How to Diversify a Portfolio with Dividend Paying Stocks?
To diversify a portfolio with dividend paying stocks: 1. Sector Diversification: Invest in dividend paying stocks across various sectors such as utilities, consumer goods, and healthcare. 2. Geographic Diversification: Include international dividend paying stocks to reduce country-specific risks. 3. Mix of High-Yield and Growth: Balance high-yield dividend stocks with those that have lower yields but higher growth potential.