"Boost Your Portfolio with High-Yield Dividend Stocks and ETFs"

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Source: MarketWatch
"Boost Your Portfolio with High-Yield Dividend Stocks and ETFs"
Photo: MarketWatch
TL;DR Summary

Dividend stocks and ETFs, despite underperforming the broad market in the past year, have historically shown a tendency to bounce back strongly after periods of negative performance. The alpha of dividend stocks relative to the S&P 500 has swung between positive and negative extremes at regular intervals. While there are no guarantees, the historical record suggests that dividend-stock investors should not give up on these investments. It may even be an opportune time to buy more dividend stocks at their currently depressed prices. However, investors should exercise caution and consider other metrics alongside dividend yield to ensure the underlying companies are financially stable.

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