The usual suspects

Question: Which dividend-paying sectors are most favorable today?

Dan Peris: We're often asked about sector exposures, underweights and overweights, and there's an interesting answer. It's very steady over many decades. The dividend oriented sectors and industries in the U.S. stock market really don't change very much. It's been what I call the usual suspect's crowd.

Dan Peris: Their weights may rise or fall slightly, the constituent elements may rise or fall, but really it's the usual suspects when it comes to companies or sectors such as utilities, telecoms, large cap pharma, and so forth. They tend to be a component of a dividend focused portfolio when they are in favor and when they are not in favor from a stock market perspective. And that is because that's where the dividends are, that's where the dividend growth is, and that's where the dividend-focused investor will be in good times and bad.