Friday, 10 Oct 2025
  • Contact
  • Privacy Policy
  • Terms & Conditions
  • DMCA
logo logo
  • World
  • Politics
  • Crime
  • Economy
  • Tech & Science
  • Sports
  • Entertainment
  • More
    • Education
    • Celebrities
    • Culture and Arts
    • Environment
    • Health and Wellness
    • Lifestyle
  • 🔥
  • Trump
  • VIDEO
  • House
  • White
  • ScienceAlert
  • Trumps
  • Watch
  • man
  • Health
  • Season
Font ResizerAa
American FocusAmerican Focus
Search
  • World
  • Politics
  • Crime
  • Economy
  • Tech & Science
  • Sports
  • Entertainment
  • More
    • Education
    • Celebrities
    • Culture and Arts
    • Environment
    • Health and Wellness
    • Lifestyle
Follow US
© 2024 americanfocus.online – All Rights Reserved.
American Focus > Blog > Dividend stocks play a big role in the decline due to the Fed and interest rates

Dividend stocks play a big role in the decline due to the Fed and interest rates

Last updated: August 25, 2024 7:50 pm
Share
Dividend stocks play a big role in the decline due to the Fed and interest rates
SHARE

Diving back into dividends

It appears that more and more investors are looking at dividend stocks ahead of the Federal Reserve’s September interest rate decision.

Paul Baiocchi of SS&C ALPS Advisors thinks this is a good strategy because he sees the Fed cutting rates.

“Investors are turning back toward dividends from the money markets, from fixed income, but especially to leveraged companies that could be rewarded by a falling interest rate environment,” the chief ETF strategist told CNBC’s “ETF Edge” this week.

ALPS is the issuer of several exchange-traded dividend funds, including the ALPS O’Shares US Quality Dividend ETF (OUSA) and its counterpart, the ALPS O’Shares US Small-Cap Quality Dividend ETF (OUSM).

Relative to the S&P500are both overweight dividend ETFs healthcare, financial affairs And industrialistsBaiocchi said. The ETFs exclude energy, property And materials. He calls the groups three of the most unstable sectors on the market.

“There is not only price volatility, but also fundamental volatility in those sectors,” Baiocchi said.

He explains that this volatility would undermine the purpose of the OUSA and OUSM, which is to prevent credit loss.

“You look for dividends as part of the methodology, but you look for dividends that are sustainable, dividends that have grown and are well supported by fundamentals,” Baiocchi said.

Mike Akins, the founder of ETF Action, considers OUSA and OUSM defensive strategies because the stocks generally have clean balance sheets.

He also notes that the dividend category in ETFs is becoming increasingly popular.

“I don’t have the crystal ball that explains why dividends are so popular,” Akins said. “I think people look at it as if you’re paying a dividend, and you’ve had a sense of viability for that company’s balance sheet for years.”

See also  Woman stabbed to death in domestic dispute in NYC — with her son being taken into custody as person of interest: cops
TAGGED:bigdeclineDividenddueFedinterestplayratesrolestocks
Share This Article
Twitter Email Copy Link Print
Previous Article Armed robber in Central Park returns phone and apologizes before fleeing scene Armed robber in Central Park returns phone and apologizes before fleeing scene
Next Article Why Viking Therapeutics could be ‘onto something pretty amazing’ Why Viking Therapeutics could be ‘onto something pretty amazing’
Leave a comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Popular Posts

Alyssa Milano Honors Julian McMahon After His Tragic Death at 56

Alyssa Milano, best known for her role in the popular TV show Charmed, recently expressed…

July 5, 2025

Belgian court overrules Alstom’s appeal of SNCB’s pick for 1.7 billion euro trains deal

By Alban Kacher (Reuters) - Belgium's highest administrative court delivered a ruling on Wednesday, dismissing…

September 26, 2025

Prince William & Prince Harry Avoid Each Other At Uncle’s Funeral

Prince William and Prince Harry Set to Reunite at FuneralAs OK! previously reported earlier this…

August 29, 2024

Dow, S&P 500 soar, Nasdaq rebounds in best day since November to cap volatile week

In a recent communication to investors, BMO's chief investment strategist, Brian Belski, reaffirmed his bullish…

March 14, 2025

Chuck Schumer And Hakeem Jeffries Stunned Trump During Shutdown Meeting

Recent events have suggested that former President Donald Trump may be struggling not only with…

September 29, 2025

You Might Also Like

Gold, Silver, and U.S. Stocks Are All at Record Highs. What Gives?
Economy

Gold, Silver, and U.S. Stocks Are All at Record Highs. What Gives?

October 10, 2025
Biden Judge Michael Nachmanoff Refuses to RECUSE Himself from Comey Case Despite Glaring Conflicts of Interest | Joe Hoft
Politics

Biden Judge Michael Nachmanoff Refuses to RECUSE Himself from Comey Case Despite Glaring Conflicts of Interest | Joe Hoft

October 10, 2025

Stock market today: Dow slides, S&P 500 and Nasdaq snap winning streaks as Oracle leads tech stocks lower

October 9, 2025
Chuck Schumer ripped for claiming shutdown is ‘better’ for Democrats — as troops, fed workers expected to miss first paychecks
World News

Chuck Schumer ripped for claiming shutdown is ‘better’ for Democrats — as troops, fed workers expected to miss first paychecks

October 9, 2025
logo logo
Facebook Twitter Youtube

About US


Explore global affairs, political insights, and linguistic origins. Stay informed with our comprehensive coverage of world news, politics, and Lifestyle.

Top Categories
  • Crime
  • Environment
  • Sports
  • Tech and Science
Usefull Links
  • Contact
  • Privacy Policy
  • Terms & Conditions
  • DMCA

© 2024 americanfocus.online –  All Rights Reserved.

Welcome Back!

Sign in to your account

Lost your password?