What type of financial products may provide dividends to shareholders?

Dividends are payments made by a corporation to its shareholders, typically from profits. Common stock represents ownership in a company, and shareholders of common stock are entitled to receive dividends when the company decides to distribute profits. These dividends can be in the form of cash payments or additional shares of stock, and the decision to issue dividends is made by the company's board of directors based on profitability and capital needs.

Mutual funds can pay distributions that may include dividends; however, this is contingent on the underlying stocks or bonds within the fund that generate income. Bonds themselves do not provide dividends; instead, they pay interest, known as coupon payments, to bondholders. Savings accounts usually offer interest rather than dividends to account holders, which is different from the concept of dividends tied to corporate profits.

Thus, common stock is the type of financial product that is directly associated with the issuance of dividends, reflecting a company's profitability and its reward to shareholders.