The current low-rate environment is largely the product of quantitative easing (QE), the ongoing monetary stimulus program conducted by the Federal Reserve in the wake of the financial crisis. QE put additional downward pressure on interest rates and effectively drove investors out of traditional debt securities like the 10-year T-note. There’s just not enough yield to go around at 2.4 percent; investors want their money to work harder than that.
The hunt for yield has led many investors to the equity market and, in particular, to high-yield dividend stocks. These stocks traditionally represent companies like Coca-Cola (NYSE:KO), Procter & Gamble (NYSE:PG), and Exxon-Mobil (NYSE:XOM): stable companies with well-established cash flows and a history of dividend increases. In short, cash machines.
Source: Wall St. Cheat
Related Articles:
- Dividend Stocks vs. Dividend ETFs
- If Only I Had Known About These Dividend Stocks...
- 10 Dividend Stocks Delivering The Secret To Success
- 10 Dividend Stocks For A Rainy Day
- 4 Higher Yielding Basic Materials Stocks With Growing Dividends
_____________________________________________________________________
Subscribe to:
Post Comments (Atom)
Popular Posts Last 30 Days
-
Do you need more income? Join the crowd. It seems everyone is scouring the landscape these days for decent income investments to beef up the...
-
There are some dividend aristocrats which have not only maintained but increased their dividends for over half a century. Having survived ev...
-
In bull markets, dividends become more or less irrelevant. When the Dow Jones Industrial Average traded above 14,000 in 2007, very few stoc...
-
While I've invested a decent portion of my portfolio into growth stocks, a significant part of my holdings consists of dividend-paying s...
-
All too often when a cheap stock offers a high dividend yield, it's too good to be true. Perhaps the stock has plunged with good reason,...
-
Anxiety over the European debt crisis and distrust in the markets drove volatility in global stock markets to dizzying heights in 2011. The ...
-
Stocks can make for amazing investments, offering better long-term returns than bonds, precious metals, and most other commonly available in...
-
If it's dividends you're after, there are plenty of top companies to consider, particularly those on the Dow Jones Industrial Averag...
-
Investors hear about dividend aristocrats all the time. It’s a fantastic thing if a company raises its dividend every year for 25 years runn...
-
To alert investors of stocks that have the highest risk of reducing their current dividend in the future, Simply Safe Dividends created a Di...
0 comments
Post a Comment
Post a Comment