These top dividend stocks can help ride out market volatility, investor says

Investors looking for stability amid the market volatility should consider a diversified portfolio of dividend stocks, according to ClearBridge Investments' Michael Clarfeld. The S & P 500 rose to a fresh record on Monday even as oil jumped on concerns over the Iran war. Iranian state media reported the country stopped negotiations with the U.S. and said it will completely shut the Strait of Hormuz because of Israeli attacks on Lebanon. Later Monday, President Donald Trump said he had a productive call with Israeli Prime Minister Benjamin Netanyahu regardign Lebanon. Given how high the market has gone, dividends can provide a more predictable return, said Clarfeld, portfolio manager of the firm's dividend strategy. They also tend to cushion the downside because they give investors a clear thing to hold onto, he added. "The case for dividends is as strong as it's ever been, given the volatility in the markets, given the uncertainty about what the future looks like, and also given the importance of dividend growth as an offset to inflation that's stickier and higher," he said. Inflation continues to run well above the Federal Reserve's target of 2%. The personal consumption expenditures price index , which is the Fed's benchmark inflation gauge, rose 3.8% in April and 3.3% when excluding food and energy prices, the Commerce Department reported last week. …