Have you ever wondered how much of the total return, in stocks, comes from price appreciation and how much from dividends?

Since the 1930s, dividends have accounted for more than 50% of the market’s total return. That means that if you’re not looking at dividend-paying stocks, you’re missing out on half of the market’s profit potential.

Today, I want to present a series of charts that show, with little explanation required, the case for dividend stocks…

They’re Inflation Fighters:
Past dividends that S&P 500 companies have paid have grown at three times the rate of inflation over the last 60 years.

See larger image

They’re Bond Beaters:
Since 1979, dividend income from S&P 500 stocks has increased five-fold, while interest income on bonds has declined.

See larger image

And They’re Smooth Sailors:
Dividend-paying stocks are one-third less volatile than non-paying stocks. Plus, the average annualized return on dividend-paying stocks is nearly seven times higher.

See larger image

If pictures are truly worth a thousand words, all I have left to say is this: “Enough said!”

Get Your June Issue of Boom & Bust

Harry Dent and Rodney Johnson uncover the next profitable investment … based on a boom or a bust. You'll learn why you should not be listening to the talking heads and Wall… Read More>>
Adam O'Dell
Adam O'Dell has one purpose in mind: to find and bring to subscribers investment opportunities that return the maximum profit with the minimum risk. Adam has worked as a Prop Trader for a spot Forex firm. While there, he learned the fundamentals of trading in the world’s largest market. He excelled at trading the volatile currency markets by seeking out low-risk entry points for trades with high profit potential. An MBA graduate and Affiliate Member of the Market Technicians Association, Adam is a lifelong student of the markets. He is editor of our hugely successful trading service, Cycle 9 Alert.