3 Dividend Growth Stocks to Trump the Fed

I’ve already advised you to prepare for higher interest rates, courtesy of the Federal Reserve, in 2015. However, one class of stocks has little to fear from the modest rate increases I foresee over the next 12 – 18 months. I’m talking about companies that can boost their dividends, over the long run, faster than the cost of living. By the end of the decade, in fact, I predict that many of these dividend growth stocks will trade considerably higher than today’s levels. Reason: Millions of retiring Baby Boomers will be flocking to income vehicles with proven, inflation-beating track records.

There’s just one fly in the salsa, though. Many dividend-growth stocks are expensive by historical standards. In other words, they feature skimpy yields going in. Fortunately, a handful of stocks today still combine good yields and strong growth prospects. Here are three dividend growth stocks to buy now: Abbott Laboratories (NYSE:ABT), Procter & Gamble Co (NYSE:PG) and Toronto-Dominion Bank (NYSE: TD).

Source: InvestorPlace

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