The importance of dividend strategies

Investors of all types are seeking returns in an environment of greater volatility and low interest rates. Dividend-growth and dividend-income strategies, with their twin emphases on dependable returns with less volatility, can provide investment alternatives for many types of investment needs. Dividends have long been an important part of total return. In addition, investing in companies that not only offer dividends, but increase them, has shown over time to provide both growing income and higher total return than companies that do not, according to data presented in our recent white paper, "The 80-year-old fad: dividend investing comes back into vogue"

Capital provides a range of dividend-focused strategies to help pursue an array of investment goals. Our offerings include dividend-growth multiasset and equity-only strategies, as well as mandates with a greater focus on dividend income within a U.S., international or global framework. We have been investing in dividend-paying companies since shortly after the organization was founded more than 80 years ago, and dividends remain a core part of our investment DNA.


New Thinking About Global Asset Allocation

Investors may be able to improve their portfolio outcomes by diversifying their global asset allocations to include strategies that focus on income and income growth in addition to risk-based and tactical, returns-based strategies. (September 2013)

Q&A with Joyce Gordon: searching for yield across global markets

Portfolio manager Joyce Gordon tackles the challenge of finding yield in today’s market, where many traditional dividend-paying stocks have risen sharply. She is looking to new sources at home and abroad, while also bracing for higher interest rates. (September 2013)

Read Q&A and watch videos>

Dividend-focused strategies

A contrarian's guide to global dividend investing and China

International Growth and Income Fund manager Steve Watson's contrarian approach has helped him to uncover opportunities when other investors are excessively pessimistic. In this Q&A, Steve discusses finding attractive values in today’s uncertain market. (July 2013)

Read Q&A and watch videos

The 80-year-old fad: dividend investing comes back into vogue

In this piece, we explain why a strategic, long-term approach makes sense and how dividends can help address a range of investment needs. (March 2012)

Capital Group manages equity assets through three investment groups. These groups make investment and proxy voting decisions independently. Fixed-income investment professionals provide fixed-income research and investment management across the Capital organization; however, for securities with equity characteristics, they act solely on behalf of one of the three equity investment groups.

The statements expressed herein are based on the date noted Statements also include the opinions and beliefs of the speaker(s) at the time the commentary was recorded and are not intended to represent the opinions and beliefs of the speaker(s) at any other time. This information is intended merely to highlight issues and not to be comprehensive or to provide advice. Permission is given for personal use only. Any reproduction, modification, distribution, transmission or republication of the information, in part or in full, is prohibited.

Investments are not FDIC-insured, nor are they deposits of or guaranteed by a bank or any other entity, so they may lose value.

Investing outside the United States involves risks such as currency fluctuations, periods of illiquidity and price volatility, as more fully described in the prospectus. These risks may be heightened in connection with investments in developing countries. Small-company stocks entail additional risks, and they can fluctuate in price more than larger company stocks.

Investors should carefully consider investment objectives, risks, charges and expenses. This and other important information is contained in the fund prospectus, summary prospectus or the funds' Characteristics statement, which can be obtained from a financial professional, or your relationship manager, and should be read carefully before investing. Additional composite information is available for your reference.