Dividend-paying stocks can potentially support client portfolios amid market volatility and inflation.

Key takeaways:

• Dividend-paying stocks offer many potential benefits, including the ability to generate income even during market volatility, when positive returns can be tough to capture.
• A hedge against inflation is another potential benefit. When reinvested, dividends can grow over time, which may support an investment portfolio when prices on goods and services are rising.
• In addition, dividend-paying stocks are frequently tilted toward quality and value. The underlying firms generate enough cash to potentially share some of their earnings with investors.