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Dear Fellow Investor,
This Is One of the Best Yearly Dividend Opportunities to Jump Into
As 2025 quickly approaches, many investors are taking a hard look at which strategies worked this year—and which ones are worth carrying into the next.
One time-tested approach that continues to deliver steady income and long-term gains, even in volatile markets, is the Dogs of the Dow strategy.
Simple, reliable, and rooted in decades of data, it’s one of the easiest “buy-and-hold” methods on Wall Street—and it’s particularly attractive for income-focused investors as we near the end of the year.
What Are the Dogs of the Dow?
The concept behind the Dogs of the Dow is refreshingly simple. Each year, investors buy the 10 highest-yielding dividend stocks among the 30 companies that make up the Dow Jones Industrial Average.
These stocks are typically the “underdogs” of the blue-chip index—companies that have fallen out of favor but continue to offer solid fundamentals and reliable dividend payouts.
The logic is straightforward: high yields often indicate undervaluation. By scooping up these temporarily beaten-down yet stable blue chips at the start of the year, investors can capture both capital appreciation and steady dividend income as the market rotates back in their favor.
At the end of the year, you sell the old group and buy the new Dogs for the following year. That’s it—no complex timing, no options trading, no technical wizardry required.
Altimetry
Buy this stock before Optimus goes live
You may have heard that Tesla is planning to launch a brand new product called "Optimus".
Elon Musk called it "mind blowing" and "something special".
He's already moved $1bn into Tesla to take advantage, becoming the first person in history to be worth more than half a trillion dollars just two weeks later.
But almost no one I speak to realizes that you're running out of time to capitalize on it too.
All ten of the biggest money managers in the world have followed my firm's work. That includes huge names like Goldman Sachs and JP Morgan.
And yet a lot of folks I talk to on Wall Street still think that driverless cars are the next big Tesla story.
That's just wrong.
It's Optimus.
And after studying Elon's every move all year, I'm convinced it's going to launch in less than a month's time. The implications for the stock market are huge. Tesla may never trade at this price again.
And if you want to capitalize, there's one stock I think needs to be on your radar right now.
I'd like to give you all the details today. And while my firm have charged $100,000 to Wall Street for a single report on a situation like this...
Today, I'm giving the name of this report away free of charge, with no subscription required.
You still have time to get in. But not long. In fact, after November 6 - Tesla's AGM - I think it'll be too late.
That's why I'm stepping forward to tell you today...
Buy THIS stock before Tesla's Optimus project goes live.
Best,
Rob Spivey
Research Director, Altimetry
How Have the Dogs Performed Historically?
While 2024 was a mixed year for the Dogs of the Dow, history shows the strategy consistently produces strong returns over time, especially when dividends are reinvested.
Let’s take a quick look at how the Dogs have done in recent years:
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2024: The Dogs underperformed the broader indices, but investors still collected attractive dividend yields—helping cushion the downside.
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2023: The Dogs returned about 10.1%, compared to the Dow’s 14.4%. That may seem underwhelming, but add in the dividends, and most investors still walked away with solid total returns.
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2022: This was a standout year for the strategy. Despite one of the toughest markets in recent memory, the Dogs beat the major indices. While their stock prices fell about 1.6%, dividend payouts brought the total return to roughly +2%.
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For context: that same year, the NASDAQ fell 33%, the S&P 500 dropped 19%, and even the Dow lost nearly 9%. In other words, the Dogs helped investors stay above water when nearly everyone else was sinking.
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2021: The Dogs delivered a strong 16.3% return.
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2019: Another solid year—+20%.
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2017: Up 19%.
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2016: Up 16%.
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Even in 2018, when the Dow dropped 6%, the Dogs still finished positive at roughly +1%.
The takeaway? While the Dogs won’t win every year, their long-term performance—and their defensive nature—make them one of the most resilient dividend strategies in the market.
The 2025 Dogs of the Dow (So Far)
Let’s take a look at how this year’s Dogs are performing as we head into the home stretch of 2025.
Despite a choppy market, eight of the ten names have delivered positive returns—alongside healthy dividend income.
| Company | SYM | Yield | Start of 2025 Price | Current Price | YTD Performance |
| Verizon | VZ | 7.02% | $38 | $39.34 | +3.5% |
| Chevron | CVX | 4.42% | $142 | $154.88 | +9.1% |
| Johnson & Johnson | JNJ | 2.77% | $142 | $187.40 | +32% |
| Amgen | AMGN | 3.28% | $258 | $290.82 | +12.7% |
| Merck | MRK | 3.72% | $98 | $87.01 | -11.2% |
| Coca-Cola | KO | 2.88% | $61 | $70.78 | +16% |
| IBM | IBM | 2.12% | $215 | $316.30 | +47% |
| Cisco | CSCO | 2.3% | $58 | $71.54 | +23% |
| McDonald’s | MCD | 2.4% | $293 | $310.31 | +5.9% |
| Procter & Gamble | PG | 2.72% | $164 | $152.95 | -8.28% |
The Dogs have performed exceptionally well overall this year. Eight out of ten are firmly in positive territory for the year, and when you factor in those reliable dividend payments, total returns look even stronger.
Why the Dogs Strategy Still Works
There’s a reason this approach has endured for over 30 years—it’s based on simple fundamentals, not hype.
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Mean Reversion Works: Dow components are among the world’s most stable, profitable companies. When one underperforms, it often bounces back as market sentiment improves.
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High Dividends Cushion Downside: Dividend payouts help offset volatility and provide steady income even during weak markets.
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No Guesswork Required: Investors rebalance annually, keeping the strategy mechanical and emotion-free.
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Compounding Over Time: Reinvesting those dividends can turn modest annual gains into powerful long-term growth.
For investors who prefer minimal maintenance and dependable returns, this is as close as it gets to a “set it and forget it” approach.
How to Get Started
Implementing the Dogs of the Dow strategy is straightforward:
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At the start of each year, identify the 10 highest-yielding stocks in the Dow Jones Industrial Average.
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Invest equal amounts in each stock.
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Hold for 12 months, collecting dividends along the way.
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Sell at year-end, and repeat the process with the new Dogs for the following year.
Several ETFs and funds also replicate the strategy automatically, such as the Dow 10 Dividend ETF (SYM: DODX) and similar vehicles. These are ideal for investors who prefer not to manage individual stock positions.
Are there any similar strategies you swear by? Have you ever had luck buying the dogs of the dow? What sectors of the market you think are on their way up right now? Hit "reply" to this email and let us know your thoughts!
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