The Dow 10

The Dow 10 Strategy

The Dow 10 is focused on high dividend yield stocks in the Dow Jones Industrial Average Index (DJIA). Outperformance of high dividend Dow stocks was supposedly discovered by John Slatter in the late 1980′s and began to increase in popularity in the early nineties following Michael O’Higgins book “Beating The Dow”. The Dow 10 is exactly the same strategy as the “Dow Dogs” or “Dogs of the Dow”

The Dow-10 strategy consists of buying the ten highest yielding dow stocks and re-balancing annually.

Another popular derivative of the strategy is picking the five lowest priced of the 10 stocks (Small Dogs from Dow Dogs strategy).

2018 Dow 10 Stocks and End-Of-Year Returns

Merck (MRK) +40%
Pfizer (PFE) +24.82%
Cisco (CSCO) +16.57%
Verizon (VZ) +11.25%
Coca Cola (KO) +6.79%
Procter & Gamble (PG) +3.62%
Chevron (CVX) -9.78%
Exxon Mobil (XOM) -15.105
IBM (IBM) -22.54%
General Electric (GE) -55.39%

Total Dow 10 Stocks 2018 Return = +0.02%
Total DJIA 2018 Return = -5.63%

2019 Dow 10 Stocks

IBM (IBM) 5.71% Yield
Exxon Mobil (XOM) 5.03% Yield
Verizon (VZ) 4.31% Yield
Chevron (CVX) 4.27% Yield
Coca Cola (KO) 3.46% Yield
JPMorgan (JPM) 3.45% Yield
Cisco (CSCO) 3.32% Yield
Pfizer (PFE) 3.30% Yield
Procter & Gamble (PG) 3.19% Yield
3M (MMM) 2.98% Yield

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