While dividend growth sounds like a stodgy, old-fashioned
approach to investing, the truth is that most dividend growth strategies have
kept up with the stock market’s advance over the past decade.
That’s because they have one huge advantage…
Dividends cannot be taken back while price gains can
disappear in the blink of an eye.
Take a look at the
S&P 500 Dividend Aristocrats – companies that have increased their
dividends every year for the last 25 years consecutively – for example…
They’re up 178% over the last decade compared to 226% for
the S&P 500.
But if you reinvested the dividends they paid out, you’d be
looking at returns just north of 300%.
The idea of dividend growth stock investors may conjure up
images of Grandpa shuffling out to the mailbox to see if his check from Big
Boring Blue-Chip Incorporated has shown up yet.
But the truth is, we can focus on dividend growth and still
own some of the companies that are making the world better every day.
Here are my top three dividend growth stocks to own today.
All of them yield at least double the average S&P 500 company.
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