LONDON -- In today's video, David Kuo and Sonia Rehill discuss a common mistake that high-yield investors make when building their portfolio, and that's to aim for companies with the highest yield. Instead, David recommends that investors do their homework, research the company's track record, and look for a consistent rate of dividend increases. The three examples he provides are Admiral Group (ADM 0.26%)Next (NXT 0.18%), and Royal Dutch Shell (RDSB).

One investor who always does his homework is Neil Woodford, the ace high-yield investor who has beaten the market during the five-, 10-, and 15-year periods to 2011! You can discover which dividend shares he currently favors in "8 Income Plays Held By Britain's Super Investor," but hurry -- this special free report is available for a limited time only.

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