The Dividend 15 celebrates its first birthday with just one change.
WHO DOESN’T LOVE A DIVIDEND? AS THE Kiplinger Dividend 15, the list of our favorite dividend-paying stocks, marks its first anniversary, we can say that our choices have doled out plenty of dividend love over the past year, with an average yield of 3.7%.
Dividends aren’t all the Dividend 15 has delivered. The picks on our list have returned an average 6.8%, counting both price gains and dividends. Does that beat the broad stock market? Nope. The total return for Standard & Poor’s 500-stock index was 10.6% during the same period. But people don’t usually buy dividend stocks to beat the market. Income is the main course; appreciation is the gravy.
A warning: Like the stock market in general, many of the Dividend 15 are trading at or near their all-time highs. In a downturn, dividend payouts will cushion the blow but not eliminate it.
We are making just one change in the list, pulling CVS. Although the stock has performed well, it broke its streak of dividend increases, which was one reason we recommended it. We’re replacing it with pharmaceutical giant AbbVie. We’re keeping the rest of the Dividend 15, which we divide into three groups, for their dividend stability, briskly growing payouts or high yields. Find a stock below that suits your needs, or select a mix. Prices and other data are as of October 12.
This story is from the December 2018 edition of Kiplinger's Personal Finance.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the December 2018 edition of Kiplinger's Personal Finance.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber? Sign In
FREE HELP FOR COLLEGEBOUND STUDENTS
This program’s mentors assist applicants as they fill out the FAFSA, write essays and more.
WHAT YOU SHOULD KNOW ABOUT SPOUSAL IRAS
You typically need earned income to contribute to an individual retirement account, but a spousal IRA provides an important exception to this rule.
SELLING SHARES? HERE'S HOW TO MINIMIZE TAXES ON YOUR GAINS
ET'S say you've been regularly buying shares in a booming tech company over the past few years, but now you want to start taking some of those profits, perhaps to rebalance your portfolio.
Strategies for Novice Investors
AS part of a lifes kills program for young, single mothers, I was asked to teach a class on how to get on top of your finances.
ANSWERS TO YOUR 529 PLAN QUESTIONS
Thanks to recent policy changes, families have more options for what to do with money sitting in these tax-advantaged accounts.
Rate-Cut Winners and Losers
NOW that the Federal Reserve has cracked the interest rate ice, the next development will be to separate winners from losers.
SHOULD YOU BUY THESE RED-HOT FUNDS?
Covered-call ETFs are popular but come with plenty of caveats.
DIVIDEND STOCKS ARE READY TO REBOUND
Our favorite dividend payers are poised to benefit as falling interest rates lure investors back.
IS A 55+ COMMUNITY RIGHT FOR YOU?
These age-restricted developments appeal to older adults seeking abundant amenities and an active lifestyle.
AT LONG LAST, RATES ARE DROPPING
Consider these portfolio moves now that the Federal Reserve has cut its benchmark interest rate.