Why Dividend Stocks Will Significantly Lag Cyclicals Over The Next 5 Years
By The Independent Investor:Why own any stocks if they don't pay dividends? Well, while the S&P 500 and its tracking exchange traded fund SPDR S&P 500 Trust ETF (SPY) have rallied nearly 20% since the market low of last year, and stocks such as Apple (AAPL) are up nearly 30% in the last year, the recent sell-off in risk assets has been brutal.Indeed, starting in early April, as the economic data began to deteriorate, the S&P 500 and the Nasdaq sold off 10%. Still, while the U.S. indexes have held up decently, foreign markets, such as the French and German markets, are off over 30% in the last year.Cyclical sectors such financials, and industrials, as well as market leaders within these sectors, such as Apple, JPMorgan (JPM), Citigroup (C), and General Electric Company (GE), have sold off over 15% in the last month. Energy stocks such as Chevron (CVX) and ExxonComplete Story »
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