Markets are riding high, with the NASDAQ and the S&P 500 at record levels. The surge in equities, along with strongly positive jobs reports from May, June, and July, give a different retrospective take on the economy’s slide in February/March, due to the anti-coronavirus lockdown policies. Investors are responding with a burst of optimism, visible in the market gains.However, the lingering uncertainty in the wake of the coronavirus, and the looming uncertainty of the November elections, give a natural impetus to take a defensive play, finding stocks that will offer some portfolio protection should markets turn south.And this brings us to dividend stocks. These are a traditional defensive move, guaranteeing returns through dividend payments. But not all dividend stocks are created equal. Raymond James analysts have chimed in – and they are recommending high-yield dividend stocks for investors looking to find protection for their portfolio.Using TipRanks database, we’ve pulled up the details on...
(Bloomberg) -- Some of the biggest money managers are vexed by the same paradox troubling everyone else: U.S. stocks are near an all-time high, but the world still seems to be falling apart.Any number of looming threats could bring the historic rally in U.S. equities to a screeching halt, top hedge fund and mutual fund managers said. They include uncertainty over school re-openings, the November elections, tensions with China and the effect of monetary policy on inflation.While the S&P 500 has surged more than 50% from its March low, that happened with unemployment in double digits and the federal government struggling to contain Covid-19. The equity rally also has lifted the index’s price-to-earnings ratio to 26, compared with an average of 18 over the past decade. All of this leaves some market insiders wary of calling this a recovery.“There’s this massive disconnect between fundamentals and markets,” said Brian Payne, investment officer...
