Why Some Investors Are Flocking to Dividend Stocks

为何投资者纷纷涌向分红股票

WSJ Your Money Briefing

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2025-03-21

9 分钟
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When the stock market experiences volatility, some investors turn to a safer play: dividend stocks. WSJ Reporter Hannah Erin Lang joins host Julia Carpenter to discuss the pros, cons and what to know before investing.  Sign up for the WSJ's free Markets A.M. newsletter.  Learn more about your ad choices. Visit megaphone.fm/adchoices
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  • Here's your money briefing for Friday, March 21st.

  • I'm Julia Carpenter for the Wall Street Journal.

  • When the market turns volatile, some savvy investors look for safer alternatives to mitigate risk.

  • One option is dividend stocks.

  • So I would say this is considered a safer, maybe more boring slice of the stock market.

  • Something that in the past couple of years, I think, has looked deeply unglamorous,

  • right, when we've seen so much growth in so many different parts of the market.

  • But this is a type of stock that has looked increasingly alluring to investors, get on what we've seen in 2025 so far.

  • We'll talk with WSG reporter, Hannah Aaron Lang,

  • about the pros and cons to this defensive strategy, plus what you need to know before following suit.

  • That's after the break.

  • A lot is rocking the stock market lately.

  • There's the threat of the trade war, fears of a recession, and a new cycle that never slays down.

  • So, for many investors, that means it's time to play it safe and cash in where they can.

  • Wall Street Journal reporter,

  • Hannah Aaron Lang joins me to talk about the resurgence of one such defensive move, buying dividend stocks.

  • Hannah,

  • could you first explain what exactly a dividend stock is and how it differentiates from other investments out there?

  • So in addition to any return on investment that you might see from the stock price going up,

  • you also get this cash payment from the company that typically comes from its profits.