Click here for our Insights on Dividend Methodologies.
Dividends are perennially popular strategies, even more so in this era of low yields.
Some dividend methodologies are highly effective, while others might select stocks in distress and not actually produce high dividend yields.
We grouped dividend strategies into similar types and found that methodologies using cumulative dividends, or a dividend sustainability screen are significantly more effective than those that just examine historical dividends or projected dividends.
Cumulative dividend and dividend sustainability screen methodologies had significantly higher returns, lower volatility, lower drawdowns and rated better!
See our ratings for more details.
|
Dividend Methodology |
Group Average Rating |
10 Year Annualized Return |
10 Year Annualized Volatility |
Group Return/Vol (All periods) |
Group Max Drawdown (Last 3 years) |
|
Cumulative Dividends Used |
Gold |
11.0% |
16.3% |
0.34 |
-34% |
|
Dividends Sustainability Screen |
Silver |
11.3% |
15.8% |
0.24 |
-37% |
|
Historical & Projected Dividend |
Copper |
8.1% |
18.8% |
0.00 |
-40% |
|
Historical Dividend |
Neutral |
7.9% |
18.1% |
0.05 |
-38% |