Dividends and a Portolio of US Dividend Allstars

Baseball recently had their all stars and you may have been reading about the US economic recovery, so how are the biggest dividend payers doing? If you had owned the 20 leading stocks over a 20 year period the average return would be 10.4%, for a low risk type of holding.

The stocks were put together by Craig McGee a senior institutional account manager at Morningside Research Inc. and his process was

to use Morningside US Equity data base for the 20 stocks with the highest value of expected total dividend to be paid in the next 4 quarters. Also included was

expected year-over-year dividend growth must be positive

each sector was limited to no more than two stocks (to have a very diversified portfolio)

Mr. McGee went back to 1993 and when a company did not meet the criteria it was changed to end up with a list of below

Rank   Company         Expected        Year-Over-Year Expected             Year-to-Date

–           –                 Yield %          Dividend Growth %        Total Return %

1.  Exxon Mobil            2.67                           9.52                                        3.62

2.  Apple Inc                  1.98                          5.79                                        19.31

3. AT&T Inc                   5.12                          1.66                                           6.14

4. Microsoft                    2.50                            4.67                                        21.33

5.. Verizon Comm            4.16                         0.71                                           6.98

6.. GE                              3.38                          3.53                                          -5.60

7.. Chevron                      3.23                         7.0                                             7.80

8.. Johnson & Johnson    2.73                         4.48                                         13.36

9.  Wells Fargo                 2.73                        12.00                                         14.54

10. P&G                            3.21                         6.98                                           0.71

The other companies included were Pfizer, Wal-Mart, JP Morgan Chase, McDonald’s, Home Depot, UPS, Duke Energy, The Southern, Dow Chemical and duPont

The important aspect is these companies have proven to be shown as long term holdings for any portfolio with limited risk and desire a good return. Owning them or a combination in the bulk of your stock holdings will increase your wealth over the long term.

There are more questions than answers, till the next time – to raising questions

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