by winston » Fri Apr 15, 2016 7:58 pm
'DIVIDEND ARISTOCRATS' MARCH HIGHER
Today's chart shows the power of investing in companies that pay steady, growing dividends...
A dividend is money a company pays its shareholders. Every quarter, the company counts its earnings and pays out some portion to you, the owner.
Essentially, it's your cut of the profits. As we've explained over the years, dividends are vital to the overall returns of your portfolio.
Companies that have increased their dividend payout for the past 25-plus years are part of an elite group called the "Dividend Aristocrats."
We've covered many of them in DailyWealth over the past few months, including water-utility stock American States Water, soft-drink titan Coca-Cola, health care giant Johnson & Johnson, and most recently, medical-device maker Becton Dickinson.
The ProShares S&P 500 Dividend Aristocrats Fund (NOBL) is an exchange-traded fund that holds the Dividend Aristocrats. It's a "one click" way to get an idea of how these dividend stalwarts are performing.
And as you can see below, these high-quality businesses continue to beat the market. Over the past seven months, shares of NOBL are up 12%... almost double the return of the S&P 500. And the fund just hit a new all-time high.
Dividend investing may not be exciting, but it works!
Source: Daily Wealth
It's all about "how much you made when you were right" & "how little you lost when you were wrong"