As the FTSE indexes sink, these unique dividend shares are making investors money

While the FTSE 100 and FTSE 250 indexes have slumped recently, not all shares on the London Stock Exchange have fallen. Believe it or not, there are some shares that have risen as markets have become turbulent, protecting investors from the volatility.

Interested in learning more? Hereâs a look at two of these stocks.

Rising while the market is falling

One group of companies that often does well when market volatility picks up is financial trading businesses. The reason they tend to outperform is that volatility creates trading opportunities â when markets are swinging around wildly, customers want to place more trades.

Now, one of my favourite UK stocks in this space is IG Group (LSE: IGG). Iâve highlighted this name a few times recently as an undervalued growth (and income) play.

Itâs having a great run at the moment. This week, it actually hit new all-time highs.

Relative to the FTSE 100 (which itâs set to join at the end of this month), itâs outperforming by a wide margin. Over a month, itâs up about 6% versus a 6% fall for the index.

Even near all-time highs, I still see a lot of appeal in the stock. Because it still looks relatively cheap (the forward-looking price-to-earnings ratio is only 12) and offers an attractive dividend yield (3.1%).

Meanwhile, the company is performing well and just announced a strategic review to ensure it captures the full long-term opportunity ahead. âWe operate in large and fast-growing markets being reshaped by structural drivers, and now is the time to raise our ambitions,â said the firm in an update.

Itâs worth pointing out that IG operates in a competitive market. Players itâs up against include the likes of Robinhood and Trading 212.

It seems to be holding its own amid the growing level of competition, however. So, I think itâs worth considering for a portfolio.

Near 52-week highs despite market weakness

Another company in this industry that could be worth a look though is CMC Markets (LSE: CMCX). It offers similar services to IG but is significantly smaller (itâs in the FTSE 250 index).

Itâs not at all-time highs at the moment. But it is near 52-week highs, meaning that pretty much everyone who bought shares in the last year is now in positive territory.

I see a lot of appeal in this name too. Like IG, it’s cheap (the P/E ratio is 11.5) and sports an attractive yield (4.4%).

It also has momentum at the moment. Recently, it has done some major white label deals that could massively boost growth (one of these was with Australian banking giant Westpac).

Again, competition is a risk. These days, traders and investors have a lot of choice when it comes to platforms.

With a below-market-average valuation and an above-average yield, however, I like the risk/reward proposition. In my view, this stock is worth a closer look right now.

The post As the FTSE indexes sink, these unique dividend shares are making investors money appeared first on The Motley Fool UK.

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Edward Sheldon has positions in Robinhood Markets and London Stock Exchange Group. The Motley Fool UK has recommended London Stock Exchange Group. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors.