4 Dividend Stocks You Can Trust In a Bear Market

In bear markets, dividend stocks can be an excellent source of returns. That's because dividend-paying companies tend to be quality businesses with steady cash flows, which are highly valued during market downturns.

However, not all dividend-paying companies are the same. During tough times, some companies may be forced to cut dividends. Others maintain and even raise their dividends, making them trustworthy sources of passive income. Those with a history of increasing payouts can be reliable because they produce steady cash flows and have executive teams that are committed to managing the company's capital through various economic cycles. Here are four stellar dividend stocks you can trust in this bear market.

S&P Global (NYSE: SPGI) is an essential part of fixed-income markets, and its steady business model has allowed it to raise its dividend for 49 consecutive years. It provides credit ratings for companies looking to issue debt. It also has a strong competitive advantage in that high barriers to entry make it difficult for new entrants to break into the credit rating market. The company and Moody's Corp. dominate the credit rating industry with a combined market share of 80%.

Continue reading


Source Fool.com