High Yield Dow (HYD)
Our low-cost High Yield Dow (HYD) service invests exclusively in the highest yielding Dow stocks according to our "4-for-18 model".
The model is based on research conducted by our parent organization, the American Institute for Economic Research, which examined the historical returns of the DJIA stocks. They concluded that a strategy concentrated on the 4 highest yielding DJIA stocks and utilizing an 18 month holding period provided the best combination of risk and return of over one thousand portfolio options they examined. For a detailed description of the research and strategy see the HYD Brochure.
This approach is essentially contrarian. It encourages investors to accumulate shares of large, well-established, often multinational companies with a policy of steadily expanding dividends at a time when the companies are out of favor. They are held until they return to favor and can be exchanged for a higher-yielding stock within the Dow.
- The model's 18-month holding period is designed to ensure that all capital gains in taxable accounts will be eligible for beneficial long-term treatment.
- The minimum account size is $100,000, although we recommend no less than $150,000 to give you a better cost break. Multiple accounts can be combined for purposes of calculating the minimum and the fee. Please see our fee schedule shown below.
Download Hypothetical Returns for the HYD Model Portfolio (results to 12/31/11)Download a Financial Appraisal Form to return to AIS for your complimentary recommendation report