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Dale Roberts

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  • The Housing Market Has Definitely Turned The Corner [View article]
    I saw the headline and thought I was visiting The Onion for a moment.

    Anyways here's some good product news from JJ ...
    Jun 26 07:55 AM | 1 Like Like |Link to Comment
  • Thoughts From The Frontline: Daddy's Home [View article]
    Great article, and very entertaining. Thanks so much and have a great trip.
    Jun 24 07:09 AM | 1 Like Like |Link to Comment
  • Dividend Growth Investing: Reflections On What I've Learned [View article]
    Thanks, I checked your first article to see your other income and where you started.

    You diss indexes yet you were fortunate enough to invest in one in the 90's and likely the 80's. They treated you quite nicely to say the least. If you stayed the course you likely had AVERAGE ANNUAL returns of 20% PLUS! with reinvested dividends over those decades. You stated you couldn't got back to index investing.

    Respectully, wondering why you are ignoriing current risks, and your own past - that is incredible success with index investing. It should have made you very rich - again if you stayed the course.
    Jun 24 06:56 AM | 1 Like Like |Link to Comment
  • Dividend Growth Investing: Reflections On What I've Learned [View article]
    Thanks Bob, meaning the backtest was hypothetical - as in you didn't own the stocks at the time. And of course, backtesting of any sort is rearview mirror. Stocks and markets have no memory as history shows.

    Again, back to my original post I would hold a balanced and diversified portfolio with various asset classes and currencies. Given the risks of the day. Bonds and equities and covered call products and reits can provide some nice income. PM's are insurance.

    Not saying you can't do well with DGI if you stay the course, and there's no Depression. The developed nations seem to be on the road to insolvency. Who knows what will happen? Not me.

    And most importantly, as we know, most retail investors do the wrong thing when they see their portfolio drop 50, 60% or more. Perhaps you can take that kind of volatility. And you will stay the course.

    My current diversified portfolio delivers over 5% income. Over the last two years or more it has only ever retraced a max of 2% from any new highs. And I'm a big fan of the dividend paying equities that I hold. I will buy more when they get obviously cheap.

    Best of luck.
    Jun 22 10:40 AM | 1 Like Like |Link to Comment
  • Dividend Growth Investing: Reflections On What I've Learned [View article]
    David, why so cranky? Europe? Not sure I wrote that. Ha.

    And thanks, I do know how bond prices react to interest rate hikes. lol as the kids write.

    And yes, I do hope he has other sources of retirment income.
    Jun 22 09:21 AM | 1 Like Like |Link to Comment
  • Rally Or Collapse? What To Expect From The U.S. Stock Market Through Year End [View article]
    Silly headline, and not prudent advice in the article. You can't go wrong if you buy a broad based index? Really?

    No one knows where the markets are going. Equities could lose 60-80% of their value... again. They may, they may not.

    But that's the risk that should be considered.
    Jun 19 07:26 AM | 1 Like Like |Link to Comment
  • The Market Breathes A Sigh Of Relief [View article]
    Everything's OK now? Ha, pure fantasy. There is no growth model. Only governments demandind more government and more government intervention. And no elimination of the rampant government waste. More socialism and big government is good?

    Wishful thinking imo.
    Jun 18 07:10 AM | 1 Like Like |Link to Comment
  • A Bond Allocation For Your Dividend Growth Portfolio [View article]
    Fabulous article. I hope all DG investors read this, as well as those who are heavily weighted to bonds.

    Balance is certainly key, considering we are in the middle of a secular bear market that could have a decade or more to play out.

    One could throw in precious metals as an asset class as well if you want to go the Permanent Portfolio route. Incredibly, that mix only has two very, very small down years in the last 42.
    Jun 13 07:25 AM | 1 Like Like |Link to Comment
  • A Bond Allocation For Your Dividend Growth Portfolio [View article]
    If your bond holdings are short, you will not take that significant a hit in a fund that will see price fluctuations based on interest rate increases.

    Again, see the Vanguard site for worse case scenarios. The thing is, bond price adjustments occur quite quickly - with interest rate increases. I've read that they're over within 12-18 months. And at that point you are acquiring bonds that pay a higher rate.

    And that said, within your portfolio, if bond prices are weakening, does that mean your equity component is going on a nice run?

    Equity 'prices' can lag for 20-30 years in real price terms, as has historically occurred. Long term (80 years etc) average equity returns are of no significance to an average investor, who may have a horizon of 10-20 years.
    Jun 13 06:54 AM | 1 Like Like |Link to Comment
  • Growth And Austerity Are Opposing Forces [View article]
    Actually, when Canada solved its debt crisis in the 90's, we had austerity and growth.

    By reducing debt and deficits, and debt payments, confidence can return to the markets and citizens.

    Austerity does not lower growth if you are ceasing to hire more unneeded government workers, or reduing their pension by 20%. Austerity is waste removal.
    Jun 13 06:29 AM | 1 Like Like |Link to Comment
  • Putting The Last 2 Weeks Of Gold Market Action Into Proper Perspective [View article]
    Re the US fiscal positition; is it not true that the pending tax increases and forced (political compromise) spending cuts will put the US within striking distance of a balanced budget?

    With some very simple tax reforms (have corporations actually pay some taxes) the US could eliminate its deficit. Throw in some elimination of toxic government waste and you're laughing.

    With just a modicum of political will, the US could balance its budget.
    Jun 12 07:30 AM | 1 Like Like |Link to Comment
  • Dragging The U.S. Into The European Recession [View article]
    the pending tax increases and forced spending cuts will actually get you within striking distance. I agree, it would be very easy for the US to balance its books. we did it in Canada, and we certainly don't have your economic firepower. you collect almost nothing from corporations. government waste and overspending is ripe for the taking (eliminating).

    we have and have had some political will and courage. once by the Liberals and now by the Conservatives.
    Jun 11 11:59 AM | 1 Like Like |Link to Comment
  • Johnson & Johnson: A Dividend Growth Investor's Dream [View article]
    we don't know. it could be a lousy investment for the next ten years as well. it could be worse than the last ten years, in negative returns. or it could be great.

    just pointing out the fact; it has not been good for the last five and ten compared to other options.
    Jun 7 07:15 AM | 1 Like Like |Link to Comment
  • Update: U.S. Vs. Eurozone [View article]
    No problems in US? What if Europe has an all out financial crisis? that is likley better than a 50/50 proposition at this point.

    The only short-term fix is a bailout from Germany, and the voters won't allow that.
    Jun 6 06:46 AM | 1 Like Like |Link to Comment
  • Buy-And-Hold Investors Only Have To Do Half The Work [View article]
    Well even those fine companies show that stock selection won't help you in a bear market. That portfolio is down over five years. And down quite a bit in real dollar terms over five years.

    Five years is a long horizon for most retail investors. Returns over ten years are likley a point or two above inflation. The income stream a loss against 'true' inflation.

    Proof once again that you need a diversified portfolio of equities and bonds. And you need to diversity outside of your home country. Canada shows over 150% greater return against US equities over ten years.

    If we do enter a prolonged depression (or another 10 years of bear market) with Europe going kaboom, you don't want heavy concentrations in equities. Your equity portfolio can continue to have negative real returns for decades.
    Jun 6 06:26 AM | 1 Like Like |Link to Comment