- The European Dividend Aristocrats are based (by S&P) on the 40 highest dividend-yielding Eurozone companies within the S&P Europe Broad Market Index (BMI).
- European Dividend Aristocrats managed a dividends policy of increasing or stable dividends for at least 10 consecutive years, which is different from the US-edition.
- This article lists the current European Dividend Aristocrat constituents and their recent returns
- By showing the recent performance of the Europen Dividend Aristocrats, some active dividend growth investors may be able to identify relative bargains.
- The European Dividend Aristocrats posted a loss of -5.65% return in October 2020.
The S&P Europe 350 index ended the month down with -5.04%, after a resurgence in cases of COVID-19 and increasing (lock-down) restrictions in many European countries. Also, the “Brexit” negotiations continued to drag on. As a result, many European indices had the worst monthly performance since March 2020.
The European Dividend Aristocrats showed similar performance and posted a loss of -5.65% in the last monther. The (high yield) European Dividend Aristocrats are down -12.66% year-to-date, which is an outperformance compared to its benchmark.
The 10 years annualized total returns of the European Dividend Aristocrats and the S&P Europe 350 are 7.79% for the aristocrats and 5.77% for the SP Europe 350.
Below the year-by-year performance since 2010.
European Dividend Aristocrats performance in October 2020
The table below lists all 40 constituents and lists returns over the trailing last month, dividend yield plus the year-to-date performance.
- Top performance stocks in October are Merck and Fuchs Petrolub.
- Laggards: in October are the Technology and energy sectors.
- Year-to-date the three best performing dividend aristocrats are Merck, UCB SA, Recodati ICF. All three are active in the healthcare sector.
- The current indicated average dividend yield is 3.11% and a projected P/E of 17.64. Total SE and Enagas SA are currently having a dividend yield above the 10% mark.
Dividends and Dividend Yield
Next to dividend growth investing, a high yield dividend could also be an approach. The table below lists the top-10 European Dividend Aristocrats sorted descending by the current dividend yield (end of October 2020).
The above-presented performance data of the European Dividend Aristocrats could assist active dividend growth investors to find some bargains for the long run. Interested in the latest data and also dividend growth rates, members can use the European dividend aristocrats dashboard.
Other Sources of Dividend Investment Ideas
The Dividend Aristocrats list is not the only way to quickly screen for businesses that regularly pay rising dividends.
- The Dividend Kings List is even more exclusive than the Dividend Aristocrats. It is comprised of less than 20 businesses with 50+ years of consecutive dividend increases.
- The MoneyInvestExpert Defensive Aristocrats is a performance-based top-10 selection of the Dividend Aristocrats to outperform the market on the long-term.
- Portfolio lists like the Berkshire Hathaway Portfolio or Bill Gates’stock portfolio can be a source.
- For the European focused investors there is also the list of European Dividend Aristocrats.
- Dividend Champions are not necessarily members of the S&P 500 index, have increased their dividend for 25 or more consecutive years.
- 100+ years of dividend, the list of stocks that pay over 100 year of dividend can be an list of inspiration.
Next to selecting the right dividend stocks, important principles for successful long-term investing are Disciple, Diversification, Defensive & indeed Dividend. Read more about this in our free e-book.
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