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Party at Dow Jones’ and everyone’s invited

Topics covered in this article:

Cisco Systems (CSCO)

Chevron Corporation (CVX)

JPMorgan Chase (JPM)

2020 was a big year for the Dow Jones –  the benchmark index saw strong runs and dips with Biden’s presidency and the pandemic causing the largest market movement. 2021 appears to be following suit. 

The Dow Jones measures the performance of the 30 most-traded stocks on the New York Stock Exchange and Nasdaq. It comprises reputable blue-chip stocks and offers investors some of the best dividends with yields ranging from 1-6%.

Payment vs. dividend

When trading dividend stocks, you will come across the terms payment date and ex-dividend date. These are straightforward but important concepts.

A company will declare when it intends to make a dividend payment in advance and count back to a specific date by which time an investor must be holding a share to qualify to receive it. This is known as the ex-dividend date

The payment date is the date payment is made and it’s usually some weeks later.

When it comes to investing, sole focus should not be the dividend. To reward shareholders, companies must be performing well during each period – their earnings must rise and they should post a profit. Some companies offer yields in the 6% bracket, and while these can be very tempting for those on the search for an income boost, they must be supported by decent financials.

This week, we look at three high-flying dividend stocks on the Dow Jones

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