Donald Trump stunned many investors around the world when he beat Hillary Clinton to win the U.S. presidential election. Markets initially tumbled in overnight trading, with the S&P 500 Index down as much as 5%. Many long-term dividend investors, me included, went to sleep excited for some incremental buying opportunities in the morning. [...]
Over the past few years, Business Development Companies, or BDCs, have proven very popular with yield-starved income investors. Given their sky-high yields, this is understandable. But it’s important for dividend investors to realize that this isn’t a “set it and forget it” industry, which means that successful long-term investing in BDCs requires being very [...]
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 [...]
I recently had the pleasure of interviewing Tim McIntosh. Tim has been managing money since 1999, is a Certified Financial Planner, has authored a handful of investing books, and has studied many different historical periods of the market. He embraces an investment strategy focused on capital preservation and consistent dividend growth. His focus shares many traits with how [...]
For investors looking to build a dividend-paying nest egg for their golden years, an individual retirement account (IRA) is the most common arrangement. Any number of investment options may be placed within an IRA, and in exchange for showing some initiative and taking on part of the responsibility of financing your own retirement, Uncle [...]
If you weren’t born into riches, chances are that you’ve had to grow up and get a job to earn the money you need to survive. Particularly if you’ve formed a family along the way, it’s important to do what you can to protect the money you’re earning, the money you’re saving, and the [...]
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 [...]
Dividend safety serves as the foundation for conservative income investing and stress-free retirement living. Companies that are able to continue paying and growing their dividends help us meet our investment goals and build wealth over time. We created Dividend Safety Scores to help investors build safe dividend portfolios and avoid companies that are most [...]
Dividend investors come in all different shapes and sizes. Many of us are living off dividends in retirement, while others are investing for long-term income growth and capital appreciation. Regardless of our objectives, we are united by our desires to reduce risk and make responsible investment decisions. However, even the best of us [...]
After failing to increase its dividend in June like it has in past years and continuing to report double-digit declines in sales and earnings this week, Caterpillar has many dividend investors wondering about the safety of its current payout. Caterpillar’s revenue has declined from $66 billion in 2012 to a projected $40 billion in [...]
Linear Technology (LLTC) is a company I have owned in our Top 20 Dividend Stocks portfolio since July 2015. Since initiating a position in the company, LLTC's stock has returned more than 50%. News surfaced this afternoon that Analog Devices (ADI) was planning to make a bid to acquire Linear Technology. LLTC's stock jumped nearly 30% [...]
Yield on cost is a common metric cited by dividend investors as they measure and manage their portfolios. But is yield on cost really one of the most important financial ratios for successful dividend investing? In this article, I will provide my definition of what yield on cost is, show how to calculate [...]
I previously wrote an article about measuring and managing dividend stocks, but have you ever wondered how to build a dividend portfolio in the first place? Like most things with investing, everyone has their own opinion about how to construct a portfolio. Most of the debate usually centers on how many holdings an investor [...]
As I write this post, stock markets around the world are reeling. The S&P 500 finished down more than 3.5%, most European markets closed down at least 6% (including double-digit losses in Italy, Spain, and Greece), and Japan's Nikkei 225 dropped by approximately 8%. We haven't seen this type of volatility since 2008. [...]