‘Dividend aristocrats': Strategists name high-yielding stocks to ride out a bear market

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Strategists screened for stocks with dividends of between 3% and 5%, low debt ratios and stable yields.

U.S. stocks fell into bear market territory last month — and the wild swings since have made it hard to predict where the market is going next. The S & P 500 logged its worst performance in 50 years during the first half of this year, as it tumbled nearly 20%, and the Nasdaq is down nearly 30% from its high this year – well into bear market territory. Stocks staged a comeback on Tuesday after the July 4 holiday, but worries about a potential recession continue to plague markets.

" Combining such dividend growth shares with bonds, as well as tax-efficient investing strategies for beaten-down stocks and bonds "offers a lower-risk approach for today's uncertainties," said Citi. Stock picks Wolfe Research — which says its base case in the intermediate term is bearish — screened for defensive dividend stocks with yields of more than 3%, low debt, and low payout ratios.

 

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