freddie

Is Buy-and-Hold Dead? Hardly

Invest in beat down companies paying 5% or more in dividends for the longterm (paraphrased).

Sounds great, very logical, prudent. But what guarantee is there that these companies will be able to continue to pay 5% or more? So is the reduction of dividend a sell sign?

Just think how much those in "insured" cash have made by protecting principal while benefitting from the "miracle of compound interest."
Over the last year, a minimum of 30%, up to 50-60%, in protected principal + compound interest, and when in state bonds, the addition of tax savings of about 40% to 44% on interest depending on individual state income tax. Hmmm. Looks good, unless the rush from gambling is worth the losses of those who bought into the "think long" and be "diversified" mantra the talking heads are paid to throw at us daily.

If you folks are willing to think in 10-year periods, think real estate and rents and appreciation and tax breaks galore. Get out there and pick up a few repos, especially duplexes and triplexes, and you will be very well off 10 years from now. If you play the market, you might as well go to Vegas or your local Indian casino, and play black and red on roulette, and play the 2-1 line, and don't forget to cover the house numbers with a 11-1 play. And there is no additional commission. But stay away from the poker tables where there are professionals working with partners. The poker tables are a lot like the stock market. LOL.