It’s Time for Both a Quarterly and Dow Rebalancing                             

On unique advantage to Durig’s Dogs of the Dow is our quarterly rebalance, but even more important is the Dow Jones Industrial Average is going to remove both Exxon Mobil and Pfizer from the Dow. We also have already removed those two companies from our Dogs portfolio. Even though we are still down year-to-date, our three year and lifetime numbers are pretty good at 6.83 for 3 years and lifetime of 7.03.  These numbers, even though in a little disappointing, still greatly outperform the static Elements Dogs of the Dow.

Canada Dividend Dogs are Having a Breakout Year        

To our surprise, the most successful principle growth and highest income investing in stocks is not coming from the US. It’s surprising but we are seeing the best returns, hands down, out of Canada. The Dogs of the S&P 500, that we launched on 5-8-2020 is now up over 35%.   In our last article we said it  was up 17% in two months and claimed, “this story is just too good to be true.” Well it double from there.

Dogs of the S&P – 5.5% Dividend Income and Strong Fundamentals – Is It Right for You? 

After completing a very nice 2019 and 2018, the Dogs of the S&P seem to be more challenged in this year, 2020. Even with the positive effects of dynamic weighting, quarterly reballancing and no cost trading, it is still a tougher year than most. Compared to most income based investments that are yielding in the range of 5.5%, Dogs of the S&P have done comparably very well.

Dividend Dogs of Europe – If Europe is Improving Now Might Be the Time?

We wanted to update you on the Dogs of Europe.  This is a condensed Aristocratic portfolio that is delivering high dividend income and good growth.  The portfolio is paying just slightly over 6% and has done well in its short life, but nothing compared to the Dividend Dogs of Canada.

This is a solid income and diversification strategy and design to be an outstanding way for American investors to own high dividend paying European companies. Europe is in many ways having significant COVID-19 related economic stress, and we believe this is possibly a very good alternative when investing outside the United States.

Is Durig’s Dogs of the Dow a Superior Performer and a Way to Invest in the Dogs of the Dow?

We took the effort to compare Durig Dogs of the Dow to the Elements Dogs of the Dow.  Now we have completed three years in which two years were very good and 2020 which was one of the worst we can recall. We question if we have ever seen a rough total environment in our personal lifetimes like the market so far this year.  So in good and bad years, how did Durig Dogs of the Dow stack up to its closest competitor?

Let’s look at the benchmarked first year to date:

Durig Dogs of the Dow:          Down    9.97%

Elements Dogs of the Dow:    Down  14.43%

*Durig Dogs of the Dow did 44% better in 2020– that was a tough year, so the much higher return was a surprise even to us.

Does the Dogs of the Dow Blue Chip Income and Growth Make Sense in This Market?

We are excited to update the Dogs of the Dow performance.  This is a uniquely concentrated high dividend portfolio that has just completed its first 3 years.  It was designed to capture superior total return with high income (Currently at 4.24%) combined with strong principle growth.   The performance over the last 3 years  has been excellent, with the lifetime return at 11.02%

Canadian Dividend Aristocrats Portfolio Yielding Over 7% with Low Cost

Durig has developed  the Candian Dividend Aristocrat Portfolio adding a more modern and specialized approach, quarterly rebalancing, utilizing updated free trading, and e document online service, making the Canadian Aristocrats  simple,  using more effective approaches, plus making investment not only easier but also low cost. With the success of our Durig Dividend Dogs and  S&P 500 portfolio and Canadian Dividend Dogs we are  also launching the Canadian Dividend Aristocrats portfolios.

The Divided Dogs of Canada has Over 9.1% Yield Dividend Income 

With the success investment track record  our Dogs of the Dow and Dogs of the S&P we wanted to introduce a model that takes our successful investment track record and applies it to high dividend paying Canadian companies, with a history of increasing dividends.

This Divided Dogs of Canada is a new portfolio so we have no track recorded specifically on it. But we do realized that the income derived from these companies is totally off the chart much higher than we anticipated. That the income stream currently produced by Divided Dogs of Canada is much high then almost any other income class we can identify, thus is these Canadian companies continue to pay the dividends at these rates our guess is that this portfolio  will almost surely preform well.  Since we adjust this portfolio quarterly if they do not raise their divided in a year, we will remove that company from the portfolio, which in my opinion will be more likely now that we have seem to stabilized in the marketplace.   It several of the Canadian companies dividend becomes cut in the near future, as some these stocks are price for it, this would in our opinion cause the most problems providing the highest risks.

Dogs of the Dow, Strong Performance in Pandemic & Generating Globally High 5.15% Dividend Income 

With Covid 19 turning the whole world upside down.  effecting every and all asset classes of investments,  we wanted to focus on programs that seem to weather the storm well and already be already working for the long term investors.

For Durig another portfolio that seems to working very over time is the Dogs of the Dow, not the traditional model but the Durig’s version, which utilizes  a more updated technology approach of quarterly re-balance, and dynamic weightings, and which is greatly enhanced by free stock trading, making the more established Dogs of the Dow almost outdated,  knowing in today’s world is a fast changing global economy. 

Dogs of the S&P Strong Lifetime Performance in Rough Environmental & While Generating High 5.15% Dividend Income

With Covid 19 effecting all classes of investment we wanted to find a program that seem to be already working, For Durig one portfolio that seems to working very well is based on the success of of the Dogs of the Dow while paying an even higher dividend income  is Dogs of the S&P.

They ave combined a proven selection process (taken for Dogs of the Dow and applied it to the S&P 500) that utilizes  a updated technology approach of quarterly rebalance, and dynamic weightings, and free trading, making it more effective in today fast changing atmosphere.

Durig’s Dog of the Dow Outperformed in Up and Down Markets

We benchmarked the Durig’s Dogs of the Dow to the Dow Jones industrial Average ETF and S&P 500 dividends and over he last three year to see how it  performed.

The best way to measure the market is performance is Alpha, Beta and Excess Returns compared to the Benchmarks.

Dogs of the Dow outperformed both the following excess returns and Alpha benchmarks  as of 4-9-2020 after the hard decline from the global pandemic of Covid 19 that cause a massive market decline.

Dividend Aristocrats Portfolio Yielding 4.88% and Positioned for a Comeback?

Durig has developed  the S & P Dividend Aristocratic Portfolio adding a more modern and specialized approach, utilizing updated free trading, quarterly re balancing, and e document online service,.making it both simple and  more effective way to own both high and growing dividend of the S&P 500. With the success of our Durig Dogs and  S&P 500 portfolio we are  also launching the Canadian Dividend Aristocrats and Europe Divided Aristocrats portfolios.

Dogs of the S&P Generating 5.22% Dividend Income

Durig has developed taking the success of the Dogs of the Dow and then added a more modern and specialized approach,  utilizing updated free trading, quarterly re balancing, and dynamic weightings, making the Dogs of the Dow much more effective, creating other “Dogs” portfolios for example now applying it to the S&P 500, call it the Dogs of the S&P 500.

How has the Dogs of the S&P 500 done since inception?   It is still early but it appears the Dogs of the S&P 500 and the Dogs of the Dow are taking their turns in outprefromacing each other.  One has a good year than the other, both had close to a Dow like market drop in the first Quarter of 2020.

Durig’s – Dogs of the Dow – Has a Whopping 4.8% Dividend Income

Durig has developed his own low cost dynamically weighted Dogs of the Dow.

Since Durig dynamically overweights  the higher yielding companies, it’s Dogs of the Dowt delivers a significant higher yield than both the Dow Jones Industrial Average and Dogs of the Dow.  Durig’s Dog of the Dow is current yielding a whopping 4.87% .

Lets put how high over 4.8% yield into perspective:

The 10 year treasury current yield is .70%

The   5 year treasury Current yield is .88%

The Best 5 year CIT CD is               1.60%

Durig Dogs of the Dow  is                4.87%

Coronavirus Fears Present Phenomenal Opportunities for Savvy Income Investors

As fears of the continued global spread of the Coronavirus (COVID-19) continue to drive financial markets to new lows, savvy investors should take note of the excellent opportunities that this massive global sell-off is creating.

The World Health Organization on Coronaviruses:

“Coronaviruses (CoV) are a large family of viruses that cause illness ranging from the common cold to more severe diseases such as Middle East Respiratory Syndrome (MERS-CoV) and Severe Acute Respiratory Syndrome (SARS-CoV).

Coronaviruses are zoonotic, meaning they are transmitted between animals and people.  Common signs of infection include respiratory symptoms, fever, cough, shortness of breath and breathing difficulties. In more severe cases, infection can cause pneumonia, severe acute respiratory syndrome, kidney failure and even death. A novel coronavirus (nCoV) is a new strain that has not been previously identified in humans.”

Fixed Income 2: Finding Attractive Income Opportunities in a Yieldless World

A monthly performance review of Durig’s high yielding Fixed Income 2 (FX2) Managed Income Portfolio which also explores the many benefits that the portfolio can provide to investors.

(performance is reported net of fee, as of 2-20-20)

Performance Highlights

  • Over 6% in Cash Generation Alone
  • Year-to-Date Return of 6.20%
  • Trailing 1 Year Return of 7.72%
  • Trailing 3 Year Return of 9.03%
  • Trailing 5 Year Return of 9.13%
  • Annualized Return Since Inception of 8.72%
  • Average Bond Maturity of 4 Years
  • Alpha of 10.58 (vs. Benchmark)*
  • Beta of -1.22 (vs. Benchmark)*
  • Excess Return of 4.32% (vs. Benchmark)*

Diebold Nixdorf Bonds, Short Term, High Yield, Fixed Income Investment, Yielding 9.5% YTM

In this bond review, Durig takes a look at a company which serves banks and retailers alike around the globe. Diebold Nixdorf (NYSE:DBD) has a full service suite of back office services, including software and hardware solutions for both banking and retail industries. With the release of its fourth quarter results, it appears as if the company is making progress towards its goals. A few highlights include:

Dogs of the Dow: Blue Chip Dividends with 4% Income

This review looks at the performance of the Dogs of the Dow Portfolio which produces over 4% in dividend income alone, and also examines the benefits the portfolio can provide to income investors.

Performance Highlights

(all performance is reported net of fee, as of 2-10-20)
  • Annualized Return Since Inception of 12.32%
  • Average Dividend Yield of 4.03%
  • Alpha of 1.89 (vs. Benchmark*)
  • Beta of 0.77 (vs. Benchmark*)

Designed for the Long Term

The Dogs of the Dow Portfolio was designed to produce high levels of dividend income over time with less volatility than the stock market.  With an average dividend yield of over 4% alone and a lifetime return of over 12%, the Dogs of the Dow’s effectiveness over the years lies in both its repeatability and scalability.

Though the stocks in Durig’s Dogs of the Dow Portfolio more than likely will change from year to year, the underlying screens used to select them remain the same.

Durig searches for and selects a group of of the highest yielding dividend stocks from the Dow Jones Industrial Average (DJIA) which have fallen out of favor (aka the “dogs”) and holds them for one year. Over time, these “dogs” tend to have “more room to run” with respect to their share price.

Time in the market nearly always beats timing the market.

Durig’s Dogs of the Dow is a simple, yet effective strategy that was specifically designed to earn you more income by capturing the dividends of some of the highest yielding blue chip stocks of the Dow Jones. Over time, reinvested dividends can help to boost total return and potentially grow the dividend income the portfolio produces.

Why Blue Chip Dividend Stocks?

Historically, blue chip dividend stocks have shown themselves to be resilient under downward market pressure, and are thought to offer relative stability in hectic markets as compared to non-dividend paying stocks. Additionally, companies that pay dividends tend to have much stronger fundamentals, such as stable earnings and growth, effective management and stronger financials.

The dividends paid by blue chips can also help to diversify income streams, and because dividends (and earnings) tend to grow over time they typically outpace inflation, preserving the value of your hard earned dollars.  These dividends can also help to lessen historical volatility, explained in a recent article:

“During the overall market downturn in 2002, when non dividend-paying stocks fell by an average of 30%, while dividend-paying stocks only declined on average by 10%. Even during the severe 2008 financial crisis that precipitated a sharp fall in stock prices, dividend stocks held up noticeably better than non dividend stocks.”

Less historical volatility equates to a smoother and more comfortable ride for investors.

Durig’s Dogs of the Dow Portfolio can be extremely efficient in a tax advantaged account (such as an IRA) since neither capital gains nor dividends are taxed, allowing your investment to grow tax-free.

Avoid the Crowd

The majority of blue chip investors find themselves in an overly crowded mutual fund structure.  While it may seem nice to share gains and losses but in actuality pooled investments are far more muddled, and typically more costly due to high administrative costs, hidden fees, and can create unwanted tax inefficiencies.

Avoid the crowd with a low cost, individually managed Dogs of the Dow account that offers a much cleaner investment environment.

Start building a better retirement today with the Dogs of the Dow.

Sign Up Below to Receive Updates on the Dogs of the Dow, and Many Other Related Investments!

Summary

The Dogs of the Dow Portfolio has continued to generate strong levels of dividend income over time with less historical volatility, and with over over 4% in dividend income, investors can sleep easier at night.

For those that wish for more income and less volatility with the potential to grow income over time, Durig’s Dogs of the Dow Portfolio is an excellent, low cost solution with professional management and support dedicated to helping you achieve your income goals.

Learn More

If you have any questions or would like further information Durig’s Dogs of the Dow Portfolio Strategy, please call Durig at (971) 327-8847, or email us at info@durig.com.

Durig Capital has several high yield portfolios available, click below to learn more.

Fixed Income 2 – FX2
Dividend Aristocrats
Income Aristocrats
Dogs of The Dow
Dogs of The S&P 500
Dogs of Europe
European Dividend Aristocrats

Risk Disclaimer: Any content on this review should not be relied upon as advice or construed as providing recommendations of any kind. It is your responsibility to confirm and decide which trades investments to make. Invest with only with risk capital; that is, with money that, if lost, will not adversely impact your lifestyle and your ability to meet your financial obligations. Past results are no indication of future performance. In no event should the content of this correspondence be construed as an express or implied promise or guarantee.

Durig Capital is not responsible for any losses incurred as a result of this article Information provided in this correspondence is intended solely for informational purposes and is obtained from sources believed to be reliable. Information is in no way guaranteed. No guarantee of any kind is implied or possible where projections of future conditions are attempted.

Disclosure:  The primary benchmark* used was SPDR® Dow Jones Industrial Avrg ETF Tr.

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The European Dividend Aristocrats: A Global Income Solution

Announcing Durig’s latest addition to its portfolio of income solutions, the European Dividend Aristocrats Portfolio. This one of a kind portfolio targets 20 high yielding blue-chip stocks* (the actual securities held in the portfolio are American Depository Receipts and trade just like stocks) listed on various European exchanges for investment and was designed to produce high levels of dividend income and even the potential for growth of income over time. The idea is to invest only in the stocks of companies with a current high dividend and a long history of continuous annual dividend increases. Focusing investment on companies that increase their dividends annually should position the portfolio to consistently capture to the “cream of the crop” of higher dividend companies of a variety of  European exchanges.

Dogs of Europe: A One of a Kind Income Solution

We are thrilled to introduce the latest addition to Durig’s portfolio of investment solutions, the Dogs of Europe.  Designed to capture the high quality dividends of European Blue Chips with the potential to grow income over time, this new portfolio strategy allows investors to participate in European equity trends with the help and support of a registered investment advisor in the United States.

DHX Media / Wildbrain Bonds, Short Term, High Yield, Fixed Income Investment, Yielding Over 9.5% YTM

This week, Durig’s weekly bond review takes another look at a Canadian company that focuses on children’s content and brands. You may not have heard of WildBrain (formerly DHX Media), but you may know some of its beloved characters, which includes the Peanuts gang, Teletubbies, Inspector Gadget and the Degrassi franchise. WildBrain released its first quarter results for fiscal year 2020 (three months ending September 30, 2019). The company’s wildly successful YouTube Channel, WildBrain Spark, has continued its outstanding growth from the past few quarters. Along with the great news on WildBrain Spark, there were other wins in the quarter as well (see bullets above).

Community Health Systems Bonds (CYH), 17% YTM providing High Yield, with Short Maturities

This week, Durig reviews one of the largest publicly traded hospital companies in the United States. Community Health Systems (NYSE:CYH) has spent the past few years paring down its portfolio of hospitals with an eye to retain those locations that are most profitable. The results of these divestitures are starting to be seen and the company has now put up two consecutive quarters of positive growth. In its most recent quarter results, one can see that same-store metrics tell a compelling story, especially in the competitive healthcare sector (see bullets above).

Income Aristocrats: Higher Income, Less Sleepless Nights

Following the success of it’s Dogs of the Dow and Dogs of the S&P 500 Portfolios, we now take an in-depth look at the latest addition to our portfolio of investment solutions, the Income Aristocrats Portfolio. A remarkably well diversified portfolio, the income aristocrats effortlessly blends three different portfolio strategies (Fixed Income 2, Dogs of the S&P 500, and the Dividend Aristocrats) into an excellent vehicle for generating cash flow.

Dogs of the Dow Do it Again

This review explores the performance of the Dogs of the Dow Portfolio, with nearly 4% in dividend income alone, and considers the many merits of blue chip dividend stocks such as those held in the portfolio.

Performance Highlights

  • Year-to-Date Return of 13.03%
  • Trailing 1 Year Return of 10.31%
  • Annualized Return Since Inception of 14.03%
  • Average Dividend Yield of 3.98%
  • Alpha of 4.47 (vs. Benchmark*)
  • Beta of 0.75 (vs. Benchmark*)

Diebold Nixdorf Bonds, Short Term, High Yield, Fixed Income Investment, Yielding Over 12% YTM

For this week’s bond review, Durig looks at an issuer that provides services to banks and retailers around the world. Diebold Nixdorf (NYSE:DBD) provides end-to-end services, software and hardware for the banking and retail industries. Diebold has spent all of 2019 implementing its DN Now program, designed to increase efficiencies, decrease costs, and improve margins. With the release of its third quarter results, it appears as if the company is making progress towards these goals (see bullets above).

Chemours Company Bonds, Short Term, High Yield, Fixed Income Investment, Yielding Over 7% YTM

For this week’s bond review, Durig looks at a chemical company created by a DuPont spinoff in 2015. Chemours Company (NYSE:CC) is a global leader in the manufacturing of fluoroproducts, chemical solutions, and titanium technologies. It is one of the leading global producers of titanium dioxide (used in paints, coatings, plastics, cosmetics and food), as well as the creator and producer of Opteon™, an award winning environmentally sustainable refrigerant. Highlights from the company’s second quarter results include: (see bullets above).

Dogs of the S&P 500 Outperform Peers Across the Board

Durig benchmarks the performance of its Dogs of the S&P 500 Portfolio and explores how holding a diverse portfolio of blue chip dividend stocks can benefit investors in today’s markets.

Performance Highlights

  • Year-to-Date Return of 32.02%
  • Trailing 1 Year Return of 26.07%
  • Annualized Lifetime Return of 14.29%
  • Alpha of 4.52 (vs Benchmark*)
  • Beta of 0.73 (vs Benchmark*)
  • Average Dividend Yield of 4.29%

Albertsons Bonds, Short Term, High Yield, Fixed Income Investment, Yielding 8% YTM

This week, Durig takes another look at the number two grocer in the United States. Albertsons has made a significant turnaround in the past few years after its purchase of Safeway stores in early 2015. With its most recent quarterly results, the company has now logged seven consecutive quarters of identical store sales growth. In addition, the company’s online grocery sales grew by 40% year-over-year, a massive win for this traditional brick and mortar retailer. (Other results from its Q2 results, see bullets above)

Income and Growth Strategies That Are Working in Today’s Market

In this special review, Durig benchmarks the performance of its three unique blue chip equity portfolios, the Dogs of the Dow, Dogs of the S&P 500, and the Dividend Aristocrats, all of which are designed to capture high quality blue chip dividends of some of the most reputable companies on wall street.

With interest rates continuing to fall and attractive yields becoming increasingly difficult to find, many investors are turning away from conventional fixed income investments such as US Treasuries.

Dividend Aristocrats: Income Stability and Growth Over Time

A review and performance recap of Durig’s highly successful Dividend Aristocrats Portfolio that also compares the portfolio to another aristocratic dividend portfolio. The Dividend Aristocrats Portfolio was also designed with income stability in mind, maintaining investment focus on only higher quality blue chip companies known as “Aristocrats.”

(all performance reported net of fee, as of 10-18-19)

October Performance Highlights

  • Average Dividend Yield of 3.51%
  • Lifetime return of 9.44%
  • Excess Return of 3.27% (vs. benchmark)*
  • Alpha of 7.95 (vs. benchmark*)
  • Beta of 0.18 (vs. benchmark*)

Dogs of the S&P 500: Over 4.5% Income with Strong Historical Performance

A benchmark performance review of Durig’s unique Dogs of the S&P 500 Portfolio that examines the income benefit the portfolio can provide, also exploring some of the achievements the portfolio has had in lifetime performance.

October Performance Highlights

  • Average Current Dividend Yield of 4.68%
  • Year-to-Date Return of 20.38%
  • Trailing 1 Year Return of 17.63%
  • Annualized Lifetime Return of 10.41%
  • Alpha of 1.69 (vs Benchmark*)
  • Beta of 0.72 (vs Benchmark*)

Chesapeake Energy Bonds, Short Term, High Yield, Fixed Income Investment, Yielding 9.5% YTM

This week, Durig looks at an energy company that is making the transition from its historical focus on natural gas to be more focused on oil production. Chesapeake Energy (NYSE:CHK) has been making strides this year to transition towards a more oil focused production portfolio. Chesapeake has already increased oil in its production portfolio from 17% in 2018, to 24% as of the end of the second quarter.  The company estimates it will exit 2019 with oil representing 26% of its production. Oil is a higher margin product, so Chesapeake is already seeing the fruit of its decision (see bullet points above).

Dogs of the Dow: Find Blue Chip Peace of Mind with Over 4% Income

A monthly performance review of Durig’s Dogs of the Dow Portfolio that explores several benefits that income producing investments such the Dogs of the Dow can help to provide.

Performance Highlights

  • Lifetime Return of 12.87% (annualized)
  • Year-to-Date Return of 8.30%
  • Alpha of 4.89 (vs benchmark)*
  • Beta of 0.77 (vs benchmark)*
  • Average Current Yield of 4.18%

American Axle and Manufacturing Bonds, Short Term, High Yield, Fixed Income Investment, Yielding 6.7% YTM

This week, Durig looks at the auto industry to focus on a manufacturer who supplies components to many of the industry’s leader auto makers. American Axle & Manufacturing (NYSE:AXL), a leading supplier of driveline technology, recently released its second quarter results.  The company registered solid free cash flow, net cash from operations and improving EBITDA and EBITDA margins (see bullets above).

Dividend Aristocrats – A Path to Growing Your Income

A monthly performance review of the Dividend Aristocrats, a diversified blue chip stock portfolio built around some of the highest yielding dividend payers listed on the S&P 500. We also examine the various benefits the strategy can offer investors in volatile markets.

 

(performance is net of fee, 9-17-19)


Performance Highlights

 

  • Annualized Return Since Inception of 8.03%

  • Average Current Yield of 3.52%

Dogs of the S&P 500: Dividend Yield of 4.66% with Strong Historical Growth

This week, Durig takes a closer look at the various benefits that its Dogs of the S&P 500 Portfolio may provide investors in light of today’s unpredictable financial markets. September Performance Highlights (See bullet points above).

A Multi-Benefit Income Strategy

Durig’s Dogs of the S&P 500 Portfolio has the dual benefit of growth and income from a variety of the highest yielding (with regard to dividends) blue chip companies listed on the S&P 500.  The portfolio is able to capture the highest quality blue chip dividends through its use of strategic weighting, achieving  an average dividend yield of 4.66%, with the growth component of this strategy helping to boost the total year-to-date portfolio return to 20.78%, and a trailing 1 year return of 13.77%, outpacing the S&P 500 itself in both year-to-date return and trailing 1 year return.  This multi benefit strategy allows investors to capture strong growth in principal, while still generating a healthy level of diversified income and realizing strong historical returns.

Dogs of the Dow – High Dividends, Historical Outperformance

This week, Durig Capital recaps the recent performance of its own unique version of the Dogs of the Dow Strategy and benchmarks it to that of its closest peers. Also explored is the importance of portfolio correlation to the overall market, and how correlation can help to provide investors an idea of how a portfolio could theoretically perform under various market conditions.

Durig’s Dogs of the Dow – September Performance Highlights

  • Year-to-Date Return of 9.41%
  • Trailing 1 Year Return of 6.73%
  • Annualized Lifetime Return of 13.85%

Dividend Aristocrats – Grow Income Over Time

The Dividend Aristocrats Portfolio, Durig Capital’s newest exciting investment solution is now open for investment.  This portfolio strategy targets the “cream of the crop” among a diversity of blue-chip companies listed on the S&P 500, seeking the companies with only the highest yields and have a stable history of increasing dividends.

Income Growth Over Time

Dogs of the S&P 500 – Less Blue Chip Volatility – More Peace of Mind

Over the last few months, the ongoing trade-war between the U.S. and China has escalated into something of a volatility generating machine, with some market indices jumping up or down hundreds of points in a single day as new tariffs are added, sentiments of certain key political figures are expressed, etc.  Causality aside, the markets are boiling and have many investors looking to find a way to beat the heat without having to leave the kitchen entirely. This week, Durig Capital explains how investors can do just that with its Dogs of the S&P 500 Portfolio.

Dogs of the Dow – Durig’s Continued Outperformance Over Time


This week,
Durig Capital recaps the recent performance of its own unique version of the Dogs of the Dow Strategy and benchmarks it to that of its closest peers. Also explored is the importance of portfolio correlation to the overall market, and how correlation can help to provide investors an idea of how a portfolio could theoretically perform under various market conditions.

Durig’s Dogs of the Dow – July Performance Highlights 

  • 12.41% Year-to-Date

  • 12.87% Trailing 1 Year Return

  • 15.98% Annualized Return Since Inception

  • Beta of 0.72 (vs. Benchmark*)

     

   (Performance shown  above is as of 7-31-19)

Dogs of the Dow: Durig’s Past Performance Runs Ahead of the Pack

This week, Durig Capital explores a popular variation of the classic Dogs of the Dow investment strategy, introduced by Michael O Higgins in the early 1990’s.  The strategy has been widely accepted by some for its simplicity and repeatability, yet denounced by others for the exact same. Durig Capital believes less complicated is better; fewer moving parts mean fewer potential points of failure, and has done well historically with it’s own unique version of this simple strategy, discussed later in the article.

An Introduction to Durig Capital’s Dogs of the Dow Portfolio Strategy

 This week, Durig Capital reviews its own version on a time-proven investment strategy. The “Dogs of the Dow” investment strategy was introduced by Michael B. Higgins in the early 1990’s as a simple way for investors to design a portfolio around the “dogs” of the broader Dow index, and re-balance it annually. Durig Capital has created its own version on this investment strategy which has historically resulted in a less volatile portfolio and has produced excellent returns since its inception in June 2017.

  • Since its inception (June 6, 2017) Durig’s “Dogs of the DOW” Portfolio has generated a total return of 14.26% (as of January 22, 2019). Over the same time period, the greater Dow index generated a return of 11.37%. So, Durig’s “Dogs of the DOW” portfolio returned 25% more than the index.

  • Most notably, during the selloff in the fourth quarter of 2018, Durig’s portfolio was down -5.23% while the greater Dow index was down -11.30%. These figures are as of January 22, 2019.

  • Year-to-date in 2019, the Durig portfolio was up 1.56%, while the greater Dow index was up 4.71% (as of January 22, 2019). This statistic, along with the results from fourth quarter 2018 illustrate the portfolio’s reduced volatility.