Trade the ultimate recession asset with Admiral Markets: CFDs on high-yield stocks!
With Covid-19 driving stock market volatility to a 10-year high, many traders and investors are looking for 'safer' assets to insulate their portfolios from the shock, and to pave the way for future growth.
High-yield stocks are not only less volatile than growth stocks, but they also provide passive income via dividends when share prices aren't growing the way you'd hoped.
Simply: While growth stocks (like digital streaming provider Netflix) can make large gains in bullish markets, these stocks also can fall dramatically in a downturn, with no dividends to offset the losses. Dividend stocks, on the other hand, deliver two separate returns: a return via share price appreciation, and a return via dividend yields.
So if a stock has an 8% dividend yield and share price growth of 5%, your total return will be 13%. If the stock loses value, you will only make an overall loss if the fall in share price is greater than the fall in the dividend yield (in this example, over 8%).
Which share CFDs can you trade?
Admiral Markets offers a range of high-yield share CFDs via its Trade.MT5 MT5 account, including:
- Westwood Holdings Group Inc (WHG)
- Automatic Data Processing Inc (ADP )
- Amcor PLC (AMCR)
- Franklin Resources Inc (BEN)
- Bristol-Myers Squibb Co. (BMY)
- Medifast Inc (MED)
- Darden Restaurants Inc (DRI)
- Iron Mountain Inc (IRM)
Simply search for the ticker symbols in MetaTrader 5 to add these instruments to your watchlist today!
Why trade with Admiral Markets?
With Admiral Markets' Trade.MT5 account, you can access over 4,000 of the world's top markets via CFDs (contracts for difference), including high-yield shares, Forex, commodities, cryptocurrencies, stock indices and more!
Why choose Trade.MT5?
- Trade 3,000+ share CFDs from the world's largest exchanges
- Earn dividends for long positions on dividend paying stock CFDs
- Trade long and short, with the opportunity to benefit from rising and falling markets
- Access leverage of up to 1:5 for share CFDs, and up to 1:30 for other instruments (1:500 for Professional traders)
- Cut your trading costs with tight spreads and low commissions
- Start trading today, with minimum deposits from just $100
