2 Stocks to Buy With Dividends Yielding More Than 4%

One of the more memorable quotes about dividend investing comes from Raymond DeVoe Jr., who wrote a long-running financial newsletter known as The DeVoe Report. Because yields that are significantly higher than the broader market typically imply much greater risk, DeVoe argued that "more money has been lost reaching for yield than at the point of a gun."

Investing legend Warren Buffett agreed with DeVoe's sentiment and said as much in his 2011 letter to shareholders. He used the comment to explain why Berkshire Hathaway prefers to hold its cash in U.S. Treasuries rather than in other short-term securities.

Chasing high-yield stocks, in particular, more often than not results in not only an eventual dividend cut or suspension but also in investors suffering significant capital losses when a cut lowers the share price.

Source Fool.com