By Philip van Doorn
Expanding the pool of Dividend Aristocrats
S&P Global actually maintains a large number of Dividend Aristocrat indexes and you can see the full list here , and a shorter list of Aristocrat indexes tracked by exchange-traded funds (which are also listed) here .
Many of the Aristocrat indexes cover non-U.S. markets. In this article we are focusing on the three broad U.S. Dividend Aristocrat indexes, which have varying criteria and some overlap:
The S&P 500 Dividend Aristocrats Index, as described above, is made up of the 65 stocks in the benchmark S&P 500 that have raised regular dividends on common shares for at least 25 straight years. It is tracked by NOBL.
The S&P 400 Dividend Aristocrats Index /zigman2/quotes/201554301/composite REGL +0.23% has 48 stocks of companies that have raised dividends for at least 15 consecutive years, drawn from the full S&P Mid Cap 400 Index /zigman2/quotes/219506813/composite MID +1.25% . It is tracked by the $1.1 billion ProShares S&P MidCap 400 Dividend Aristocrats ETF /zigman2/quotes/201554301/composite REGL +0.23% .
The S&P High Yield Dividend Aristocrats Index /zigman2/quotes/210599901/delayed XX:SPHYDA +0.28% is made up of the 119 stocks in the S&P Composite 1500 Index /zigman2/quotes/210600453/delayed XX:SP1500 +0.53% that have increased dividends for at least 20 straight years. It is tracked by the $20.1 billion SPDR S&P Dividend ETF /zigman2/quotes/206871683/composite SDY +0.36% . The S&P Composite 1500 itself is made up of the S&P 500, the S&P Mid Cap 400 and the S&P 600 Small Cap Index /zigman2/quotes/210599868/delayed SML +0.46% . So the S&P High Yield Dividend Aristocrats Index includes all the stocks in the S&P 500 Dividend Aristocrats Index. However, it excludes some that are in the S&P 400 Dividend Aristocrats Index. The name of the High Yield Dividend Aristocrats Index is confusing, because the yields, again, aren’t necessarily high — they range from 0.19% to 5.22%.
So there are three broad U.S. indexes of Dividend Aristocrats, with varying criteria. Then again, they are all labeled as Aristocrats, so we screened the entire group by listing all the component stocks and removing duplicates, for a pool of 135 companies.
Highest-yielding Dividend Aristocrats
From the full list of 135 companies in the three broad U.S. indexes of Dividend Aristocrat stocks, here are the 10 with the highest dividend yields:
|International Business Machines Corp.||/zigman2/quotes/203856914/composite IBM||Information Technology Services||5.22%|
|National Retail Properties Inc.||/zigman2/quotes/205335487/composite NNN||Real Estate Investment Trusts||4.95%|
|Mercury General Corp.||/zigman2/quotes/200837562/composite MCY||Property/Casualty Insurance||4.86%|
|Leggett & Platt Inc.||/zigman2/quotes/206009340/composite LEG||Home Furnishings||4.63%|
|Exxon Mobil Corp.||/zigman2/quotes/204455864/composite XOM||Integrated Oil||4.56%|
|Realty Income Corp.||/zigman2/quotes/200487782/composite O||Real Estate Investment Trusts||4.54%|
|Franklin Resources Inc.||/zigman2/quotes/201997162/composite BEN||Investment Managers||4.30%|
|Amcor PLC||/zigman2/quotes/212673157/composite AMCR||Containers/Packaging||4.27%|
|NorthWestern Corp.||/zigman2/quotes/208537368/composite NWE||Electric Utilities||4.24%|
|OGE Energy Corp.||/zigman2/quotes/203542748/composite OGE||Electric Utilities||4.24%|
Click on the tickers for more about each company.
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