BOSTON (TheStreet) -- Investors are preparing their portfolios for a stock-market rally as the benchmark S&P 500 Index has jumped 13% since the end of August.By contrast, Pamela Rosenau, principal and chief investment officer of Rosenau/Paul Group, is sitting tight. Rosenau/Paul Group, which manages $700 million in assets, prefers steady dividend payers such as Chevron ( CVX - Get Report) and Vodafone ( VOD), which help to smooth out stock-market fluctuations, she says. Rosenau also is managing director of HighTower Advisors. >>Find more high-yield stocks with our Top Dividends tool. The S&P 500 closed at the highest level since early May on expectations the Federal Reserve will pump up the economy with bond purchases, also known as quantitative easing, and reports that showed the strongest signs yet that the economy is rebounding. Still, economic growth is anything but certain as economists predict the jobless rate will average more than 9% through next year. The S&P 500 has fallen 100 points within a one-month period twice this year, and one other time it tumbled 200 points over two months. Before rebounding in September, the index dropped as much as 75 points the previous month.
|Pamela Rosenau, chief investment officer of Rosenau/Paul Group|