7 of the Best-Yielding Stocks for 2019

Q1 is in the books and companies are cutting fat dividend checks left and right as we speak.

Two weeks ago over 200 companies cut checks to shareholders. Last week over 100 more did as well.

Did you get yours?

One of the most successful investing strategies of all time is to follow the Dogs of the Dow.

Popularized in 1991 by Michael O’Higgins, the Dow Dogs have been a standard with yield-hungry investors ever since. They deliver a steady stream of dividend income regardless of what happens in the market.

But even better, they also can outperform the market by a wide margin.

What Kinds of Returns?

The Dogs of the Dow outperformed last year, which marks four years in a row and seven of the last 10 years that the Dow Dogs beat the overall return of the DJIA.

In fact, the Dogs of the Dow are so popular that they have their own index.

The Dow Jones High Yield Select 10 Total Return Index mirrors them. And how well have these dogs done?

The Dow Dogs have beaten the pants off the Dow Jones index by gaining 291.4% since 2001, compared with an overall Dow return of 179%. That’s an average annual return of 10.1% for the Dogs compared with just 8.0% for the DJIA.

Even more impressive is how the Dogs of the Dow have performed during down years, suffering only one losing year, in 2011.

How Do You Add These Dogs of the Dow to Your Portfolio?

It’s quite simple.

You could buy all 10 of the Dogs of the Dow.

But I suggest considering an ETF that mirrors them instead.

The ALPS Sector Dividend Dogs (SDOG) is a great way to gain exposure to these market outperformers without having to pony up a ton of extra cash to grab shares of 10 different companies.

Here’s to growing your wealth,

Mike Burnick
Chief Income Expert, Mike Burnick’s Wealth Watch