Value/dividend rotations outperform amid volatility

SCHD leads vs SPY; Russell 1000 Value +9.9% YTD. Value picks: GECC, PVH, UVE. Dividend picks: GSK, KIM, MGA. Utilities gaining from AI data center demand. High-yield 5%+ stocks favored; EPR Properties (6.35% yield) Strong Buy. UiPath as AI value play. Contrarian views on dividend growth investing add nuance. Latest: A Dividend Aristocrat (3% yield, 10% growth) down 12% on AI fears but potentially undervalued; Microsoft (MSFT) 20% drawdown offers dividend growth opportunity. AutoZone Q3 beat reinforces defensive value play. Earnings season guidance shows consumer stress (Walmart/Costco) reinforcing k-shaped economy and value rotation. Dividend growth stocks continue to beat bonds with 10.5% annualized returns, reinforcing the rotation. Equity risk premium near zero adds caution for growth stocks, supporting value/dividend rotation. Small cap outperformance (Russell 2000 +15.6% YTD) adds another dimension. VIG analysis shows it's growth disguised as dividend, not for yield-on-cost.