The markets were able to recover some of the day's losses
following what was a tough market in Japan (down 6%) last
The devastation in Japan continues to grow as headlines stream
in regarding the damages estimates. Some analysts are putting
together a who wins and who loses scenario. It's an unfortunate
reality of what happens and something we saw back when Hurricane
Katrina left its mark on the gulf. The interesting question will be
where Japan will get the funds for the rebuild. The company's debt
has been under strain from recent headwinds, so any fix will likely
come at a higher-than-expected cost.
We made a change to our recommended list because of the
short-term ramifications on nuclear energy prospects. Please be
sure to check out the
if you did not read the e-mail alert we sent out earlier today.
We did see companies that have nuclear exposure get hit hard
today, such as Cameco (
) and Entergy (
). Some investors bought into coal-related names like Consol Energy
) and Peabody Energy (
). There was also some nibbling going on in infrastructure
companies like Caterpillar (
). The biggest mover on our screen are shares of Lubrizol (
) on news Warren Buffett's Berkshire Hathaway (
) is buying the company. We had LZ as an aggressive "recommended"
play months ago, but it was just on our watchlist at this time.
Everyone tends to have busy schedules these days. Often times,
the thought of having to sit down and examine your finances either
scares someone or they feel like there are many better things they
can be doing with their free time. This is a big mistake. I often
hear something like, "That's what I pay an advisor for. I get that
comeback, but don't you think it all falls on your own shoulders to
check out what is happening to your money, investments, expenses,
portfolios, etc? Look at the superstar athletes and the horror
stories we often hear about their finances. Who would have thought
that many of our sports heroes would be broke just a few years out
of the game? It happens because they stopped paying attention to
their money. I am all about rolling up our sleeves to make sure
everything is running the way it should when it comes to one's
financial dashboard. Otherwise, what is the point of breaking our
rear end and working like animals.
Let me ask you four basic questions that I hope you are
answering yes to:
1.Are you pulling money automatically out of your bank accounts
to put to work in income-producing investment vehicles (like
dividend-paying stocks) to boost your retirement nest egg?
2.Are you cutting back on high interest credit card debt?
3.Have you put away a year's worth of expenses in an emergency
4.If you have children, are you funding their college savings
plans (529, Coverdell accounts)?
These answers require characteristics that include: taking
accountability, taking charge, making sacrifices, working hard,
having a sense of urgency, and influencing others around you to
follow your lead.
Quick note on the business side for any entrepreneurs out there.
I have been reading various datapoints about SEO (Search Engine
Optimization) being dead. I guess the recent deals for companies
like Huffington Post have some thinking that aggregating content is
the short-cut to web riches and we should all begin just scraping
sites for content and build users that way. Everyone wants a
short-cut these days, which is a big reason why the failure rate
for new businesses is so high. When someone realizes the amount of
work it takes to build a business, they tend to run for the hills.
There is this "passive income" mindset that promises wanna-be
millionaires simple riches by following what millions of others are
doing to get rich. It's a big joke. Dividend.com was built with a
strong foundation. Having a name like Dividend.com is awesome (and
was well worth the six-figure investment), but if we produced no
content and built a ratings system unlike anything that was out in
the market, we wouldn't have the business we have today.
There is a "let's get people to contribute to our platform"
mentality that has been able to get some companies a nice payday,
but this will not be the case for most web companies that try and
follow this strategy. For startups hoping to build a brand through
social media, the road is super-hard and if you let up on the gas
just one minute, you will see results evaporate quickly. We have
elected to concentrate our continuous efforts on our own original
content and building up our own platform. It's not to say there is
no ROI (return on investment) with social media, but if requires
being always on and you need to be willing to take away from what
is working already. My advice would be to build yourself a real
presence by producing great content on your own site (SEO is not
dead - look at where Dividend.com ranks for the key terms in our
space on Google) and do something that no one else is doing in your
I hope everyone has had a chance to check out our Dividend.com
Premium members-only weekend articles, including the new features
that highlight some of the biggest winners and losers from the week
that was, in regards to analyst upgrades, downgrades, as well as
earnings/story stocks. We also had a rundown of how various
Dividend ETFs performed on the week. Our expanded dividend data,
along with new dividend names, is making its way through the site
and you will certainly be noticing more changes in the days that
Thanks again for reading! Please pass this on to anyone you
think we can get inspired and educated about building wealth and
using common sense to do so.
P.S. One month till the debut of my
"Be a Dividend Millionaire"
book - I Can't Wait! (Hopefully Jets LB Bart Scott will not have a
problem with me using his trademarked "Can't Wait" term!)
Be sure to visit our complete recommended list of the
Best Dividend Stocks
, as well as a detailed explanation of
our ratings system here