5 Dividend Stocks to Buy With $2,000 and Hold Forever

Core Insights - Investing in dividend stocks is a strategy for building long-term wealth and generating passive income, with dividend-paying companies historically outperforming non-dividend counterparts [1][2] Dividend Stock Performance - Research indicates that over a 50-year period, dividend stocks provided an annual return of approximately 9.2%, compared to 4.3% for non-dividend stocks [2] - Companies that consistently grow their dividends achieve even higher annual returns of 10.2% with lower volatility [2] Company Summaries - Chubb: A major player in the global insurance market with a strong history of conservative underwriting, Chubb has increased its dividend for 32 consecutive years and maintains a 17% payout ratio, supporting its dividend growth [5][6] - Cincinnati Financial: This insurer has raised its dividend for over 65 consecutive years, benefiting from disciplined underwriting and a conservative balance sheet, making it a member of the Dividend Kings club [7][8] - FactSet Research Systems: Provides financial data and analytics with a strong subscription model, generating steady revenue and raising dividends for over 27 consecutive years [9][10] - Aflac: A significant player in supplemental health and life insurance, Aflac has increased dividends for over 42 years, supported by low payout ratios and strong capital generation [11][12] - S&P Global: Engaged in credit ratings, indexes, and data analytics, S&P Global has a history of 53 consecutive years of dividend increases, supported by high-margin, recurring revenue businesses [13][14]