Hedge Funds Are Overrated: 3 Highly Attractive Dividend Stocks To Buy

Jul. 05, 2024 7:30 AM ETAM, IEX, V33 Comments
(16min)

Summary

  • James Simons' Medallion fund achieved a remarkable 40% annual return over 35 years, outperforming the S&P 500 by 4x.
  • Hedge funds, in general, have become overrated due to their size and lack of opportunities for outsized gains.
  • Investors can beat the market by investing in high-quality dividend growth stocks, like the three discussed in this article. These offer consistent returns and potential outperformance of hedge funds.
  • Looking for more investing ideas like this one? Get them exclusively at iREIT® on Alpha. Learn More »

Gold and Currency

GeorgePeters

Introduction

40% per year.

That's the average return of James Simons' Medallion fund from 1988 through 2023.

On May 10, the mathematician-investor died at the age of 86 after he had become the most successful hedge fund manager in history.

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This article was written by

42.89K Followers

Leo Nelissen is an analyst focusing on major economic developments related to supply chains, infrastructure, and commodities. He is a contributing author for iREIT®+HOYA Capital.

As a member of the iREIT®+HOYA Capital team, Leo aims to provide insightful analysis and actionable investment ideas, with a particular emphasis on dividend growth opportunities. Learn More.

Analyst’s Disclosure:I/we have a beneficial long position in the shares of AM either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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