Merck KGaA

Merck, the Darmstadt company that is the world's oldest pharmaceutical and chemical firm, is not to be confused with the American drugmaker of the same name. It spans three businesses: prescription medicines in areas such as cancer and fertility, life-science tools and materials for laboratories, and speciality chemicals for the semiconductor industry. Family control keeps the strategy patient and long-term. That diversification and a conservative balance sheet support a dividend Merck has paid and gradually increased over many years without a cut. It is a quality holding rather than a high yielder, appealing to investors who want dependable, slowly growing income from a resilient, science-driven group.