Marc Lichtenfeld wrote an article for Smarter Investor at U.S News to answer the question of whether or not your dividends are safe:
In this low-interest-rate environment, dividend investing is very popular. Where else can you find 4 percent yields in quality companies—particularly yields that are growing every year?
So it’s no surprise that investors are pouring their money into dividend stocks and chasing yield.
But investors should have a clear understanding of what they’re getting themselves into. Picking a stock with a low dividend yield won’t be as destructive to net worth as picking a higher-yielding stock that cuts its dividend.
Continue reading on U.S. News and World Report.
