One of the best year-end strategies is the Dogs of the Dow.

With it, you’re buying the highest-yielding Dow stocks that fell apart the year before.  Not only do you get to profit from a potential run off lows, you can collect dividends.

All you have to do is invest in the 10 Dogs at year end, cash out at the end of the following year, and repeat over and over again.

While 2020 wasn’t a great year for the Dogs – or really anyone, they were up 20% the year before.  In 2018, they were up a “massive” 1%, as the Dow fell about 6%.  In 2017, the Dogs of the Dow were up 19%, and in 2016, they were up 16%.

This year, most of the Dogs are doing very well.

  • Chevon (CVX) with a yield of 4.68% — ran from $82 to $113
  • IBM (IBM) with a yield of 5.24% – ran from $120 to $126
  • Dow (DOW) with a yield of 5% – ran from $54 to $59
  • Walgreens (WBA) with a yield of 4.06% – ran from $40 to $49
  • Verizon (VZ) with a yield of 4.83% — fell slightly from $57 to $53
  • 3M (MMM) with a yield of 3.31% – ran from $168 to $181
  • Cisco (CSCO) with a yield of 2.64% — ran from $44 to $57
  • Merck (MRK) with a yield of 2.95% — ran from $75 to $91
  • Coca-Cola (KO) with a yield of 2.98% — ran from $52 to $56
  • JP Morgan (JPM) with a yield of 2.35% — ran from $123 to $170

With the exception of VZ, the Dogs produced solid wins, with dividends.