Should Dividend Investors Sweat Interest-Rate Risk?

thumbnail

Asset Prices and Interest Rates Down by the Schoolyard Imagine interest rates and possession costs as kindergarten friends mounted on either end of a seesaw in the schoolyard. While higher-yielding stocks tend to have a low degree of sensitivity to market movements, they have a strong negative relationship with interest rates., and SPDR S&P 600 Small Cap ETF( SLY). Sorting by Industry While looking at interest-rate level of sensitivity throughout market-cap strata assists ground this relationship in firms’basics, the image is still far from total. At the bottom of the rankings, we find Invesco S&P 500 High Dividend Low Volatility ETF( SPHD ).

, and SPDR S&P 600 Small Cap ETF( SLY). Sorting by Industry While looking at interest-rate level of sensitivity throughout market-cap strata helps ground this relationship in companies’basics, the image is still far from total. At the bottom of the rankings, we find Invesco S&P 500 High Dividend Low Volatility ETF( SPHD ).

The Secret

Leave a Reply

Your email address will not be published.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

Back To Top