What is a high dividend stock?


Quick Answer

High-dividend stocks are ones that pay the highest dividends to investors. A dividend is a return on the investment of a stock; when companies make a profit, that profit is returned to shareholders in the form of dividend payments of cash or stock. Most companies pay dividends quarterly, advises Dividend.com.

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Full Answer

The highest-yielding dividend stocks as of 2015 include the New Germany Funds, Inc., with a dividend yield of 46.48 percent, WisdomTree Japan Hedged Capital Goods Funds, with a dividend yield of 46.08 percent and ETRACS Monthly Pay 2xLeveraged Wells Fargo MLP Ex-Energy ETN, with a dividend yield of 45.44 percent. Other top high-yield dividend stocks include Swiss Helvetia Fund, Inc., and WisdomTree Japan Hedges Equity Fund, notes Nasdaq.com.

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