A senior man shortlisting shares at his kitchen deskAsset supervisor abrdn’s (LSE:ABDN) share value has toppled 20% in 2022. Based on present dividend forecasts this implies abrdn shares carry a 7.4% dividend yield for the subsequent two years.This is double the ahead common of three.7% for all FTSE 100 shares. But simply how strong do present dividend forecasts look? And ought to I put money into the enterprise to enhance my passive revenue?Dividends to fall once more?Unfortunately, abrdn hasn’t been a star performer relating to dividends lately. It slashed full-year payouts in the years main as much as the pandemic. And it minimize them once more following the onset of Covid-19.Dividends have been frozen in 2021 at 14.6p per share. But City analysts predict further reductions over the medium time period. In reality, City brokers have been downgrading their dividend forecasts for abrdn shares in current months.They now predict funds of 14.2p and 14.1p per share in 2022 and 2023 respectively.Weak protectionThe excellent news is that these estimates produce these whopping yields. The dangerous information is that predicted earnings are so weak that precise dividends might are available significantly decrease than forecast.Earnings per share at abrdn is tipped at 8.9p for this 12 months and 9.8p for 2023. Both fall effectively wanting the those self same brokers’ dividend estimates.When I purchase revenue shares I look for anticipated dividends to be coated at the very least 2 instances by estimated earnings. This offers a large margin of security.More asset salesEncouragingly although, abrdn continues to promote belongings to spice up its steadiness sheet. This may theoretically nonetheless give it the means to pay the massive dividends that analysts predict.Last week, it was introduced abrdn will promote its complete 10.21% stake in India’s HDFC Asset Management. The enterprise raised £262m over the summer season by promoting some shares in HDFC Life Insurance too. And additional capital-boosting divestments might be round the nook.Poor performanceHowever, the deteriorating buying and selling outlook nonetheless places dividends in the short-to-medium intervals in vital hazard. In reality, I believe brokers may proceed downgrading their payout forecasts.Story continuesThe asset supervisor’s earnings are massively depending on the efficiency of inventory markets. And there are massive threats to fairness markets in 2023 as central banks elevate rates of interest, the Covid-19 disaster in China continues, and conflict in Ukraine drags on.I’m additionally nervous by abrdn’s worsening document of funding returns. In the first half of 2022, simply 63% of its belongings below administration beat benchmarks on a three-year foundation. This was additionally down from a studying of 67% printed final 12 months.On the plus facet, abrdn is increasing in new areas like retail funding platforms. This may give earnings a substantial increase in the close to time period and past.Still, it’s my opinion that there are significantly better shares for me to purchase for passive revenue right this moment. So I’m blissful to keep away from abrdn shares, regardless of its enormous dividend yields.The put up 7.4% yield! Here’s the abrdn dividend forecast for 2022 and 2023 appeared first on The Motley Fool UK.More readingRoyston Wild has no place in any of the shares talked about. The Motley Fool UK has no place in any of the shares talked about. Views expressed on the firms talked about on this article are these of the author and due to this fact might differ from the official suggestions we make in our subscription companies corresponding to Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we imagine that contemplating a various vary of insights makes us higher traders.Motley Fool UK 2022
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7.4% yield! Here’s the abrdn dividend forecast for 2022 and 2023
