Global stocks are gaining, if not at the pace of domestic equities. While the S&P 500 has risen 17% year to date, the EAFA index of large- and mid-cap stocks based in countries other than the U.S. and Canada has gained 9.5%. Over the past five years, the performance gap has been wider, with the S&P 500 advancing 94% compared to a 32% gain in EAFE. But the underperformance has given global stocks a valuation advantage, particularly in the area of dividends. Consider that the EAFE dividend yield of 2.9% is 170 basis points higher than the comparable S&P 500 dividend yield. We think global dividend stocks now offer opportunity, particularly given the endless speculation over the direction of interest rates in the U.S., which has created market-timing headaches for equity income investors, who have endured recent wide swings in prices for rate-sensitive equity in areas such as utilities, REITs and MLPs. In our view, investing in international income stocks is one way to increase portfolio diversification while reducing sensitivity to volatile U.S. interest rates. Investing in overseas stocks carries its own set of risks, including the impact of currency exchange and geopolitical turmoil. But there are also a number of positives in this asset class for U.S. investors, including a wide selection of companies that pay dividends, robust industry diversification, and, as we have mentioned, higher yields and lower valuations. Argus has recently boosted its global coverage, and recommends the following international dividend stocks, each of which has at least a long-term BUY rating from an Argus analyst. Note this list of approximately 25-30 companies offers exposure to eight of the 11 major industrial sectors. The list includes companies from 10 countries.

The board is green. The Nasdaq and the S&P 500 are both up more than 1%. Inflation data came in on the producer side signaling that prices are trending down. We like that. Tomorrow the CPI report is due so we can check in on the consumer side. Economists expect the July pace to match the month before.

Stocks were mixed on Tuesday morning as investors digested new economic data. New orders for durable goods fell 6.1% in January, according to today's U.S. Census Bureau data, with a 16.2% drop in transportation equipment orders leading the decline. Excluding defense, orders fell 7.3% and excluding transportation new orders slipped 0.3%. The Confidence Board said that its consumer confidence index fell to 106.7, which was lower than the downwardly revised 110.9 in January. The S&P CoreLogic Case-Shiller U.S. National Home Price NSA Index reported a 5.5% annual gain in December, up from a 5.0% rise in the previous month. The S&P CoreLogic Case-Shiller 20-city house price index rose 0.2% in December compared to the previous month. Home prices in the 20 major U.S. metro markets were up 6.1%. The S&P 500 was down less than 0.1%, the Dow fell 0.4% and the Nasdaq was up 0.1%. Crude oil traded above $78 per barrel and gold was up $5 to $2044 per ounce.

Global stocks are picking up the pace. While the S&P 500 has jumped almost 11% in the past month, the EAFA index of large- and mid-cap stocks based in countries other than the U.S. and Canada has risen 10%. Over the past six years, the performance gap has been wider, with the S&P 500 advancing 12% compared to a 7% gain for the EAFE. But the underperformance has given global stocks a valuation advantage, particularly in the area of dividends. The EAFE dividend yield of 2.4% is 80 basis points higher than the comparable S&P 500 dividend yield. We think global dividend stocks now offer opportunity, particularly given the endless speculation over the direction of interest rates in the U.S., which has created market-timing headaches for equity income investors. Those investors have endured recent wide swings in prices for rate-sensitive equity sectors such as Utilities, REITs and MLPs. In our view, investing in international income stocks is one way to increase portfolio diversification while reducing sensitivity to volatile U.S interest rates. Investing in overseas stocks carries its own set of risks, including the impact of currency exchange and geopolitical turmoil. But there are also a number of positives in this asset class for U.S. investors, including a wide selection of companies that pay dividends, robust industry diversification, and, as we have mentioned, higher yields and lower valuations. Argus has recently boosted its global coverage, and recommends the following international dividend stocks, each of which has at least a long-term HOLD rating from an Argus analyst.

Stocks were mixed on Thursday. The Commerce Department said that the Personal Consumption Expenditures Index excluding the cost of food and energy, or so-called 'core' PCE, rose 4.2% over the prior year in July, in line with economist expectations and up from 4.1% in June. Personal consumption expenditures rose 0.8% versus 0.6% the month prior. Personal income grew 0.2% in the month, while disposable income was flat. On the employment front, first-time claims for state unemployment benefits fell by 4,000 to a seasonally adjusted 235,000 for the week ended August 26. Continuing claims rose by 28,000 to 1.725 million. The Dow fell 0.5%, the S&P 0.2%, and the Nasdaq rose 0.1%. Crude oil traded near $84 per barrel, while gold fell $6 to $1967 per ounce.

After the Fed Finishes

Global stocks are on a run. While the S&P 500 has jumped almost 8% year-to-date, The EAFA Index of large- and mid-cap stocks based in countries other than the U.S. and Canada has risen 9%. Over the past six months, foreign stocks also have outperformed, climbing 11% versus a 1% decline by the U.S. market. The story is different over the past five years, as the S&P 500 has risen 50% and global stocks have fallen 1%. Even so, the long outperformance has given global stocks a valuation advantage, particularly in the area of dividends. The EAFE dividend yield of 2.7% is 100 basis points higher than the comparable S&P 500 dividend yield. We think global dividend stocks now offer opportunity, particularly given the endless speculation over the direction of interest rates in the U.S., which has created market-timing headaches for equity income investors - who have endured recent wide swings in prices for rate-sensitive equity sectors such as utilities, REITs and MLPs. In our view, investing in international income stocks is one way to increase portfolio diversification while reducing sensitivity to volatile U.S. interest rates. Investing in overseas stocks carries its own set of risks, including the impact of currency exchange and geopolitical turmoil. But there are also a number of positives in this asset class for U.S. investors, including a wide selection, robust industry diversification, and, as we have mentioned, higher yields and lower valuations. Argus recently boosted its global coverage, and recommends the following international dividend stocks, each of which has at least a long-term BUY rating from an Argus analyst. This list of approximately 25 companies offers exposure to eight of the 11 major industrial sectors. The list includes companies from 10 countries.

Stocks rose on Wednesday morning as investors awaited the Fed's interest rate announcement and follow-up comments from Chairman Jerome Powell. While a 50-basis-point hike is widely expected, investors will be looking for clues about the pace of further increases and the likely peak rate in 2023. The Dow rose 0.6%, the S&P 0.6%, and the Nasdaq 0.5%. Crude oil rose 2% to $77 per barrel, while gold traded near $1822 per ounce.

Value stocks -- a market segment that includes high-yield stocks -- are outperforming growth stocks in 2022 for the first time since 2016. Indeed, for the past decade, the performance record has favored growth. In nine of the past 10 years, growth stocks have topped value stocks. But the tide may be turning. The rollout of COVID-19 vaccines has given a lift to some of the cyclical companies (energy companies and regional banks) that have lagged in recent quarters, and value stocks have kept up the pace with growth stocks in the past year. Now, the Federal Reserve lifting interest rates to fend off inflation, which will likely cap multiple expansion for growth companies. Regardless, the value sector is the place to achieve income. The current yield on the iShares Russell 1000 Value Index ETF is 2.1%, compared to the 0.8% current yield on the iShares Russell 1000 Growth Index ETF. For our High-Yield Theme Model Portfolio, we are seeking stocks with yields of at least 3.0%. This moves us deep into the value segment of the market.

Dividends are supposed to lend stability to a portfolio. However, U.S.-based income investors have experienced a high degree of volatility in recent years, as the Federal Reserve since 2018 has embarked on two campaigns to raise interest rates, sandwiched around a desperate program that lowered the federal funds rate to zero in order to help the economy recover from the pandemic. The endless speculation over the direction of rates has created market-timing headaches for equity income investors. They have endured wide swings in prices for rate-sensitive equity sectors such as Utilities, REITs and MLPs. In our view, investing in international income stocks is one way to increase portfolio diversification while reducing sensitivity to volatile U.S interest rates. Investing in overseas stocks carries its own set of risks, including the impact of currency exchange and geopolitical turmoil. But there are also a number of positives in this asset class for U.S. investors, including a wide selection, robust industry diversification, higher yields, and lower valuations. Argus has recently boosted its global coverage, and recommends the following international dividend stocks. Note this list of 25 companies offers exposure to eight of the 11 major sectors. The list includes companies from 10 countries.

Stocks rose strongly on Wednesday morning as investors weighed earnings reports from AMD, Starbucks, and CVS along with new U.S. service sector data. The Institute for Supply Management said that its nonmanufacturing index rose to 56.7 in July, up from 55.3 in June and above the Reuters consensus forecast of 53.5. The reading marked the first increase after three straight monthly declines. The Dow rose 0.9%, the S&P 0.9%, and the Nasdaq 1.8%. Crude oil fell 2% to $92 per barrel, while gold fell $19 to $1771 per ounce.

Stocks rose on Thursday morning, led by the Energy and Technology sectors, following new employment and trade data. The Commerce Department reported that the U.S. trade deficit narrowed by 1.3% in May to $85.5 billion, as strong 1.2% growth in exports exceeded growth in imports, which were hurt by slower domestic demand. The Dow rose 0.8%, the S&P 1.1%, and the Nasdaq 1.6%. Crude oil rose $5 to $104 per barrel, while gold rose $8 to $1744 per ounce.

The first quarter of 2022 continues to get uglier, with most of the major indices closing at new corrective lows. The S&P 500 surrendered 3% on Monday, the Nasdaq gave up 3.6%, the QQQs plunged 3.7%, the S&P 400 got whacked for 3.8%, and the Russell 2000 (IWM) lost 2.4%. The only index that did not close at a new corrective low was IWM and none of the indices made intraday lows. The '500' is off 11.9% for 2022, the Nasdaq and the QQQs have given up 18%, MDY is down 11%, and IWM is off 13%.

The stock market was flat to down last week as positive earnings surprises proved to be baked-in. Tech stocks modestly underperformed blue chips. During Friday's session, the Dow Jones Industrial Average fell 149 points, or 0.42%. The S&P 500 was down 0.54%, and the Nasdaq Composite was down 0.71%. For the week, the DJIA was down 126 points, or 0.36%, the S&P 500 was down 0.37%, and the Nasdaq Composite was down 1.11%. Year-to-date, the DJIA is up 14.14%, the S&P 500 is up 17.02%, and the Nasdaq Composite is up 13.85%.

Dividends are supposed to lend stability to a portfolio. However, U.S.-based equity income investors have experienced a high degree of volatility in recent years as the endless speculation over the direction of rates has created market-timing headaches. Investors have endured wide swings in prices for rate-sensitive equity sectors such as utilities, REITs and MLPs. In our view, investing in international income stocks is one way to increase portfolio diversification while reducing sensitivity to volatile U.S interest rates. Investing in overseas stocks carries its own set of risks, including the impact of currency exchange and geopolitical turmoil. But there are also a number of positives in this segment for U.S. investors.

Recently, the market took worrisome inflation data in stride, and the S&P 500 established an all-time high. Recall that in early May, stocks were staggered by CPI data that included an annual change of 4.2% in April consumer prices. Well, in early June, consumer prices for May were reported up by 5.0% -- but a broad-based rally ran right over that number.

Stocks continued to fall on Tuesday morning, led by the Technology and Consumer Discretionary sectors, as investors weighed congressional testimony from Fed Chair Jerome Powell. In remarks prepared for the Senate Banking Committee, Mr. Powell noted that the outlook for the economy was still 'extraordinarily uncertain,' despite the impact of vaccines, and that the U.S. was still 'a long way from our employment and inflation goals.' The Dow fell 0.2%, the S&P 0.5%, and the Nasdaq 1.6%. Crude oil traded near $61.50 per barrel, while gold fell $4 to $1804 per ounce.

Dividends are supposed to lend stability to a portfolio. However, U.S.-based equity income investors have experienced a high degree of volatility in recent years. In our view, investing in international income stocks is one way to increase portfolio diversification while reducing sensitivity to volatile U.S interest rates. Investing in overseas stocks carries its own set of risks, including the impact of currency exchange and geopolitical turmoil. But there are also a number of positives in this segment for U.S. investors. One is a more robust selection of high-quality names. Yields also tend to be higher in overseas markets in general. And finally, valuations can be more attractive.

Stocks were mixed on Monday morning, with gains in the Healthcare, Consumer Discretionary and Technology sectors and losses in Energy and Financials. Major retail companies will begin to report later in the week. On the housing front, builder confidence, as measured by the NAHB/Wells Fargo housing market index, rose 6 points to 78 in August, above the Reuters consensus of 73 and the third straight monthly increase. The Dow fell 0.3%, the S&P rose 0.3%, and the Nasdaq rose 0.7%. Crude oil rose 1% to $42.50 per barrel, while gold jumped $46 to $1996 per ounce.

Stocks were mixed on Monday morning, with gains in the Healthcare, Consumer Discretionary and Technology sectors and losses in Energy and Financials. Major retail companies will begin to report later in the week. On the housing front, builder confidence, as measured by the NAHB/Wells Fargo housing market index, rose 6 points to 78 in August, above the Reuters consensus of 73 and the third straight monthly increase. The Dow fell 0.3%, the S&P rose 0.3%, and the Nasdaq rose 0.7%. Crude oil rose 1% to $42.50 per barrel, while gold jumped $46 to $1996 per ounce.

It's all about curves. A chart of COVID-19 cases shows a line that has moved consistently higher; we're all waiting for a peak and then a falling back down the other side. With stock prices, a chart of indices shows a big move lower; here, we're waiting for a confirmed bottom and then a move back up. When looking at insider-sentiment data from Vickers Stock Research, a meaningful curve also is playing out.

It's all about curves. A chart of COVID-19 cases shows a line that has moved consistently higher; we're all waiting for a peak and then a falling back down the other side. With stock prices, a chart of indices shows a big move lower; here, we're waiting for a confirmed bottom and then a move back up. When looking at insider-sentiment data from Vickers Stock Research, a meaningful curve also is playing out.

Following the acquisition of Reynolds American, British American Tobacco is neck-and-neck with Philip Morris International to be the largest listed global tobacco company--slightly larger than PMI on net revenue, but slightly smaller on volumes. British American's Global Drive Brands are Dunhill, Kent, Pall Mall, Lucky Strike, and Rothmans, and it also owns Newport and Camel in the U.S. The firm also sells vapor e-cigarettes, including its Vype brand, heated tobacco, with Glo, as well as roll-your-own and smokeless tobacco products. The company holds 31% of ITC Limited, the leading Indian cigarette maker.

Dividends are supposed to lend stability to a portfolio. However, U.S.-based equity income investors have experienced a high degree of volatility in recent years. In 2018, the Federal Reserve embarked on an aggressive campaign to raise interest rates -- causing Treasury yields to swoop and dive, resulting in a wild ride for supposedly stable U.S. high-income equities. In 2019, the Fed lowered rates, in order to restore a normal upward slope in the yield curve. And in 2020, global investors, fearing the spread of the coronavirus, have pushed rates lower still. The endless speculation over the direction of rates has created market-timing headaches for equity income investors. They have endured wide swings in prices for rate-sensitive equity classes such as utilities, REITs and MLPs -- even as generally positive industry fundamentals remained largely intact. In our view, investing in international income stocks is one way to increase portfolio diversification while reducing sensitivity to U.S interest rates. Investing in overseas stocks carries its own set of risks, including the impact of currency exchange and geopolitical turmoil. But there are also many positives in this asset class for U.S. investors.

Dividends are supposed to lend stability to a portfolio. However, U.S.-based equity income investors have experienced a high degree of volatility in recent years. In 2018, the Federal Reserve embarked on an aggressive campaign to raise interest rates -- causing Treasury yields to swoop and dive, resulting in a wild ride for supposedly stable U.S. high-income equities. In 2019, the Fed lowered rates, in order to restore a normal upward slope in the yield curve. And in 2020, global investors, fearing the spread of the coronavirus, have pushed rates lower still. The endless speculation over the direction of rates has created market-timing headaches for equity income investors. They have endured wide swings in prices for rate-sensitive equity classes such as utilities, REITs and MLPs -- even as generally positive industry fundamentals remained largely intact. In our view, investing in international income stocks is one way to increase portfolio diversification while reducing sensitivity to U.S interest rates. Investing in overseas stocks carries its own set of risks, including the impact of currency exchange and geopolitical turmoil. But there are also many positives in this asset class for U.S. investors.

U.S. equities closed higher on Thursday on optimism for a China trade deal. Vice Premier Liu plans to meet with President Trump on January 15 to sign an interim trade agreement. The Dow Jones Industrial Average closed up 0.7%, the S&P 500 0.7% and the Nasdaq Composite was up 0.8%. Crude oil traded below $60 per barrel, while gold fell $3 to $1550 per ounce.

U.S. equities closed higher on Thursday on optimism for a China trade deal. Vice Premier Liu plans to meet with President Trump on January 15 to sign an interim trade agreement. The Dow Jones Industrial Average closed up 0.7%, the S&P 500 0.7% and the Nasdaq Composite was up 0.8%. Crude oil traded below $60 per barrel, while gold fell $3 to $1550 per ounce.

Stocks were mixed on Monday morning, with gains in the Healthcare, Consumer Discretionary and Technology sectors and losses in Energy and Financials. Major retail companies will begin to report later in the week. On the housing front, builder confidence, as measured by the NAHB/Wells Fargo housing market index, rose 6 points to 78 in August, above the Reuters consensus of 73 and the third straight monthly increase. The Dow fell 0.3%, the S&P rose 0.3%, and the Nasdaq rose 0.7%. Crude oil rose 1% to $42.50 per barrel, while gold jumped $46 to $1996 per ounce.

It's all about curves. A chart of COVID-19 cases shows a line that has moved consistently higher; we're all waiting for a peak and then a falling back down the other side. With stock prices, a chart of indices shows a big move lower; here, we're waiting for a confirmed bottom and then a move back up. When looking at insider-sentiment data from Vickers Stock Research, a meaningful curve also is playing out.

Dividends are supposed to lend stability to a portfolio. However, U.S.-based equity income investors have experienced a high degree of volatility in recent years. In 2018, the Federal Reserve embarked on an aggressive campaign to raise interest rates -- causing Treasury yields to swoop and dive, resulting in a wild ride for supposedly stable U.S. high-income equities. In 2019, the Fed lowered rates, in order to restore a normal upward slope in the yield curve. And in 2020, global investors, fearing the spread of the coronavirus, have pushed rates lower still. The endless speculation over the direction of rates has created market-timing headaches for equity income investors. They have endured wide swings in prices for rate-sensitive equity classes such as utilities, REITs and MLPs -- even as generally positive industry fundamentals remained largely intact. In our view, investing in international income stocks is one way to increase portfolio diversification while reducing sensitivity to U.S interest rates. Investing in overseas stocks carries its own set of risks, including the impact of currency exchange and geopolitical turmoil. But there are also many positives in this asset class for U.S. investors.

U.S. equities closed higher on Thursday on optimism for a China trade deal. Vice Premier Liu plans to meet with President Trump on January 15 to sign an interim trade agreement. The Dow Jones Industrial Average closed up 0.7%, the S&P 500 0.7% and the Nasdaq Composite was up 0.8%. Crude oil traded below $60 per barrel, while gold fell $3 to $1550 per ounce.

Dividends are supposed to lend stability to a portfolio. However, U.S.-based equity income investors have experienced a high degree of volatility in recent years. In our view, investing in international income stocks is one way to increase portfolio diversification while reducing sensitivity to volatile U.S interest rates. Investing in overseas stocks carries its own set of risks, including the impact of currency exchange and geopolitical turmoil. But there are also a number of positives in this segment for U.S. investors. One is a more robust selection of high-quality names. Yields also tend to be higher in overseas markets in general. And finally, valuations can be more attractive.

Growth stocks may be outperforming, once again, in 2019. But in an environment of historically low interest rates, many investors are searching for high levels of income, which often can be found in value stocks. Over the years, the performance record has favored growth. Still, value is the place to achieve income. The current yield on the iShares Russell 1000 Value Index ETF is 2.3%, compared to the current yield on the iShares Russell 1000 Growth Index ETF of 1.1%. As well, sometimes the risk profile favors value. For the past five years, the standard deviation of monthly returns for value stocks has been 3.5%, compared to the standard deviation of monthly returns for growth stocks of 3.7%. When we look for attractive high-yield/value stocks at Argus, we look for low valuations on metrics such as price/earnings, price/sales, price/book, yield and price/cash flow. But we also look for companies with clean balance sheets, high levels of profitability and cash flow generation, and experienced management. We have designed a portfolio of companies followed by Argus that are BUY-or HOLD-rated on a long-term five-year basis and have an average yield of 4.0% or higher.

Growth stocks may be outperforming, once again, in 2019. But in an environment of historically low interest rates, many investors are searching for high levels of income, which often can be found in value stocks. Over the years, the performance record has favored growth. Still, value is the place to achieve income. The current yield on the iShares Russell 1000 Value Index ETF is 2.3%, compared to the current yield on the iShares Russell 1000 Growth Index ETF of 1.1%. As well, sometimes the risk profile favors value. For the past five years, the standard deviation of monthly returns for value stocks has been 3.5%, compared to the standard deviation of monthly returns for growth stocks of 3.7%. When we look for attractive high-yield/value stocks at Argus, we look for low valuations on metrics such as price/earnings, price/sales, price/book, yield and price/cash flow. But we also look for companies with clean balance sheets, high levels of profitability and cash flow generation, and experienced management. We have designed a portfolio of companies followed by Argus that are BUY-or HOLD-rated on a long-term five-year basis and have an average yield of 4.0% or higher.

The major indices are down at midday on Wednesday as the escalating U.S.-China trade war continues to rattle investors. Fed funds futures prices point to an almost certain rate cut at September's meeting, with three total cuts anticipated by year-end. Major drug distributors fell after Bloomberg reported late yesterday that settlement costs for state and federal opioid lawsuits could be much higher than previously anticipated. Industries doing well today include Metals & Mining, Chemicals, and Household Products. Industries showing weakness include Energy Equipment & Services, Entertainment, and Banks. The VIX is up 1.88 to 22.05 after the previous close of 20.17. The Dow fell 1.3%, the S&P 1.0%, and the Nasdaq 0.6%. Crude oil fell sharply to about $51 per barrel, while gold soared, rising $33 to $1517 per ounce.

The major indices are down at midday on Wednesday as the escalating U.S.-China trade war continues to rattle investors. Fed funds futures prices point to an almost certain rate cut at September's meeting, with three total cuts anticipated by year-end. Major drug distributors fell after Bloomberg reported late yesterday that settlement costs for state and federal opioid lawsuits could be much higher than previously anticipated. Industries doing well today include Metals & Mining, Chemicals, and Household Products. Industries showing weakness include Energy Equipment & Services, Entertainment, and Banks. The VIX is up 1.88 to 22.05 after the previous close of 20.17. The Dow fell 1.3%, the S&P 1.0%, and the Nasdaq 0.6%. Crude oil fell sharply to about $51 per barrel, while gold soared, rising $33 to $1517 per ounce.

Growth stocks may be outperforming, again, in 2019. But in an environment of historically low interest rates (and with the Federal Reserve seemingly poised to cut again), many investors are still searching for high levels of income, which can often be found in value stocks. Over the years, the performance record has favored growth. Since 2003, the Russell 1000 Growth Index has climbed 457%, compared to an advance of 289% for the Russell 1000 Value Index. In 11 of the 16 years of this period, growth stocks have topped value stocks. Still, value is the place to achieve income. The current yield on the iShares Russell 1000 Value Index ETF is 2.9%, compared to the 1.4% current yield on the iShares Russell 1000 Growth Index ETF. As well, sometimes the risk profile favors value. For the past five years, the standard deviation of monthly returns for value stocks has been 3.5%, compared to the 3.7% standard deviation of monthly returns for growth stocks. Based on numerous requests from clients, we have designed a portfolio of companies followed by Argus Research that are BUY- or HOLD-rated on a long-term (five-year) basis and have an average yield of 4.0% or higher. The portfolio includes 40 stocks and representation in all 11 sectors. Not surprisingly, the weights of the sectors are different from the current weights in the S&P 500. As an example, the Argus High-Yield Portfolio has a 15% weighting in Energy, 13% in Consumer Staples and 8% in both Real Estate and Utilities. These are all Over-Weights compared to the broad market. Under-Weighted sectors include Technology (only 3% of the Argus High-Yield Portfolio) and Industrial (5%). The average yield for the portfolio is 4.97%, compared to 1.85% for the S&P 500. The average beta is a sub-market 0.89. Here are the Top 10 Yield Stocks in the Argus High-Yield Portfolio.

Growth stocks may be outperforming, again, in 2019. But in an environment of historically low interest rates (and with the Federal Reserve seemingly poised to cut again), many investors are still searching for high levels of income, which can often be found in value stocks. Over the years, the performance record has favored growth. Since 2003, the Russell 1000 Growth Index has climbed 457%, compared to an advance of 289% for the Russell 1000 Value Index. In 11 of the 16 years of this period, growth stocks have topped value stocks. Still, value is the place to achieve income. The current yield on the iShares Russell 1000 Value Index ETF is 2.9%, compared to the 1.4% current yield on the iShares Russell 1000 Growth Index ETF. As well, sometimes the risk profile favors value. For the past five years, the standard deviation of monthly returns for value stocks has been 3.5%, compared to the 3.7% standard deviation of monthly returns for growth stocks. Based on numerous requests from clients, we have designed a portfolio of companies followed by Argus Research that are BUY- or HOLD-rated on a long-term (five-year) basis and have an average yield of 4.0% or higher. The portfolio includes 40 stocks and representation in all 11 sectors. Not surprisingly, the weights of the sectors are different from the current weights in the S&P 500. As an example, the Argus High-Yield Portfolio has a 15% weighting in Energy, 13% in Consumer Staples and 8% in both Real Estate and Utilities. These are all Over-Weights compared to the broad market. Under-Weighted sectors include Technology (only 3% of the Argus High-Yield Portfolio) and Industrial (5%). The average yield for the portfolio is 4.97%, compared to 1.85% for the S&P 500. The average beta is a sub-market 0.89. Here are the Top 10 Yield Stocks in the Argus High-Yield Portfolio.

Growth stocks may be outperforming, again, in 2019. But in an environment of historically low interest rates (and with the Federal Reserve seemingly poised to cut again), many investors are still searching for high levels of income, which can often be found in value stocks. When we look for attractive high-yield/value stocks at Argus, we look for low valuations on metrics such as price/earnings, price/sales, price/book, yield and price/cash flow. But we also look for companies with clean balance sheets, high levels of profitability, cash-flow generation, and an experienced management teams. We seek to avoid companies in industries that are in secular decline, or with dividend yields that are so high that the payout is clearly at risk. That said, many value companies may face a substantial near-term industry problem. That might be a retailer fending off Amazon.com; or an energy company tied to the uncertain long-term outlook for demand for fossil fuels; or a newspaper company in the digital advertising age. Some value companies, such as tobacco companies, may face ongoing legal or regulatory risks. And others may be facing problems such as over-aggressive acquisitions, patent expirations or recent earnings stumbles. Based on requests from clients, we have designed a portfolio of companies followed by Argus Research that are BUY- or HOLD-rated on a long-term (five-year) basis and have an average yield of 4.0% or higher.

Growth stocks may be outperforming, again, in 2019. But in an environment of historically low interest rates (and with the Federal Reserve seemingly poised to cut again), many investors are still searching for high levels of income, which can often be found in value stocks. When we look for attractive high-yield/value stocks at Argus, we look for low valuations on metrics such as price/earnings, price/sales, price/book, yield and price/cash flow. But we also look for companies with clean balance sheets, high levels of profitability, cash-flow generation, and an experienced management teams. We seek to avoid companies in industries that are in secular decline, or with dividend yields that are so high that the payout is clearly at risk. That said, many value companies may face a substantial near-term industry problem. That might be a retailer fending off Amazon.com; or an energy company tied to the uncertain long-term outlook for demand for fossil fuels; or a newspaper company in the digital advertising age. Some value companies, such as tobacco companies, may face ongoing legal or regulatory risks. And others may be facing problems such as over-aggressive acquisitions, patent expirations or recent earnings stumbles. Based on requests from clients, we have designed a portfolio of companies followed by Argus Research that are BUY- or HOLD-rated on a long-term (five-year) basis and have an average yield of 4.0% or higher.

As reflected by the proprietary sell/buy ratios from Vickers Stock Research, insider sentiment remains solidly positive heading into the second-quarter earnings season. Trading volume has started to decrease, which is as expected with insiders mostly sidelined based on the imminent release of material nonpublic information. Still, the trading that is taking place supports an optimistic near-term view for equities.

As reflected by the proprietary sell/buy ratios from Vickers Stock Research, insider sentiment remains solidly positive heading into the second-quarter earnings season. Trading volume has started to decrease, which is as expected with insiders mostly sidelined based on the imminent release of material nonpublic information. Still, the trading that is taking place supports an optimistic near-term view for equities.

Stocks fell again on Thursday after the European Central Bank cut its economic growth and inflation forecasts, and said that it would defer any interest rate hikes until at least 2020. The decline was broad-based, led by the Consumer Discretionary and Financial sectors, with only Utilities moving higher. The selloff came ahead of the February employment report on Friday morning. The current Bloomberg consensus calls for an increase of 180,000 payroll jobs, down from 304,000 in January, and an employment rate of 3.9%, down from 4.0%. The Dow fell 0.78%, the S&P 0.81%, and the Nasdaq 1.13%. Crude oil rose slightly to $56.50 per barrel, while gold fell $1.50 to $1,286 per ounce.

Stocks fell again on Thursday after the European Central Bank cut its economic growth and inflation forecasts, and said that it would defer any interest rate hikes until at least 2020. The decline was broad-based, led by the Consumer Discretionary and Financial sectors, with only Utilities moving higher. The selloff came ahead of the February employment report on Friday morning. The current Bloomberg consensus calls for an increase of 180,000 payroll jobs, down from 304,000 in January, and an employment rate of 3.9%, down from 4.0%. The Dow fell 0.78%, the S&P 0.81%, and the Nasdaq 1.13%. Crude oil rose slightly to $56.50 per barrel, while gold fell $1.50 to $1,286 per ounce.

Stocks fell again on Thursday after the European Central Bank cut its economic growth and inflation forecasts, and said that it would defer any interest rate hikes until at least 2020. The decline was broad-based, led by the Consumer Discretionary and Financial sectors, with only Utilities moving higher. The selloff came ahead of the February employment report on Friday morning. The current Bloomberg consensus calls for an increase of 180,000 payroll jobs, down from 304,000 in January, and an employment rate of 3.9%, down from 4.0%. The Dow fell 0.78%, the S&P 0.81%, and the Nasdaq 1.13%. Crude oil rose slightly to $56.50 per barrel, while gold fell $1.50 to $1,286 per ounce.