Defensive Investing: 6 High Dividend Business Services Stocks

Recently, we discussed the viability of defensive investing for mega-cap Services stocks. Although high dividend yielding Services stocks have recently underperformed the risky Services stocks with no dividend yields, it seemed investors might benefit more by switching to high dividend stocks in the current monetary environment. For different industries within the Services sector, such as Business Services, this defensive strategy can yield better results. High dividend stocks in these industries usually deliver higher current returns and can be considered as alternatives to T-bonds. As we are concerned about the upcoming inflationary environment, we believe investors should pick the stocks with higher dividend yields. We compiled a list of 33 Business Services Stocks (the sector classifications are sourced from Finviz) by market cap (>$1B) and ranked them based on their 12-month dividend yields. The stocks with dividends and no dividends, and their 2011 performances are shown below: STOCKS WITH DIVIDEND YIELDS... Read more