Below-average volatility and above-average yields are music to dividend investors' ears.
Investing in the stock market can sometimes be a test of investors' patience. Over the past 15 years, the broad-based S&P 500 has plunged by more than 50%, only to completely erase these losses within a matter of years twice (the dot-com bubble and the Great Recession). Long-term investors are well aware that the stock market tends to go up over the long-term, and has returned about 7% annually -- but that doesn't make it any easier holding onto stocks when the broad market indexes nosedive. This is where dividend stocks come in.ge yields are music to dividend investors' ears.
Dividend stocks offer a bounty of advantages over non-dividend stocks, which makes them attractive long-term holds. The obvious difference is that dividends provide a hedge during a downturn. The average yield of the S&P 500 is just over 2%, and while that won't negate a stock market correction lower, it's better than nothing.
Let’s take a look at four safe stocks with healthy dividend yields north of 5%. By "safe," I mean companies with below-average volatility and proven business models that won't leave you sleepless at night…
Source: The Motley Fool