Multi-asset investment platform eToro has launched a 40-stock DividendGrowth portfolio targeting companies that have paid a dividend for the past 20 years.
The portfolio screens for a consecutive dividend payment and is based on market cap, beta, five-year dividend average growth and previous year dividend yield.
Seeking out dependable income in uncertain times
Procter and Gamble, Diageo, IBM, PepsiCo, AT&T and L'Oreal are among the stocks selected for the global portfolio, which has a minimum investment of $2,000 (£1,600).
The DividendGrowth portfolio is the first in eToro's 2020 efforts "to make traditional investment strategies more accessible for people", the firm explained.
CEO and co-founder of eToro Yoni Assia said investing "should be made as easy as possible for people" and "not everyone has the time to research companies that pay a good and consistent dividend".
He added: "Ask any asset manager and they will say investing in dividend-paying stocks is one way to mitigate the downside of a volatile market."
Wise Funds' top ten trusts for income
According to the firm's website, the portfolio has 430 investors at time of writing, amassing between $1m and $2m in total assets.
Its back-tested performance shows a loss of 3.5% for 2018 and a gain of 23.8% for 2019, with a maximum yearly drawdown of 0.6%. eToro is commission-free and there is no management fee on the DividendGrowth portfolio, which charges a $5 (£3.90) fee for withdrawing money.
