Many long-term investors appreciate dividend stocks, for many reasons. Companies that pay back a portion of their profits to their shareholders via dividends are generally more reliable. Additionally, dividend stocks provide investors looking for income in retirement with a steady stream of passive income.
Generally, dividends are typically issued by well-established, financially stable companies that are often household names. And the most dependable dividend stocks have long histories of distributing capital to their shareholders. That’s what many such investors focus on.
Dividend-yielding companies tend to be financially healthy and stable over the long term. They tend to be wise investments anytime, especially in an upward-trending market.
This post appeared at Dividend Stocks Research.