The stock market remains volatile due in degrees to weak economic data reported by the Chinese government and investors’ concerns about the pace of recovery of the U.S. economy and inflationary pressure. So, we think it could be wise to bet on fundamentally strong dividend stocks Artisan Partners Asset Management (NYSE:APAM) and Altria Group (NYSE:MO) to ensure a steady income stream in one’s portfolio. Read on.Weak economic data released by the Chinese government is expected to keep the market on edge. Furthermore, investors remain anxious about potential interest rate hikes because the Federal Reserve could pull forward its timing on tapering asset purchases due to rising inflation in the domestic economy. Amid the increasing uncertainty concerning the market’s momentum, investing in dividend-paying stocks may be the best option for individuals seeking to secure an income stream.
The CBOE Volatility Index has increased 9% over the past five days as investors remain worried about the economic recovery because of the resurgence of COVID-19 cases.
So, to hedge one’s portfolio against the severe market volatility in the coming months, we think dividend-paying stocks Artisan Partners Asset Management Inc. (APAM) and Altria Group Inc. (MO) could be good bets now. Given their strong fundamentals, these two stocks are worth holding for the long term.