Seeking Alpha

Doug Carey, CFA

 
View as an RSS Feed
View Doug Carey, CFA's Comments BY TICKER:
Latest  |  Highest rated
  • Dividend Yield Vs. Dividend Growth: Kimberly-Clark Vs. Wal-Mart [View article]
    Mike- It is good to be diversified, but the main point I like to get across in these articles is that a high dividend yield might not be as valuable as some might think. You have to run the numbers and see just how the cash flows pan out over the long-run. I always run several scenarios first to see what my total return will be over a 10 year and a 20 year time frame.
    Dec 27 10:05 AM | 1 Like Like |Link to Comment
  • Verizon Vs. Coca-Cola: Dividend Yield Vs. Dividend Growth [View article]
    Yes, that is a fair point. But it makes it all the more important to give users access to these tools so they can input their own assumptions, which is why we offer our calculators for free.
    Dec 14 12:49 PM | Likes Like |Link to Comment
  • Verizon Vs. Coca-Cola: Dividend Yield Vs. Dividend Growth [View article]
    Yes, I do agree that the price will go up rather than the dividend yield going to 10% or more. But there are an infinite number of combinations I could run, so the easiest example is no price appreciation and I then let readers go to our free calculator and input any assumption they want for price appreciation.

    Also, in terms of total return, the results would not be drastically different if the gains come in the form of dividends or capital gains.
    Dec 14 10:03 AM | Likes Like |Link to Comment
  • Verizon Vs. Coca-Cola: Dividend Yield Vs. Dividend Growth [View article]
    Thanks for the nice feedback. One way to handle the riskier payout ratio is to reduce the growth rate of the dividend slightly if the payout ratio is higher.
    Dec 13 11:45 AM | 1 Like Like |Link to Comment
  • Can You Beat Inflation With Dividends? [View article]
    50% CUMULATIVE inflation. Seriously, compounding is a fundamental part of finance. Please stop hurling accusations before you think about the simple math of it all. It only takes 13 years to achieve 50% cumulative inflation if inflation is 3% per year. And look at the column for Dividend Payments. It's clearly increasing, which means dividend growth.
    Dec 12 11:46 AM | Likes Like |Link to Comment
  • Prepare To Short Gold [View article]
    Your correlation between gold and CPI- Which years did you use? You don't even mention your time period. Try correlating changes in gold vs. inflation over the past 150 years. You'll find the correlation to be extremely positive.
    Dec 7 12:02 PM | 1 Like Like |Link to Comment
  • Changes To The COLA Index And The Impact On Your Retirement Plan [View article]
    Most of my dividend paying stocks are in my IRA so I'm not worried about the higher tax rate there. As for dividend payers in taxable accounts, at the margin it of course reduces the incentive to buy dividend paying stocks. I think the worst part will be from the corporate side- It will reduce THEIR incentive to increase the dividend.
    Dec 7 10:14 AM | 2 Likes Like |Link to Comment
  • Changes To The COLA Index And The Impact On Your Retirement Plan [View article]
    I often show exactly what you're asking about- What happens if a person or a couple moves into dividend aristocrats from the typical equity fund? See this article by me here- http://seekingalpha.co...

    and this one- http://seekingalpha.co...
    Dec 6 09:29 AM | 1 Like Like |Link to Comment
  • Can Procter & Gamble Save Your Retirement Portfolio? [View article]
    You got it! Thanks for the reply.
    Nov 29 02:05 PM | Likes Like |Link to Comment
  • Can Procter & Gamble Save Your Retirement Portfolio? [View article]
    I would never recommend investing in just one stock. I state in the article- "It is important to note that I am not recommending investing in just one stock. I am recommending investing in a basket of solid dividend paying stocks that have characteristics similar to P&G."

    "Although I will focus on Procter & Gamble in this discussion, the strategy here applies to many companies that have a solid history of increasing (or at least not cutting) their dividends over time, even during recessions. Other companies that fit this mold are Johnson & Johnson (JNJ), Coca-Cola (KO), Exxon (XOM), and Wal-Mart (WMT)."
    Nov 29 09:54 AM | 2 Likes Like |Link to Comment
  • Can Procter & Gamble Save Your Retirement Portfolio? [View article]
    Yes, it is a good point to make that 401k plans have very limited choices most of the time. That's why I like to recommend IRAs over 401ks once the company match is gone. I wrote about this a year ago- http://seekingalpha.co...
    Nov 29 09:51 AM | 1 Like Like |Link to Comment
  • AT&T Vs. Johnson & Johnson: Dividend Yield Vs. Dividend Growth [View article]
    Thanks to all for the nice feedback. You guys made my Thanksgiving! And I agree with you Cranky- Owning both JNJ and AT&T is a good strategy. I own both in my retirement portfolio and plan on holding them for a long time.
    Nov 22 10:41 AM | 2 Likes Like |Link to Comment
  • AT&T Vs. Johnson & Johnson: Dividend Yield Vs. Dividend Growth [View article]
    I assume you mean their debt has a AAA rating? Their debt is in fact rated AAA, one of the very few non-insurers to have it. I love Johnson & Johnson. They are a core holding of mine.
    Nov 21 05:26 PM | 1 Like Like |Link to Comment
  • How Higher Tax Rates Can Affect Your Retirement Plan [View article]
    Thanks for the good feedback. Our goal is to have the most comprehensive retirement planner for consumers on the market.

    Healthcare costs- Indeed this is a very big issue and worthy of an article all to itself. I try to keep most of my articles focused so I don't include all potential costs.

    Monte Carlo- This is definitely not a magic bullet and it does not take into account the randomness of serious life events. For this I highly recommend people run what-if scenarios on social security payments, health care costs, etc. Then they can see how these impact their plan and the probability of running out of money in retirement.
    Nov 19 10:40 AM | 1 Like Like |Link to Comment
  • How Higher Tax Rates Can Affect Your Retirement Plan [View article]
    Good point. I did not include that and in fact it would make the results worse.
    Nov 19 10:36 AM | Likes Like |Link to Comment
COMMENTS STATS
328 Comments
536 Likes