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The performance of the top 30 dividend-paying stocks in the Malaysian market.

The performance of the top 30 dividend-paying stocks in the Malaysian market.
The performance of the top 30 dividend-paying stocks in the Malaysian market.
Investing in dividend stocks emphasizes the three words "slow, steady, and patient". These three words may seem simple but few people can actually achieve them, because compared to the thrill of timing the market, this investing approach is truly too boring.
Looking back at the performance of dividend stocks at the end of 2022 (article dated 3 Jan 2023), the average return of the 30 dividend-paying stocks was 7.19%, with a ratio of 20:10 in terms of gains and losses. During the same year, the USA's S&P500 fell by 19.44%, and the Malaysian FBMSCAP fell by 5.30%. Many readers commented that it was just luck, as the dividend stocks happened to perform well at the end of the year.
Looking at the performance of dividend stocks at the end of 2023 (article dated 31 Dec 2023), the average return of the 30 dividend-paying stocks was 13.82%, with a ratio of 23:7 in terms of gains and losses. During the same year, the USA's S&P500 rose by 24.23%, and the Malaysian FBMSCAP rose by 9.57%. Still, many readers commented that it was just luck.
As of October 13, 2024, the average return of the 30 dividend-paying stocks since the beginning of the year is 24.20%, with a ratio of 28:2 in terms of gains and losses. Among these:
18 of them have experienced an increase of 20% or more.
The increase of 6 companies has reached 10% or above.
Only 2 companies have a decrease of more than 5%.
The performance of dividend stocks in 2024 can only be described as unexpectedly good, mainly because these high-dividend, solid companies have become a safe haven for funds in a sluggish market.
The market downturn in the second half of 2024 mainly occurred in small-cap stocks, while these 30 dividend stocks have as many as 24 companies in the top 200 market cap of Malaysian stocks, which also explains why this year's performance is so outstanding.
I think this performance really explains why I always say "slow and steady sometimes is faster". There's really not so much luck in this world, it's all about perseverance and belief, continuously repeating and doing something well.
Compared to the rush in and out of the stock market, "a steady drip wears away the stone" is the investment goal I truly want to pursue.
In addition to looking at the dividend yield, investing in dividend stocks also requires evaluating whether the company can continue to maintain dividends and sustain its growth momentum in the future, avoiding falling into the dividend trap where you earn dividends but lose stock price.
For example, FPI currently has a high dividend yield of 7.99%, but it has been replaced by Allianz in this round of dividend stock updates. Mainly because FPI only pays dividends once a year, and belongs to labor-intensive industries, labor costs, forex fluctuations will affect profit performance and lead to dividend impacts.
If you feel that there are other companies worth including, feel free to leave a comment below.
买入标的:
*This time, 30 dividend stocks have been updated to remove FPI and add Allianz.
*The dividend yield of the REIT has been adjusted to exclude a 10% tax.
Some dividend stocks' dividend yield does not include one-time special dividends.
The performance from the beginning of the year has already included dividends.
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#The criteria for selecting dividend stocks are based on the following points:
1. The price volatility of the stocks is not high, making them less likely to be speculative targets, and the focus is on stability.
2. Have a stable dividend distribution policy, preferably more than 2 dividend payments.
3. Dividends must be created from business, not by eating into capital/resorting to financing/loans.
4. Must have a relatively healthy balance sheet and cash flow statement to ensure the ability to continue dividend payments.
5. Even if future performance does not grow, the goal is to maintain the current situation as much as possible.
"Slow is fast". The dividend investment method emphasizes slow, steady patience, and pursues a continuous cash flow and generous stable dividends from companies. Of course, if there is capital appreciation, it is an extra bonus.
Disclaimer: Community is offered by Moomoo Technologies Inc. and is for educational purposes only. Read more
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