Dividend Yields That Are Just Right

Dividend yields have a bit of a "Goldilock's porridge" quality about them. Investors have to get a taste for different yields while searching for the ones that are just right. Pick one that's too low, and you'll be risking your money and not getting paid enough for taking on that risk. But pick one that's too high and you could get seriously burned. Just Right That sweet spot of dividend yields, I believe, sits at between 3-5% these days, or just above 10 year Treasury rates. There are plenty of large cap companies paying dividends in this range which have been raising their dividends over the last five years. Running a screen for these metrics yielded about 40 stocks for me. Here are a few choice picks from the bunch: Unilever (NYSE: UL) Market Cap: 84 Billion Yield: 4.75 Dividend Growth Rate (5 year average): 17% McDonald's (NYSE: MCD)Market... Read more