As 10,000 Baby Boomers per day reach retirement age, the question of how Americans will be able to afford a comfortable lifestyle is among the most important of our age. Over the past several decades, plenty of academic studies have been done looking at several approaches to funding retirement via different investing approaches. Let's [...]
Regulated utilities can be an excellent high-yield source of income in retirement. However, thanks to eight years of record low interest rates many of the best high dividend stocks (including utilities) are trading at unappealing valuations that can make for a higher degree of risk than many investors realize. Let's take a look at [...]
For the last few decades, the 4% rule has served as the cornerstone of modern retirement theory. However, with 10,000 baby boomers retiring every day and 59% of Americans worrying about being able to afford retirement, in recent years many have begun to question whether or not this rule of thumb is still the [...]
One of the biggest challenges faced by retirees, or people who have just entered retirement, is finding the best method for ensuring that the money they've worked so hard to save doesn’t run out, or isn't lost to market declines. The closer you are to retiring, the less time you have to work and [...]
Annuities are one of the most popular retirement investment vehicles, but they are also one of the most debated. People either love them or hate them (there’s usually no in-between when it comes to annuities). One particular aspect of deferred annuity contracts, and the one that’s at the root of almost every debate [...]
Many of us are managing dividend portfolios designed to deliver safe retirement income. I oversee our Conservative Retirees dividend portfolio, which is designed for people living off dividends in retirement. Safe dividends, income growth in excess of the rate of inflation, and low volatility are some of the main goals of any retirement [...]
With interest rates at their lowest point in history, once safe income-producing assets such as 10- and 30-year Treasury bonds have seen their yields plunge to pitiful rates that are just high enough to keep up with inflation. And while high-quality, dividend growth blue chips such as Pfizer (PFE), Coca-Cola (KO), Procter & Gamble [...]
Investing in Real Estate Investment Trusts (REITs) can provide dividend investors with high yields, steadily growing payouts, nice diversification, and an attractive income stream for retirement living. However, REITs have a number of complexities and risks that should be understood before making any investments. Before jumping into the essential information investors need to [...]
Protecting the money you’ve worked so hard to save is one of the most important priorities, particularly if you are nearing, or have already begun, your retirement. Considering the myriad of available investment options, it’s easy to become confused and overwhelmed. Two of the most common choices for maximizing retirement savings are dividend [...]
Warren Buffett sold AT&T out of Berkshire Hathaway’s portfolio of high-yield dividend stocks during the first quarter of 2016. Warren Buffett acquired his stake in AT&T during the third quarter of 2015 as a result of AT&T’s acquisition of DirecTV. Buffett had owned DirecTV prior to the acquisition (his first purchase was in [...]
Fewer than 100 of the more than 10,000 publicly-traded companies have increased annual dividends for at least 26 consecutive years. National Retail Properties (NNN) is one of them. Perhaps more impressively, National Retail’s average annual total return for the past 25 years has been 14.8%, significantly outpacing the market to provide meaningful value for [...]
Favorable macro trends and company-specific improvement have helped General Motors (GM) remain a strong performing holding in our Top 20 Dividend Stocks portfolio. Earlier this morning, the company announced some good news for shareholders. GM raised its 2016 earnings outlook by 5%, boosted its dividend by 6%, and increased its share repurchase plan by [...]
Paychex (PAYX) has paid uninterrupted dividends since going public in 1988. While the company held its dividend flat during the financial crisis, it has otherwise increased its dividend every year since the mid-1990s and currently yields 3.5%. PAYX has a very durable business model that throws off predictable free cash flow. We believe its [...]
Published on 1/9/2016 Warren Buffett only owns two stocks in the energy sector, and they both pay a dividend – Suncor (SU) and Phillips 66 (PSX). SU’s dividend yield is 3.7%, and it has increased its dividend for 13 consecutive years. Buffett first bought into SU in 2013, investing around $500 million at the [...]
Published on 1/8/2016 Compass Minerals (CMP) has increased its dividend every year since going public in 2003 and boasts an operating history dating back to 1844. Its businesses are simple to understand, largely uncorrelated with the economy, and meaningfully advantaged by a unique set of assets that is, in many cases, practically impossible to replicate. [...]