Six Reasons to Consider 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: Six Reasons to Consider 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.
Demonstrate lower risk profiles relative to non-dividend-paying stocks.
Have the ability to participate in up markets while preserving capital in down markets.
Are lowly correlated with other equity classes, making them good portfolio diversifiers.
Typically are attractive investments in rising rate environments.
Enables our investment team to potentially amplify the positive impact these stocks have on an investor’s portfolio
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