Dividend stocks are all the rage. America's corporations are sitting on tons of cash. And with limited growth prospects and low interests rates, they have no other options but to return that cash to shareholders in the form of share buybacks and dividends. Conservative investors love dividend stocks because they are perceived to be safer than stocks while offering the diversification away from bonds.
"The widespread pursuit of safety in high-yielding stocks has driven up their valuations and increased market concentration in these stocks," writes AllianceBernstein analyst Joseph Paul in a post titled Are High Yield Stocks in Bubble Territory. "It has also caused an alarming surge in their correlation to bonds, so investors may be getting a lot less diversification than they realize."
Source: Business Insider
Related Articles:
- 2 High-Yield Investments To Increase Income While Waiting On Dividend Growth
- 6 Healthcare Dividend Stocks For A Healthy Portfolio
- 11 Low-Debt, Higher-Yielding Dividend Stocks
- 7 Small-Cap, High-Yield Dividend Stocks
- 10 High-Energy, High-Yield Dividend Stocks
Dividend Growth Stocks News
- Best Stocks for Women Investors Best Performing Dividend Stocks - Market-crushing stock picks - PrintWeekIndia - 7/21/2025
- Analyzing Stocks in Financial Technology Sector Best Performing Dividend Stocks - Double-digit growth - PrintWeekIndia - 7/20/2025
- Best Dividend Stocks Smart Trading Opportunities - Superior capital gains - PrintWeekIndia - 7/21/2025
- Top Dividend Stocks in India Big Gain Stock Picks - High-margin investment plays - PrintWeekIndia - 7/21/2025
- Top Stocks for Wealth Creation Best Performing Dividend Stocks - Phenomenal capital gains - PrintWeekIndia - 7/21/2025
- Chevron Corporation (CVX) Dividend Stock Analysis - 7/18/2025
- Emerson Electric Co. (EMR) Dividend Stock Analysis - 7/11/2025
- Amgen, Inc. (AMGN) Dividend Stock Analysis - 6/27/2025
- W.W. Grainger, Inc. (GWW) Dividend Stock Analysis - 6/20/2025
- Abbvie Inc. (ABBV) Dividend Stock Analysis - 6/13/2025
High-Yield Dividend Stocks Are Bad News For Your Portfolio
Posted by D4L | Saturday, October 27, 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.