Dogs of the Dow

An investing strategy which buys the 10 Dow stocks that have the highest dividend yield at the beginning of the year and readjusting every year. It is believed that these stocks are temporarily undervalued by the stock market or are at the bottom of their respective cycles. Thus buying them would be a good investment as these blue chips are usually stable in their dividends and investors will be buying them at a low price, hopefully to profit from a rebound in the future and gain above-market returns in the long run.

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