3 Great Stocks for Low-Risk Investors

If you prefer to err on the side of caution when you invest then you probably want to keep your portfolio diversified and focused on dividend paying stocks. Diversification will help soften the blow of bad times and dividends will help keep you invested no matter what comes your way. Three dividend payers that should be on your short list are Royal Gold (NASDAQ: RGLD), Hormel Foods (NYSE: HRL), and Kimberly-Clark (NYSE: KMB). But it's more than just their dividends that set them apart in the stock market.

Precious metals are subject to swift and volatile price swings, it's true. But if you step back and look at those price swings, their highs often occur right when you want them to -- when the broader market is going down. For example, during the 2007 to 2009 recession, gold went up 25% while the S&P fell 36%.

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Source: Fool.com