This is a category that represents companies that pay a high, regular dividend.
Many investors like these companies because of the dependable income, and are not too
concerned with the fluctuation of the stock's price.
A mutual fund that is classified as an Income Fund or a Growth and Income Fund, will usually also
invest heavily in bonds, not only dividend paying stocks.
Income stocks historically under-perform the average stock fund. What you receive in dividends
doesn’t make up for the loss in overall returns.
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