Dividends In a Rising Rate Environment

BlackRock takes a look at how dividend paying stocks fair in a rising rate environment.  Hint:  They do better than bonds.  You know I'm negative on bonds anyway.  This just adds to my list of reasons to stay clear of this asset class for the immediate future.

"Most investors fear rising interest rates. But perhaps more than the others, bond investors fear the loss of portfolio value that may occur when interest rates rise. Which begs the question – are there alternatives to bonds that might offer income and behave better in a rising rate environment? Indeed, global dividend stocks offer a compelling potential of income and outperformance in rising rate environments."

Link:  BlackRock: Stocks Seek to Offer Protection Amid Rising Rates.