“I invest only in the highest dividend yield stocks”.

This is one of the most common phrases you’ll hear when you talk to income investors. While it makes sense to go for a high a yield as possible if you’re seeking dividends, the question is — do the highest dividend yield stocks make you a winner overtime? Ned Davis Research conducted a study and divided companies into five different categories – S&P 500, non-dividend payers, dividend payers, dividend growers & initiators, and highest yield. Ned Davis Research wanted to know the returns of investing $10,000 in each of these categories from 1971 to 2013. Here are the results: Dividend growers & initiators gave the highest return; $10,000 invested would give you a cool $559,700 beating the S&P 500 index. And surprisingly, the highest yield stocks would have lost you money; $10,000 there would have given you ......