Just The Facts

Global Capital Asset Death Spiral

>>> If your home is worth around 250K, but the person next door goes bankrupt, and the home goes into foreclosure and sells for 20K - does that mean the new value of your home is now 20K? <<<


I'd say yes. If it were worth more, wouldn't someone have stepped forward to pay more for your neighbor's house?

Point of No Return or Perfect Buying Opportunity?

In my limited experience of 8 or so years, public companies will never pay a dividend over what can be gotten on Treasuries for more than a quarter or two. Regardless of their cash flow or profits, if Mr. Market drops their price so low that they start cutting into the money going to buy our national debt because they are pating way more, then they will slash their dividend.


Not sure why, but that seems to be the case. Pressure from "above", perhaps?