Investors are always looking for high returns, and right now the signs are lining up in favor of the high-yield dividend segment. Dividend payments ensure a regular income stream, regardless of market conditions, while high yields offer the potential for solid returns on investment.
The dividend stocks are also favorites of defensive investors, tending to be less volatile during market ups and downs. That’s an important point right now – even though the consensus wisdom is suggesting that we’ll see an economic soft landing, there is still a chance of an economic downturn.
This background has informed a recent note from Desh Peramunetilleke, head of Microstrategy at investment bank Jefferies, who points toward high-yield dividend stocks as sound choices given today’s conditions.
“After a challenging 2023,” the Jefferies team says, “the outlook for dividend strategies has…