7 Passive Income Stocks To Buy Despite Rising Interest Rates

 

These seven top passive income stocks are ones to watch in 2022

 


Finding top passive income stocks to hold in one’s portfolio can provide positive long-term risk-adjusted returns. These stocks tend to be more stable, rising slower than high-growth stocks, but also declining less in downturns. For those concerned about the effect rising interest rates could have on the stock market, such passive income plays are worth considering.

 

Now, dividend-yielding stocks aren’t exempt from the pain of rising interest rates. Higher bond yields provide investors seeking risk-free yield with excellent alternatives to stocks. Accordingly, passive income stocks can see declines as investors recalibrate their portfolios toward fixed income or other alternative assets.

 

That said, for those looking to retain a strong allocation to equities, there are a number of passive income stocks worth considering. Many of the stocks on this list are high-growth passive income equities. Via raising their dividends each year, these stocks allow investors to protect their portfolios against inflation, to some degree. Most bonds don’t allow for that.

 

Additionally, these stocks also provide capital appreciation upside in good times. Should the market turn around, investors can participate in the upside of various rallies.

 

 

Accordingly, let’s take a look at seven top passive income stocks I think are worth a look right now.

 

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