Doing the required research to determine which dividend-yielding stocks should be in your portfolio is a daunting task. Consider investing in dividend exchange traded funds instead. Investors, roiled by record volatility, have looked high and low for big dividends. Given that the Federal Reserve plans to keep interest rates at close to zero for at least another three years, dividend investing probably will gain in popularity.
Investing in individual stocks is risky. It's easy to make the mistake of buying a stock with an accidental dividend yield -- those that have inflated dividend yields because of a steep drop in the stock price. An example is Frontier Communications(FTR_). With a 15% yield, it is the highest-yielding stock in the Dow Jones Industrial Average and S&P 500 Index combined. A safer way to grab higher yields is through mutual funds or ETFs that focus on dividend stocks. Comparing the two, mutual funds have a history of chronic underperformance versus benchmarks, whereas ETFs tend to be successful in mimicking benchmark indices. Other benefits to investing in ETFs over a mutual fund include lower costs and taxes, ease of trading and higher liquidity.
Source: The Street
Related Articles:
- 10 High-Yield Stocks With A Low Price To Book
- 4 of my 5 Largest Dividend Stock Positions Have Double-Digit Lifetime Returns
- 9 Low-Risk, High-Yielding Dividend Stocks
- The Best Dividend Stocks In The World Are Found Here
- A Roadmap To Build Wealth With Dividend Stocks
Dividend Growth Stocks News
- European Dividend Stocks To Consider For Your Portfolio - Yahoo Finance - 5/16/2025
- 4 Growing ASX Dividend Stocks to Buy and Hold for Steady Returns - Stocks Down Under - 5/16/2025
- Goldman Sachs Loves 4 Recession-Proof High-Yield Utility Dividend Stocks - MSN - 5/15/2025
- 2 Dividend Stocks to Double Up On Right Now - Yahoo Finance - 5/8/2025
- Top Asian Dividend Stocks To Consider In May 2025 - Yahoo Finance - 5/16/2025
- Automatic Data Processing Inc. (ADP) Dividend Stock Analysis - 5/16/2025
- Air Products and Chemicals Inc. (APD) Dividend Stock Analysis - 5/9/2025
- Waste Management, Inc. (WM) Dividend Stock Analysis - 5/2/2025
- Wal-Mart Stores, Inc. (WMT) Dividend Stock Analysis - 4/25/2025
- Abbott Laboratories (ABT) Dividend Stock Analysis - 4/18/2025
How to Find High-Yielding Dividend Stocks
Posted by D4L | Tuesday, February 07, 2012 | ArticleLinks | 0 comments »________________________________________________________________
Subscribe to:
Post Comments (Atom)
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.