Investing
in indexes is a great way to avoid big risk especially when they are highly
liquid like the Dow Jones or S&P 500.
Both are survival indices because over the recent
years and decades, bad companies become eliminated and good stocks were
included. Today, Apple is a star in the Dow Jones.
By eliminating the bad stocks from the good
ones, investors can create an outperformance. The only question is how do we
beat the market by selected better performing stocks?
To find the best dividend payers today, we need to
divide the index into "High-yielders" and
"dividend-growers". The first class of stocks pay a higher dividend
but has a slow growth rate while the second group grows faster while paying
only small amounts of money to shareholders.
In addition, I run my screen for
firms with solid earnings outlooks and solid fundamentals, both within the high
yielders and dividend growers’ category.
Finally, a list of nine dividend paying stocks remain. Please find attached the detailed results of the screen.
Which do you like?
These are the results.....
