High dividend paying stocks outperform Nifty amid higher market volatility
Companies with consistent dividend history usually have a strong free cash flow given the mature business model.
Synopsis
The Nifty dividend opportunity 50 index, which is composed of high dividend paying stocks, has delivered an annual return of 11.3% compared with 8.9% return of the Nifty 50 based on the total return (including capital gains and dividend) since October 2007, the data from Bloomberg shows.
ET Intelligence Group: A general perception about the high dividend paying stocks is that they provide capital preservation when markets are wobbly. But, long-term trend shows they also offer capital appreciation. The Nifty dividend opportunity 50 index, which is composed of high dividend paying stocks, has delivered an annual return of 11.3% compared with 8.9% return of the Nifty 50 based on the total return (including capital gains and
