Stocks with stable dividend paying histories and high yields can be solid additions to one’s retirement portfolio now because fixed-income instrument yields are currently at multi-year lows. As such, we think PetroChina Company (OTC:PCCYF) (PTR) and Gilead Sciences (NASDAQ:GILD) should be value additions to one’s portfolio considering their strong growth prospects and probable increase in dividend payouts over the long term.Investing in dependable dividend stocks is one of the most popular retirement investment strategies. That’s because in addition to their capital appreciation potential, fundamentally sound dividend stocks ensure a steady stream of income that helps pay expenses during an individual’s retirement.
Given the relatively low coupons offered by fixed-income investments currently, owing to the Fed’s ultra-loose monetary policy, many investors are now shifting to equities with substantial dividend payouts and high capital appreciation potential.
Because the rapid macroeconomic recovery should boost the cash flows of most businesses, their dividend payouts should increase or at least remain steady in the future. So, given their solid history of dividend payments, we think PetroChina Company Limited (PTR) and Gilead Sciences, Inc. (GILD) should be the right addition to one’s retirement portfolio now.