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This Wide-Moat Stock Pumps Up the Volume on Dividends

This company regularly considers an additional fifth special dividend per year, which can turn into a nice payout for shareholders.

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Gaston Ceron: So, we’re talking today about CME Group. It’s a company based right here in Chicago. It's a derivatives exchange. They specialize in futures. They trade a wide variety of products. For example, they are big in the trading of interest-rate derivative products. And here, one of the key things that we look at when we follow this company is volume. If volume is up, generally it’s good for the exchange; if volume is down, generally it's not so good.

So, for instance, when it comes to interest-rate products, if it's a period of time when people are speculating a lot about the path of interest rates, that’s generally good for volatility and good for volume. Other product classes include things like energy, derivatives or foreign exchange or commodities.

Gaston F. Ceron does not own (actual or beneficial) shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.