Want $5,000 in Passive Income? Invest $74,000 in These High-Yield Dividend Stocks
Inflation is running hot. The consumer price index for January came in at 7.5%, the highest reading since 1982. Geopolitical conflict will also put pressure on the cost of energy, which could keep inflation elevated for the near future.
If we are going through an extended period of higher inflation, it would be prudent to give dividend stocks a spot in your portfolio. According to research from Fidelity, dividends have accounted for 40% of the stock market's total return since 1930. And during inflationary times, dividends accounted for an even larger share of market returns. In the inflationary decades of the 1940s and 1970s, dividends accounted for 65% and 71%, respectively, of the S&P 500's total returns.
Two high-yield dividend stocks you can add today are Arbor Realty (NYSE: ABR) and New York Community Bancorp (NYSE: NYCB).
Source Fool.com
