Dividend Aristocrats Listing For 2025

Some firms don’t simply pay dividends—they increase them 12 months after 12 months, it doesn’t matter what the market throws at them. These are the Dividend Aristocrats: a choose group of S&P 500 firms which have elevated their dividends for at the least 25 straight years.

If you happen to’re serious about dividend investing, you have doubtless heard concerning the dividend aristocrats. These are a particular breed of dividend paying shares that haven’t solely paid their dividends persistently over time, however have additionally elevated their payouts as effectively.

However which firms make the minimize in 2025, and how are you going to make investments? Right here’s what you should know.

The Dividend Aristocrats are a bunch of S&P 500 firms which have elevated their dividends consecutively for the final 25 years. The Dividend Aristocrats index was created and is maintained by the S&P Dow Jones Indices, which makes use of a particular methodology for figuring out which firms match into the index.

The index is rebalanced every January. New firms might enter the index and others, that not qualify, are dropped.

To qualify, firms should additionally meet the next 4 standards, which is specified within the above-linked methodology information:

• Be a member of the S&P 500.
• Have elevated whole dividend per share quantity yearly for at the least 25 consecutive years.
• Have a minimal float-adjusted market capitalization (FMC) of at the least US$ 3 billion as of the rebalancing reference date.
• Have a mean each day worth traded (ADVT) of at the least US$ 5 million for the three months previous to the rebalancing reference date.

Dividends should even be money funds moderately than issued in inventory or as particular dividends. At present, the minimal variety of shares within the index is 40. In some instances, there is probably not sufficient shares that meet the annual standards to be included within the index. When that occurs, shares which have paid dividends for 20 consecutive years are thought-about.

What Firms Are Included?

As of January 2025, there are 69 firms included within the index.

How To Make investments In The Dividend Aristocrats?

One of many easiest methods to put money into the Dividend Aristocrats is thru a fund that mimics index, which has the ticker image SPDAUDP.

The index is made up of 11 sectors:

Listed below are a number of funds and ETFs that observe the Dividend Aristocrat index:

• ProShares S&P 500 Dividend Aristocrats ETF (NOBL)
• iShares Chosen Dividend Index (DVY)
• SPDR S&P Dividend (SDY)

An alternate strategy is to easily personal all firms within the index immediately. That will appear difficult, however utilizing a service like M1 Finance (which gives investing by way of pie slices of shares) makes it very easy. A profit to that is that you could simply equal-weight the index, versus capitalization weight which most funds use.

You would possibly favor this feature as a result of equal-weighted indexes tend to outperform. 

Last Ideas

Basic and technical evaluation each assist in deciding which shares are a sensible choice to put money into. If you happen to’ve narrowed your selection right down to solely these within the Dividend Aristocrats index, you could have much less work to do when researching potential candidates.

Good firms are usually people who have constructive revenue, rising revenues and earnings, and good administration. However your analysis shouldn’t cease there. If researching a inventory appears intimidating, going with the SPDAUDP index will guarantee diversification throughout all the Dividend Aristocrats shares.