Over the 20-year period since its launch in May 2005, the S&P 500 Dividend Aristocrats Index has historically outperformed the standard S&P 500 with lower volatility.
Annualized Returns: The Dividend Aristocrats Index posted an annualized return of 10.23% over its first 20 live years, aligning closely with but slightly edging out the broader benchmark's performance in many long-term windows.
Risk & Volatility:The Aristocrats Index typically exhibits lower annualized volatility (~14.34%) compared to the S&P 500. It has historically captured roughly 91% of market gains but only 80% of market losses, providing superior downside protection during bear markets.
Dividend Performance:The average dividend yield for Aristocrats is approximately 2.54%, notably higher than the S&P 500's average of 1.89%. The index has achieved an annualized dividend growth rate of 8.1%, significantly outpacing inflation.
Dividend Aristocrats vs S&P 500 index performance for 20 years
byu/Guy_PCS instocks
Posted by Guy_PCS
5 Comments
Cool, I guess.
EU dividend is 5x higher.
I paid 20 000€ and got 2556€ back on next day.
US dividend is like cents. Not worth at all
why did you post this
In other words, it had worse returns than the S&P 500. Amazing.
What ticker are we talking abut here? I hold NOBL; it is no shining star… I bought on the thesis that consistent dividend raising companies were doing well; I didn’t buy for the dividend but for the thought that to always raise the dividend required positive performance of the company which would lead to classic growth too. It hasn’t worked.