\u2019s currently (2 May) yielding 8.6% \u2014 it could also help boost someone\u2019s income in a different way.<\/p>\nFor example, to earn \u00a314,664 in dividends, \u00a3170,512 of the group\u2019s shares would be needed.<\/p>\n
Given that dividends can be erratic, it pays to be wary of high-yielding shares. Indeed, Legal & General\u2019s is the highest on the FTSE 100 at the moment.<\/p>\n
But in this case, I think the payout looks secure for now. My opinion is partly based on the stock\u2019s history \u2013 it last cut its dividend during the global financial crisis in 2009 \u2013 but also its future prospects. <\/p>\n
The UK retirement and savings market is expected to double in size over the next 10 years. Of course, this could also pose a threat leading to increased competition for some of the more established players like Legal & General.<\/p>\n
One area to keep an eye on is the group\u2019s Solvency II ratio. It fell sharply during the course of 2025. However, given that it remains over twice the regulatory minimum and higher than many of its rivals, I don\u2019t think it\u2019s much of a red flag at this stage.<\/p>\n
![\"\"](\"https:\/\/www.newsbeep.com\/uk\/wp-content\/uploads\/2026\/05\/image-18.png\")
Source: company annual report 2025<\/p>\n
Indeed, the company\u2019s growing strongly at the moment. Highlights from its 2025 results include:<\/p>\n
A core operating profit of \u00a31.62bn, 6% higher than in 2024.<\/p>\n
A 9% year-on-year increase in core operating earnings per share.<\/p>\n
An estimated store of future profit of \u00a313.3bn.<\/p>\n
Much of this was driven by successfully converting many high-value opportunities from its pipeline of new pension schemes that it\u2019s looking to take over and manage. The higher interest rate environment is also helping its annuities business.<\/p>\n
What does this tell us?<\/p>\n
In my view, Legal & General is one of many excellent high-yielding income stocks. On this basis, I think it\u2019s one that could be considered by those looking to open up another revenue stream or supplement their pension. But only as part of a diversified portfolio. <\/p>\n
Also, growth investors are likely to find other opportunities more attractive.<\/p>\n","protected":false},"excerpt":{"rendered":"Image source: Getty Images Investing a regular amount in a Stocks and Shares ISA is one way of…\n","protected":false},"author":2,"featured_media":136501,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[14],"tags":[84,4176,4174,4175,56,54,55],"class_list":["post-562468","post","type-post","status-publish","format-standard","has-post-thumbnail","category-personal-finance","tag-business","tag-finance","tag-personal-finance","tag-personalfinance","tag-uk","tag-united-kingdom","tag-unitedkingdom"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/562468","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/comments?post=562468"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/562468\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media\/136501"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media?parent=562468"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/categories?post=562468"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/tags?post=562468"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
![\"ISA](\"https:\/\/www.newsbeep.com\/uk\/wp-content\/uploads\/2025\/09\/ISA-coins-1200x800.jpg\")
<\/p>\n