Portfolio Strategy Chart of the Day

研报英文原文证据摘录

Portfolio Strategy Chart of the Day

June 30, 2026

Favorite Dividend Strategy: High Dividend Growth and High Free Cash Flow Yield

Dividend Growth Strategies Dividend Growth Strategies: 1-yr Relative Returns

146 (Indexed to 12/31/2024, Total Return)

Returns 2025 YTD 6%

136 Divi Aristocrats 7% 10%

5% High Divi Growth & FCF Yield 19% 14%

126 Highest Divi Growth 16% 7% 4%

S&P 500 Equal Weight 11% 12%

116 3%

2%

1%

0%

86 High Div. Growth High Div. Growth & FCFF

Dec-24 Feb-25 Apr-25 Jun-25 Aug-25 Oct-25 Dec-25 Feb-26 Apr-26

Divi Aristocrats High Divi Growth & High FCF Yield Highest Divi Growth S&P 500 Equal Weight

• Dividend investing strategies’ performance has been mixed YTD and have seen improved performance recently as investors

question whether the parabolic Tech lead rally can continue. Year-to-date, High Dividend Growth and Free Cash Flow Yield has

been the top performing dividend strategy, slightly outperforming the equal weight S&P 500 in a choppy trading environment.

• Our sense is this outperformance is due to its defensive growth nature and is a key reason it is our favorite long-term way to invest

in dividend producing companies. Specifically, this cohort of stocks has the virtuous combination of 1) high dividend growth, and 2) a

high free cash flow yield. Historically this cohort of stocks has outperformed by 500+ basis points annually, and is currently cheap,

particularly relative to High Dividend Growth. For a comprehensive overview of our favorite dividend strategies, including several

buy and sell stock screens, please see our note out yesterday morning: Dividend Investing Strategies; Dividend Themes for All

Market Environments.

Notes: Universe for dividend growth returns is largest 1,000 U.S. companies by market capitalization rebalanced monthly.