Up until this week, your intrepid Dogs of the Index strategist has applied dog dividend methodology only to lists of stocks created for a publisher's stated purpose.
For example:
CME Group states:
The Dow Jones Industrial Average (DIA) is a price-weighted index of 30 blue-chip US companies representing nine economic sectors including financial service, technology, retail, entertainment and consumer goods. The leadership position of the component stocks in the DJIA tends to result in an extremely high correlation of the DJIA to broader US indexes, such as the S&P 500 Index providing additional opportunities.
McGraw Hill states:
Standard & Poor’s strives to provide investors who want to make better informed investment decisions with market intelligence in the form of credit ratings, indices, investment research and risk evaluations and solutions." The company says that the S&P 500 index includes 500 leading companies in leading industries of the US economy, capturing 75% coverage of US equities.
NASDAQ states:
The NASDAQ-100 Index includes 100 of the largest domestic and international non-financial securities listed on The Nasdaq Stock Market based on market capitalization... It does not contain securities of financial companies including investment companies.
Russell Investments states its purpose as:
Improving financial security for people. " The company says its Russell 1000 Index offers investors access to the "extensive large-cap segment of the US equity universe, representing approximately 90% of the US market.
You get the idea. Every publisher has a different perspective and builds a list of equities as a baseline for comparing periodic gyrations in the market. To this end, the financial publishing community contributes to the malady diagnosed by Yale Professor of Economics, Dr. Robert Schiller, who has observed:
People still place too much confidence in the markets and have too strong a belief that paying attention to the gyrations
