This Utility Dividend Stock Will Hold Up No Matter the Market Conditions

In periods of rising inflation and slowing economic growth, one constant investors can count on is the reliability of dividend stocks to help them make it through the toughest parts. That's because of income-generating companies' history of outperformance.

The asset managers at Hartford Funds looked at the performance of the S&P 500 index going all the way back to 1930, and found that dividends contributed 40% to the total return of the index over that 91-year period.

Moreover, the study found that from 1960 on, dividends represented an astounding 84% of the index's total return. Reinvesting dividends in the benchmark, coupled with the power of compounding, would have turned a $10,000 investment into more than $4.9 million compared to the $795,823 that grubstake would have become based just on the index's price alone.

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Source Fool.com