Dividend Strategists Rewind: 3 High Yield ETFs with 3 Unique Approaches
The latest dividend news, strategies and investing ideas.
Many investors tend to discount companies showing a payout ratio over 100%. In some cases, the pickiest investors will aim at a 75%-80% payout ratio. I will answer the question about high payout ratios later on this article, but for now, let’s concentrate on what a good payout ratio is.
In an ideal world, a payout ratio under 80% would give enough flexibility to the company to pursue its growth objectives while increasing its dividend annually. This is assuming the company can increase its revenue and earnings consistently. You now may better understand the reason why I focus so much on the dividend triangle. READ MORE
Investing in dividend-producing equities or funds is a core component of many portfolios. I have written many articles on individual dividend companies, funds, and overall dividend harvesting strategies. I am often asked why am I so focused on dividends since I am not close to retirement age? I don't believe there is a correct answer when it comes to investing, and multiple paths can be taken to achieve the desired goal. Each individual's needs are different, and placing everyone in the same box isn't realistic.
I have created a hybrid approach where I invest 100% of my retirement into an S&P 500 index fund along with growth stocks, dividend-producing investments, technology, CEF's, ETFs, Crypto, and precious metals with my excess capital. READ MORE
In this episode, Ron DeLegge @ETFguide talks with Lance McGray, Head of ETFs at Advisors Asset Management about higher dividend yield strategies in the ETF market that investors and financial advisors could be missing. You'll get insights into getting more income in a yield starved environment. Plus, you'll find out how about one under-utilized segment of the income market most have missed. READ MORE
In this article series, I present the top-ranked dividend growth stocks in each GICS sector.
My watch list for dividend growth stocks is Dividend Radar, a list of stocks trading on U.S. Exchanges with five or more consecutive years of higher dividend payments. Dividend Radar is updated and published every Friday and is available for download here. The latest edition (dated August 27, 2021) contains 754 stocks, 56 of which are in the Information Technology sector.
I use DVK Quality Snapshots to assess dividend growth stocks’ quality and a ranking system that sorts stocks in descending order by quality scores, using tie-breaking metrics when necessary. READ MORE
Welcome to another edition of my monthly series in which I pick seven high-quality dividend growth stocks for further analysis and possible investment. My watch list for selections is Dividend Radar, a list of dividend growth [DG] stocks trading on U.S. exchanges with dividend increase streaks of at least five years.
Each month, I apply different screens to narrow down the more than 750 Dividend Radar stocks. Changing the screens from month to month serves to highlight different aspects of DG investing. For example, income investors prefer higher-yielding stocks, value investors tend to look for deep discounts, and growth-oriented investors favor higher DG rates. READ MORE
I often have the feeling we forget about industrials. There is nothing sexy about them. There is often minimal stimuli to create hype on the stock market. Even worse, this sector is not seen as a source for high dividend yields. As many industries operate through unique economic cycles, there are always a few industrials for sale.
The Aerospace & Defense sector is offering you such opportunity right now. Due to their long-standing existence and packed with generous government contracts, they have built solid core businesses. Those who have survived the passage of time and found ways to evolve often make solid dividend payers. READ MORE
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If You Love Dividends, How About Dividend ETFs?
On our sister site, ETF Focus on TheStreet, we also talk about dividend income, high yield and investing strategies, but in the context of exchange-traded funds instead of individual stocks.
If you’re interested in expanding your dividend research, please check out the site and sign up for its own Substack newsletter, the ETF Focus Rewind, where every week we publish our “2 ETFs To Buy & 1 To Avoid” column along with our chart of the week!