Australian companies sat out a global dividend revival by reducing their payouts at a time when global dividend returns had a record third quarter, validating recommendations that local investors may need to look overseas for income.

ASX cash payouts fell by 0.8 per cent in the three months ended September 30 compared to the same quarter last year, on an underlying basis. Meanwhile, global dividends jumped 3.1 per cent, to $US431.1 billion ($661 billion) – a record for the period, according to fresh data from Janus Henderson. The data is adjusted for special dividends and currency translation.