- Components of the S&P 500 that have paid steadily increasing dividends for at least 25 years have outperformed the broader market over time.
- This article demonstrates that historic outperformance and lists the current Dividend Aristocrat constituents and their recent returns.
- In February, the Dividend Aristocrats slightly outperformed the S&P 500 (+2.81% vs. +2.76%).
- While dividend growth stocks tend to underperform in rising rate environments, the strategy benefitted in February from its tech underweight.
- By showing the recent performance of the Dividend Aristocrats, some active dividend growth investors may be able to suss out relative bargains.
For further details see:
Dividend Aristocrat Performance: February 2021