Uncertainty could be the best way to describe the market these days. There’s a lot of issues for investors to be worried about. From the rise of the Delta variant and worries about new COVID-19 restrictions creeping into climate-change woes and the Fed beginning its taper programs, investors have a lot on their minds. This comes at a time when overall equities may have gotten a bit frothy. After all, stocks have moved sharply since the depths of the pandemic.
The conundrum for portfolios is finding a balance between growth potential and risk management.
The answer may lie within so-called quality stocks. Featuring sustainable business models, earnings, revenues, cash flows and, of course, dividends, quality stocks have long been top performers in many market environments. Better still, focusing on the quality factor can pay a variety of benefits in an uncertain world, such as today.
All in all, quality could be a portfolio’s best friend.
Our Best Dividend Stocks List has 20 of the highest-rated stocks by our proprietary Dividend.com Rating system. Go Premium to find out the entire list.
