Inflation continues to run hot, with the consumer price index coming in at 7.9% in February, the highest reading in 40 years. Inflation can make investing tricky because there is no certainty about when elevated levels will ease. There's something you can do about it, though. Including dividend stocks as a part of your diversified portfolio is a prudent move during times like this.
According to Fidelity, dividends account for 40% of the stock market returns since the 1930s. When inflation is high, dividends account for an even greater share of the market's return. Fidelity found that during the inflationary decades of the 1940s and the 1970s, dividends accounted for 65% and 71% of the S&P 500 's total returns, respectively.
Moelis & Company (NYSE: MC) is one dividend stock swimming in cash. The investment bank put up a stellar year in 2021, rewarded income investors handsomely, and is still sitting on a big pile of cash. Here's why it might be worth a closer look.
For further details see:
This Dividend Stock Is Swimming in Cash