Ordinarily, there’s a lot to love about bonds — but these are not ordinary times. If anything, it’s time to love dividend stocks. Intense anxiety that the Federal Reserve will start pulling back on quantitative easing — buying billions in Treasuries and mortgage-backed securities every month — has bond prices tumbling. Indeed, the great 30-year bull market in bonds looks like it’s finally coming to an end.
That’s a serious problem for income investors, but it’s not an intractable one. The answer is to cushion your portfolio with high-quality dividend stocks, which in many respects are superior to bonds, anyway. As the equity dividend team at BlackRock notes, high-quality dividend stocks offer a trifecta of desirable attributes: Below-market volatility, Lower prices for higher quality and Income and growth potential. Another great thing about dividend stocks — and this is crucial — is that they do better than bonds in the face of inflation.
Source: Investor Place
Related Articles:
- My 2012 Top And Bottom Performing Dividend Stocks
- 7 Dividend Stocks With Room To Increase Their Payout
- 9 High Rated, Lower Debt Dividend Stocks With A Reasonable Payout
- 4 Dividend Stocks To Avoid The Social Security Blues
- Who is Ben Grossbaum and Why Should We Listen to Him?
Dividend Stocks Are Better Than Bonds
Posted by D4L | Friday, August 30, 2013 | ArticleLinks | 0 comments »________________________________________________________________
Subscribe to:
Post Comments (Atom)
~
Popular Posts Last 30 Days
-
Dividends and diversification -- those two things can help you achieve a comfortable retirement when combined with the income you will recei...
-
As a relatively new blogger, the one thing that has stood out in my mind is the number of Canadian bloggers in the areas that I am most inte...
-
The best dividend stocks have one thing in common: resiliency. They can continue increasing their dividends even in the harshest economic en...
-
Investors wanting to enjoy steady and consistent income should consider dividend aristocrats. In fact, even in these chaotic times, dividend...
-
A good dividend stock has more than a high yield. Dividends need to be supported by cash flow, and cash flow depends on the long-term streng...
-
It's hard to beat a sustainable, high-yield dividend paired with a beaten-down valuation. The best dividend stocks offer high yields and...
-
Higher dividend yields often imply that the underlying company paying the dividend has a higher risk profile. However, that's not always...
-
When hunting for discounted investments, one excellent starting point is to look for businesses with dividend yields trading above their fiv...
-
Strange but true: seniors fear death less than running out of money in retirement. And unfortunately, even retirees who have built a nest eg...
-
BDCs can be excellent investment options for those seeking high returns, particularly when acquired at favorable valuations and supported by...
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.