The market continued yesterday's rather confused reaction to
what the Federal Reserve has planned for the markets and economy
(more money printing). The indices had trouble making much traction
for much of the session.
As investors and market watchers continue to try and figure out
what will happen to capital gains and dividend tax rates next year,
we sit by and continue to look for good investment opportunities.
We're also focused on any potential negative factors for specific
stocks that investors need to be aware of.
Best Buy (
) shares finished higher as once again we heard reports of an
impending offer to take the company private. CVS Caremark (
) rallied following the company's guidance for 2013, as well as
news it was raising its dividend payout generously (it still yields
below 2% though). A Wall Street analyst upgrades helped boost
Brinker International (
) while a sell call had shares of Lexmark International (
) trading in the red. Finally, Apple (
) shares drifted lower following an analyst call worrying about a
potential drop in iPhone 5 sales.
The Unfortunate Trend That will Cause Portfolios to
Retail (mom and pop) investors have a lot to think about these
days when it comes to developing an investing game plan. The key is
finding a successful strategy, such as putting money into
dividend-paying stocks monthly, and sticking to it. This practice
will allow investors to harness the power compound interest.
Accordingly, they should also focus on their core foundation by
getting the most out of their professional career, which is the
root of where most money will come from.
The one last thing to keep in mind as we continue to push
investors to consider individual dividend stocks over other forms
of dividend-focused investments (
, mutual funds) is that the latest data on individual investors
shows lesser involvement in owning individual stocks, whereas hedge
funds/professional investors are
their exposure to individual stocks. This could be the latest
installment of how the business media scares investors away from
picking quality stocks and into diversified, diluted products like
ETFs and mutual funds. Keep that in mind as you look to see your
investment capital perform at the highest level.
Our 2013 Dividend Stock Guide Has Arrived!
Our new members-only eBook has just been released! This 250-page
guide to investing in 2013 contains a concise economic forecast for
next year, including full previews for 60 big-name stocks! Be sure
to head over to
and download it and get your game plan in place for all good things
dividend-related in 2013!
25 Years of Dividend-Increasing Stocks
We recently updated our list of dividend stocks that have been
paying out dividends for 25 years or more. Be sure to check out
the latest list of names here
Dividends Really Matter
Financial blog DailyReckoning.com recently took a look at the
difference dividend payouts made in the overall return investors
saw throughout the prior decades. Here are some of the
- The Nasdaq is down 28% since the end of 1999. Even the "blue
chip" S&P 500 stocks are down 15% during that time frame…until
you add back those "boring" dividends. With dividends included, the
S&P 500′s 15% loss flips to a 6% gain.
- Without dividends, the S&P 500 index would have produced a
loss for the 25 long years from August 1929 to August 1954. Then
again, without dividends, the S&P 500 produced a 5% loss during
the 13 years from September 1961 to September 1974. But with
dividends included, the S&P's loss became a 46% gain.
- Over the course of the last half-century, dividends have
contributed more than half of the stock market's total return -
56%, to be exact.
Of course, you can't discuss the potency of dividend investing
without making mention of how awesome compound returns are. I can't
stress enough the power of compound interest: you take a small
amount of money and turn it into a large amount over time. Finding
the right companies at the right price points which not only grow
earnings, but also grow their dividend payouts as well!
We have much more about why Dividends are so awesome if you
check out our "What is a Dividend?" page
New Watchlist Article Out Today
Be sure to check out our weekly Top 50 High-Yield Watchlist
Names post that is out today, exclusively for
members. This list gives readers a good idea of what stocks we're
watching behind the scenes here for potential upgrades.
Go Beyond This Newsletter
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Best Dividend Stocks List
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data on the web. Many subscribers use this data as part of a
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use it to keep track of impending payouts. Just visit our
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Thanks for reading, and I'll see you tomorrow!
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Best Dividend Stocks
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