We Take a Closer Look at the Virtues
of Investing in Dividend-Paying Stocks
Research shows that allocating a portion of investable assets to dividend-paying stocks has the potential to enhance a portfolio’s overall risk/return profile. Our Deconstructing Dividends: A Closer Look at the Virtues of Dividend-Paying Stocks white paper presents compelling evidence as to why small- and mid-cap dividend-paying stocks should be part of a diversified portfolio.
Our research shows that dividend-paying small- and mid-cap stocks:
Historically deliver higher returns compared to non-dividend-paying stocks
Have lower risk profiles relative to non-dividend-paying stocks
Have the ability to participate in up markets while preserving capital in down markets
Have low correlations with other equity classes, making them good portfolio diversifiers
- Have shown to be attractive investments in rising rate environments
Learn More About Our Dividend Focused Strategies:
RISKS: Diversification does not eliminate the risk of experiencing investment losses.
Investing in small- and mid-cap funds generally will be more volatile and loss of principal could be greater than investing in large-cap funds.
Dividends are not guaranteed. A company’s future abilities to pay dividends may be limited and a company may cease paying dividends at any time