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David I. Templeton, CFA

 
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  • Volumes Near 10-Year Low [View article]
    If the trade went through NYSE then yes. :)
    Jan 3, 2013. 03:18 PM | Likes Like |Link to Comment
  • Dividend Strategies Underperform In 2012 [View article]
    Robert, the link is a totally different article on dividend paying stock performance by decile for S&P 500 companies.
    Jan 1, 2013. 10:44 PM | Likes Like |Link to Comment
  • Dividend Strategies Underperform In 2012 [View article]
    Robert,

    Thanks for commenting on my article. You may find the article at the below link of interest.

    http://bit.ly/VxZBA3

    David
    Jan 1, 2013. 03:43 PM | Likes Like |Link to Comment
  • Not So Golden Retirement Years Is Fallout From Weak Friday Employment Report [View article]
    Yes.

    http://1.usa.gov/RlimKT
    Dec 10, 2012. 01:04 PM | Likes Like |Link to Comment
  • Not So Golden Retirement Years Is Fallout From Weak Friday Employment Report [View article]
    Benny,

    You are absolurtely correct that I missed that one. As reported in a recent WSJ article:

    "A smaller portion of households headed by such preretirees had $100,000 or more in financial assets in 2010 (38%) than in 2007 (45%), according to the group’s analysis of the Federal Reserve Board’s 2010 Survey of Consumer Finances."

    http://on.wsj.com/SLCEKB?
    Dec 10, 2012. 11:08 AM | 1 Like Like |Link to Comment
  • U.S. Government Spending Growth Nearly Always Positive [View article]
    John,

    I have provided a correction to my original post plus a new chart for the article on our blog site. I took the data back to 1980 (quarterly available). Additionally, in the chart above, it is a stacked one. I intended to use a cluster chart and have corrected it on my site.

    http://bit.ly/TaAG4H
    Nov 23, 2012. 04:29 PM | Likes Like |Link to Comment
  • Dividend Payments Increase In Q3: Retirees Beware? [View article]
    That was my point so long as distributions are "qualified distributions". Obviously not clearly stated in a rush to type the response.

    Good point Dividends#1.
    Oct 7, 2012. 09:31 PM | Likes Like |Link to Comment
  • Dividend Payments Increase In Q3: Retirees Beware? [View article]
    First of all, there isn't a clear right or wrong answer to the allocation question. However, one should consider the following:

    If you have both taxable and tax-advantaged accounts, you generally want to hold bonds in a retirement account and stocks in a taxable account. High yield bonds, as an example, are taxed at ordinary income tax rates as are distributions from tax deferred accounts.The advantages for holding stocks in a taxable account include:

    1.Tax-deferred accounts convert long-term capital gains into ordinary income upon distribution; long-term capital gains have, at most times, been taxed at a lower rate than ordinary income.
    2.Qualified dividends are currently (until Dec. 31, 2012) taxed at a lower rate.
    3.Long-term capital gains are only due when realized, which offers an additional means of deferring taxes.
    4.Ability to harvest losses.
    5.Ability to donate appreciated shares to charity, avoiding all taxes.
    6.Estate planning: there is a potential for stepped-up cost basis upon death.

    Roth IRAs have different taxability rules.
    Oct 7, 2012. 06:38 PM | 4 Likes Like |Link to Comment
  • Dividend Payers In The S&P 500 Index Continue To Grow [View article]
    Article: After AOL, expect more special dividends.

    http://sm.wsj.com/PO98Bb

    Disclosure: Our firm is long MSFT and GOOG
    Aug 28, 2012. 11:09 AM | Likes Like |Link to Comment
  • Dividend Payers In The S&P 500 Index Continue To Grow [View article]
    It is speculation; however, there have been a number of specials announced this year: AOL, Frisch's Restaurant (http://bit.ly/MWHLHe), Fisher Communications (http://bit.ly/MWHLHi), Choice Hotels (http://bit.ly/OFRznx), Limited Brands (http://bit.ly/OFRyjr), Warner Chilcott plc (http://bit.ly/OFRyjt), just to name a few.

    Also, a number of research reports have been written about this potential. The following is a report summary, but requires a paid subscription to see the entire content. http://bit.ly/MWHLHk
    Aug 27, 2012. 09:56 PM | Likes Like |Link to Comment
  • Will Individual Investors Continue To Get The Market Direction Right? [View article]
    I do agree the popularity of ETFs will begin to complicate using mutual fund flow data as one sentiment indicator. You might find the article at the below link of interest as it relates to ETF flow data.

    http://bit.ly/M03nTG

    David
    Jul 4, 2012. 08:52 PM | Likes Like |Link to Comment
  • Periodic Table Of Dividend Champions [View article]
    DVK,

    Nice chart and article. Good work here.

    David
    May 10, 2012. 01:29 PM | 1 Like Like |Link to Comment
  • Dividend Payers Experience Multiple Expansion At Low Nominal Interest Rates [View article]
    richjoy403,

    REITs are included to the extent they are in the S&P 500 Index, like Vornado, Avalon Bay, Health Care REIT, etc.

    David
    Apr 11, 2012. 10:17 AM | 1 Like Like |Link to Comment
  • Number Of S&P 500 Dividend Payers Rises: A Closer Look [View article]
    David- I have not reviewed the companies in each Factset quartile; however, what one needs to look at is how substantial is the dividend relative to earnings/payout ratio. For example, if a compay has a dividend yield of say .10% and a very low payout ratio, and they double the dividend, this does not necessary mean the company's earnings doubled. When we evaluate dividend growth stocks, we look for steady or increasing rates of growth in the annual dividend as well as the dividend yield being meaningful enough that the dividend policies mean something. I am generalizing here as a starting point, for example, companies in the 2.5%-4% yield range with payout ratios in the 35-50% range and they have increased the dividend each year (every 4 quarters is preferred) over 10+ years, then board actions around the dividend can have a signalling effect. http://bit.ly/H8Men6

    So David, in answereing your question, I do not think paying out dividends necessarily leads to lower earnings growth. There are a number of analysis tools that addresses this issue. in fact leverage, at the right level, can serve to increase earnings and ROE. You might find a couple of articles (see below links) of interest that deal with the Dupont formula and the DDM.

    http://bit.ly/GSilTH

    http://bit.ly/H8Men9

    David
    Mar 26, 2012. 05:23 PM | Likes Like |Link to Comment
  • Number Of S&P 500 Dividend Payers Rises: A Closer Look [View article]
    hjtheuns-your "pertinent question" is a valid one. I agree many investors don't, not that they can't, react to macro influences quickly enough. Maybe emotion surrounding certain stocks negatively influences ones sell decision. However, if one can adjust their portfolio on the margin based on strong fundamental analysis and macro expectations, they can avoid some portfolio downside. For example slowing dividend growth rates, etc. The concern with having broad exposure to an index is the fact correlations have increased significantly and ones downsidereturns are going to be just that...the indexes. (http://bit.ly/H7OtFe). I do agree with your favoring companies that exhibit consistent dividend growth rates. I would include companies that consistent have strong cash flow as well. This type of company tends to hold up better in down markets and they tend to be less leveraged. In this low interest rate environment, the structure and level of debt on corporate balance sheets is something investors should be looking at.
    Mar 25, 2012. 11:28 PM | Likes Like |Link to Comment
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