Dividend Stock-Picking: Beware High Yields

This assignment was written by Stockpickr member Ira Krakow.

In a volatile market climate (such as the one we're in now), there is often a temptation to buy high-yielding dividend stocks. Buying a stock with a dividend that yields 6% or more is certainly preferable to sustaining a loss of 15% to 20% or more -- a situation that has been typical of even value-oriented stocks in 2008.

Some stocks that an investor lusting after high dividend yields might consider buying include:

Bank of America (BAC Quote) : 9.66% yield

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