The Standard & Poor's Guide to Building Wealth With Dividend Stocks

Acknowledgments vii Foreword ix Introduction 1(6) Why Dividends Are a Key Factor in a Successful Investment Program 7(12) Why There's Less Volatility Dividends and Compounding Power Dividends Are Real A Brief History Some Characteristics of Dividends Stodgy Dividend Payer or Hot Growth Stock In a Nutshell Points to Remember The More Favorable Dividend Tax Rate 19(10) Holding Periods Qualified and Nonqualified Dividends Taxable vs. Tax-Deferred Accounts Benefiting from Lower Tax Rates Other Tax Cut Benefits Points to Remember How to Find the Best Dividend Payers 29(12) Important Ratios to Consider Cash Flow S&P Quality Rankings Price-Earnings Ratio There Are Earnings and Then There Are Earnings S&P's Core Earnings Points to Remember Traditional Income Stocks 41(22) Electric Utilities Gas Utilities Utility Mutual Funds and ETFs Banks Real Estate Investment Trusts Water Utilities Energy Stocks Telecommunications Stocks Pharmaceutical Stocks Preferred Stocks Master Limited Partnerships Points to Remember Dividends as a Hedge against Inflation 63(10) An Example of Profiting from Dividends Unlikely to Break the String Stocks with Good Yields on Cost Points to Remember Magnify Your Returns via Dividend Reinvestment 73(12) DRIPs Folios DSPs Advantages of DRIPs and DSPs Dollar Cost Averaging Value Averaging Enrolling and Exiting a DSP Diversify Your Choices Disadvantages of DRIPs and DSPs Points to Remember Dividend-Oriented Mutual Funds and ETFs That Let You Sleep at Night 85(18) Good Diversification Vehicles Sales Charges Examine Expense Ratios Exchange-Traded Funds (ETFs) Recommended Dividend-Oriented Mutual Funds Recommended Dividend-Oriented ETFs Closed-End Funds Withdrawal Plans Points to Remember Dividend Strategies 103(10) Dogs of the Dow The Puppies and Pigs UITs and Mutual Funds Based on the Dogs Other Investment Strategies Dividend Yields vs. Dividend Increases Points to Remember What Can Go Wrong 113(6) TIPS I Bonds Corporate Bonds Municipal Bonds Dividend-Paying Stocks Offer the Most Potential Points to Remember Selected Stocks Worth Buying 119(34) Group 1: Stocks You Can Buy Directly Group 2: Stocks with Outstanding Dividend Growth Group 3: Good Quality Stocks with Higher Yields Dividend Aristocrats Appendix 1 Dividend Reinvestment Plans of Companies in the S&P 500 153(96) Appendix 2 DRIP Companies in the S&P 1500 with Five-Year Annual Dividend Growth Rates of at Least 6 Percent 249(8) Appendix 3 100 Companies with Largest Market Values in S&P 500 257(4) Index 261