Dividend Advantage #5: Outperform the Market

S&P data shows that solid dividend-paying stocks have averaged a little over ½% increase every year in stock price. Compare that to an average 5% loss for companies that DON'T pay dividends. 

Here's the kicker: As a rule, high-paying dividend stocks outperform the same stocks (in the same category, mind you!) that don't pay dividends. 

Bottom line: Take a look at good companies with solid track records of dividend payments. They'll probably pay off in the long run — both in income along the way AND in capital gain possibilities. It's the best of both worlds!

To find out your pre-tax and after-tax yield on a particular dividend-paying stock, click here to use our calculator.

Just say "NO" to this yield!

There's a high-yielding investment out there that you MUST steer clear of, (tempting though it might be). Read all about it here: A High-Yielding Investment You Don't Want