A company might be well known for its high-growth potential, or it could be respected as a sustainable dividend paper. Yet it’s rare for a business to be both a growth stock and have an above-average dividend yield.

However, it doesn’t mean these types of shares don’t exist. Here are two I’ve noted down.

A specialist bank

The first one is Paragon Banking Group (LSE:PAG). The company’s up 18% over the past year and 81% over the past five, ticking the box for a growing enterprise. On the dividend side, it currently has a yield of 5.08%.

The FTSE 250 firm mostly focuses on UK mortgage lending. More specifically, buy-to-let mortgages for landlords and specialist commercial lending for companies. However, it also has a large deposit book, thanks to offering savings accounts to the retail crowd.

It therefore makes money by lending funds at a higher interest rate than it pays on deposits, known as the net interest margin.

Back in December, it released preliminary full-year results showing growth is coming from the loan book, while also keeping a close eye on costs. The CEO also spoke about how digitisation has helped the firm become more efficient. When looking at 2026, he said: “We see plenty of opportunity ahead in our chosen specialist markets”.

The dividend per share rose 8.7% last year, and I don’t see any risk of it being cut any time soon. However, one risk is that given its niche areas of lending, it might struggle to keep growing at the same pace in the future, as the market size is naturally capped.

The investment giant

Another stock is Man Group (LSE:EMG). The global investment management firm has a dividend yield of 5.46%, with the share price up 19% in the last year.

The company has strong momentum right now, thanks to assets under management (AUM) hitting a record high in the latest results from October. Specifically, the firm now manages $213.9bn, up from $193.3bn in the previous quarter. This is important because asset managers charge fees based on the amount of money they manage. So this bodes well for revenue increasing in the coming reporting periods.

Part of what’s attracting investor attention for Man is the expansion of the different funds it’s offering to clients. It’s now pushing new actively managed ETFs, as well as private credit solutions. This diversification of strategies not only helps the company to reduce risk in one area, but also makes it more appealing to outside investors.

On the dividend side, it pays out twice a year, with the amount ticking higher over the past few years. The dividend cover ratio is 1.8, so the earnings per share can almost cover the current divdiend twice over!

One concern is that the stock’s slightly at the mercy of the financial markets. If we get a market crash, the business will underperform, potentially prompting clients to pull their money.

Overall, I think both companies can offer investors the best of both worlds and could be considered as part of a broader portfolio.