There is a myriad of investing strategies that can pay off on Wall Street. Buying dividend stocks tends to be one of the more successful ways to build wealth.

Companies that regularly dole out a dividend to their shareholders tend to be profitable on a recurring basis, are time-tested, and can provide investors with transparent long-term growth outlooks. Income stocks are rarely going to knock your socks off in the growth department, but they'll help you sleep better when volatility arises in the broader market.

What's more, dividend stocks offer a history of outperformance. A report issued by JPMorgan Chase's wealth management division in 2013 found that publicly traded companies initiating and growing their payouts between 1972 and 2012 delivered an annualized return of 9.5%. That compared to a measly 1.6% annualized return for the public companies that didn't offer a dividend over the same 40-year stretch.

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Source Fool.com