The stock market may have recovered most of its losses after having the worst start to a year in history amid crashing crude oil prices and the ripple effects of China's economic and market problems. With the global economic recovery still fragile, there is no knowing when the bears will get on a rampage.
This scenario calls for making investments in defensive growth sectors such as insurance. No matter what happens with stock markets or the economy, people will continue to purchase insurance for themselves and their loved ones. Legendary investor Warren Buffett knows this, and that's why his Berkshire Hathaway has done very well by owning a bunch of insurance companies.
We have identified an under-the-radar insurance stock that can fit into any portfolio with their growth and income opportunities.
This property-liability insurance and life insurance company has grown revenue in each of the last three years, and has recorded solid earnings, even if adjusted EPS declined year over year in 2015. The stability of this household name makes it a good bet for your long-term wealth building needs.
But the real attraction, at least for income investors, is the consistent dividend the company pays, which currently yields 2%. At Allstate, dividends have grown over the last five years, and investors have received dividends without fail each year since 1993. Recently, the company increased its quarterly dividend by 10% and will pay 33 cents per share to shareholders.