“Measuring a company’s core financial health makes it possible to evaluate whether it may increase (or need to decrease) its future dividends,” according to FlexShares. “With this approach, the reliance on publicly available financial data means new dividend payers can be evaluated similarly to stocks that have paid dividends for decades. By using several lenses to evaluate financial health, an investor can gain a strong sense of how well-positioned a dividend-paying company is for success, and how protected future dividends are under current market and economic environments.”
Investors interested in learning more about FlexShares strategies and other smart-beta, dividend investments for the year ahead can attend the ETF Trends Virtual Summit on Wednesday, January 20.
ETFs are becoming a greater part of investors’ portfolios but aren’t immune to the recent stock market volatility. Rising interest rates, falling oil prices and slower growth from emerging market countries are all weighing on the stock market early in 2016.
Hear from ETF experts on specific investment strategies addressed at tackling market headwinds and identifying specific investment opportunities in this new year. This complimentary virtual conference is available to financial advisors. Registration is easy and can be attended from your home or place of work.
Max Chen contributed to this article.