We believe the historical performance of dividend paying stocks relative to growth stocks should not be underestimated. The chart below compares the results of the dividend rich Dow Jones Industrial Average and the technology heavy NASDAQ Composite Index over the 35 year period ending December 31, 2010. The NASDAQ has been considered by many market observers to be a good representation of growth stock performance. Although it is widely believed that growth stocks persistently provide higher returns than dividend paying stocks, the evidence suggests that from 1975 to 2010 the combination of price appreciation and dividends from the Dow Jones Industrial Average (DJIA) provided higher returns than the NASDAQ provided through price appreciation alone.
Past performance does not guarantee future performance. This hypothetical illustration is not indicative of any WBI S.M.A. portfolio returns. To obtain current portfolio performance click here.
Past performance does not guarantee future results.
The WBI Dynamic Trailing Stop (DTS) is not a stop loss order or stop limit order placed with a brokerage firm, but an internal process for monitoring price movements. While the DTS may be used to initiate WBI's process for selling a security, it does not assure that a particular execution price will be received.
Although a company may pay a dividend, prices of equity securities - including those that pay dividends - fluctuate. Investing on the basis of dividends alone may cause an investor to buy or sell certain securities when circumstances may or may not be favorable.
Because dollar cost averaging involves continuous periodic investment in securities regardless of fluctuating price levels of such securities, investors planning to pursue this strategy should consider their ability to continue purchases through periods of low price levels. Dollar cost averaging does not assure a profit, and does not protect against loss in declining markets.
All performance information is historical and not indicative of future results. Different types of investments involve varying degrees of risk, and there can be no assurance that the future performance of any specific investment, investment strategy, or product made reference to directly or indirectly in this document, will be profitable, equal any corresponding indicated historical performance level(s), or be suitable for your portfolio. Any investment strategy involves risk, including the possible loss of principal invested. Moreover, you should not assume that any discussion or information provided here serves as the receipt of, or as a substitute for, personalized investment advice All information, including that used to compile charts, is obtained from sources believed to be reliable, but WBI Investments™ does not guarantee its reliability.
The Dow Jones Industrial Average is a price-weighted average of 30 of the largest blue chip issues traded on the New York Stock Exchange.
The S&P 500 Index includes a representative sample of large-cap U.S. companies in leading industries.
The NASDAQ Composite Index (NASDAQ) is a market-value weighted index of all common stocks listed on NASDAQ.
You cannot invest directly in an index.