Have the ‘dogs of the FTSE’ had their day?

When you are investing, keeping things as simple as possible is rarely a bad thing. In fact, complicated strategies employed by some professional fund managers often find it difficult to beat the markets for prolonged periods of time.

Back in 1990, Michael O’Higgins, in his book Beating the Dow, suggested that private investors could do better than the pros by simply investing in the ‘dogs of the Dow’ – the ten highest-yielding stocks in the Dow Jones Industrial Average index.

How it works

His strategy of selecting shares based on their dividend yields can make a lot of sense. Dividends [...]

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