The rise in interest rates has certainly been an issue for bond holders and fixed-income investors over the last year, but not everybody is suffering. In fact, our latest Best Dividend Stocks Model Portfolio addition is thriving, profiting handsomely from the changes and volatility. Investors can profit too by buying the stock before it goes ex-dividend on Thursday, June 8, to score a 2.4% annual yield!
You can check out the Best Dividend Stocks Model Portfolio to explore all the stocks.
The secret to our pick’s success? Derivatives.
Our pick happens to own some of the largest derivative exchanges in the world. Each day, millions of options and futures trade on its exchanges covering everything from stocks, bonds and commodities. With volatility rising and more investors looking to hedge their bets, our pick’s profits have surged!
At the same time, our pick has continued to find growth in other avenues as well, including a hefty dose of data and other similar services. With stakes in two of the biggest index firms, as well as services designed to help traders, institutional investors and endowments make the most out of their portfolio/trading, our pick has found new sources of recurring revenue. At the same time, market-making and clearing/settlement services provide a steady base of cash flow.
The end result is a strong dividend stock with plenty of growth potential.
In order to make room for our new exchange operator, we’ve been forced to remove a global packaging firm.
