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rnsmth

rnsmth
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AAPL, ABT, AGNC, AMRE, APU, ARCP, AVB, BAX, BMO, BOH, BX, CAT, CBRL, CLX, COP, CPL, CSCO, CTL, CVX, D, DD, DLR, DRI, DUK, ED, FTR, GE, GG, GIS, GOOD, GOV, HAS, HCP, HE, IBM, INTC, JNJ, KMB, KMI, KMP, KO, KRFT, LAG, LLY, MCD, MKTX, MO, MSFT, NLY, NTIOF, O, OHI, PAYX, PEP, PG, REG, RY, SDRL, SDY, SE, SEP, SNH, SO, SPY, STAG, T, TGT, TUP, UN, UTX, VIG, VOD, VZ, WAG, WEC, WFC, WFM, WM, WMT, WU
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  • Why Dividends Matter [View article]
    Well, according to Mr. Swedroe a lot of us are doing it all wrong and/or assigning significance to confounding correlations.

    I reckon it is all right for us to keep on doing that, as long as:

    1) we get as much income as we need,
    2) we don't have to sell any of the seed corn, and
    3) we get acceptable total return numbers

    So, Mr. Swedroe, methinks that thou protest too much.
    Jan 2 01:23 PM | 2 Likes Like |Link to Comment
  • Why Dividends Matter [View article]
    If you meant AAPL, then I own 4 of those 6
    Jan 1 09:07 PM | Likes Like |Link to Comment
  • Why Dividends Matter [View article]
    <<My advice is to divide your portfolio into growth stocks, to satisfy your trading urge, and blue chip dividend stocks, to begin building up a group of dividend stocks. >>

    You know, according to Fidelity's classification a lot of my dividend growth stocks are in the "Growth" style of the "growth / blend / value" style box classification.
    Jan 1 06:58 PM | Likes Like |Link to Comment
  • The Perfect Portfolio: End Of Year Review [View article]
    Thank you Dave!

    I did a similar service for my mother a few years ago. I recommended some areas and specific companies. She talked with her Edward Jones guy, and then invested in the names that both of us recommended :).

    She has done all right, income-wise.
    Jan 1 03:02 PM | Likes Like |Link to Comment
  • Dividend Growth Investing 'Is' Total Return Investing [View article]
    <<Ron -- To date, I have assumed yourself to be of average intelligence.>>

    This is part of your posting style that really turns people off. I would encourage you to stop with the passive-aggressive insults and be more straight-forward in your responses.

    My answer was straight-forward and reflects my experience in reading and communicating with dividend growth investors. I was not baiting you. I am sorry that your frame of mind is such that you thought you were being baited.

    You can certainly say that your experience is different than mine in a more parsimonious and harmonious manner.
    Jan 1 02:26 PM | 8 Likes Like |Link to Comment
  • Apple Screwed Up Big Time [View article]
    <<The only way to keep out competitors is to floor the price low enough so competitors can't afford to enter or stay in the market. >>

    That is incorrect. The only way to keep competitors out is to provide the best user experience and the best ecosystem for users. This is why the overwhelming of Apple device buyers stay with Apple, it is why many users switch from other platforms to Apple, and it is why Apple earns the majority of profits made in the total cell phone manufacturing industry.
    Jan 1 11:43 AM | 10 Likes Like |Link to Comment
  • Apple Screwed Up Big Time [View article]
    With over 80% of Apple device owners upgrading to Apple devices and with Apple's ecosystem I would posit that Apple has the deepest of moats among companies that compete with it.

    Another point on Apple - since this is a financial website, is the increased deferral of revenues and earnings that Apple started this past year. EPS for FY 2013 was 39.75. Free Cash Flow, OTOH, was $47.86 per share. The dividend payout ratio using EPS was 28.7%, while the payout ratio using free cash flow was 23.8%.

    Apple is reviewing its capital allocation program and will announce the results of that review in March or April. I anticipate another healthy dividend increase at that time.

    When it comes to hardware specs, since that is what the author seems to be obsessing on. Apple caught the entire industry napping when it introduced its 64 bit processor for phones and tablets. The benefits of this will be showing up in the next year as software (apps) are modified to take advantage of this horsepower.

    Apple is fine. Display resolution is not an issue. Period. End of Story.
    Jan 1 11:35 AM | 2 Likes Like |Link to Comment
  • Dividend Growth Investing 'Is' Total Return Investing [View article]
    <<One distinction between myself and most DGIs is that I am more interested in the portfolio's income growth than in building an impressive YOC on individual positions...>>

    I do not have the impression that building an impressive YOC on individual positions is a major metric with most dividend growth investors.

    I too am very interested in dividend growth rates. These are necessarily highly correlated with YOC. While I calculate YOC - easy to do in a spreadsheet, it is not a metric that enters into decisions to hold or sell a position.
    Jan 1 11:29 AM | 2 Likes Like |Link to Comment
  • Why It's A Mistake To Raise Cash For Fear Of A Market Crash [View article]
    <<So, with what are they going to buy in a major downturn? >>

    Dividends.

    I am now 62 and retired. I will likely not be putting "new" money into the market other than through dividend reinvestment. With a portfolio current yield of 4%, I will be adding that much in each year.
    Jan 1 09:46 AM | 1 Like Like |Link to Comment
  • Why It's A Mistake To Raise Cash For Fear Of A Market Crash [View article]
    << I strongly believe that I'll see a 10%+ correction in the market before I see another 10% run up (that's just my conviction based on the gov't involvement, marco outlook, the fundamentals, etc.) I'm not selling my investments, but not adding more money to them either. >>

    You could be right. My plan, however, does not vary based on a 10% (or more) move up or down. I will continue to reinvest dividends in either case.

    I am set for 2014 absent any negative dividend surprises or changes in company fundamentals that, in my view, put the dividend or dividend growth at risk. I expect about an 8% increase in terms of dividend growth over the next year, but will be satisfied with an overall 6% growth rate.

    Prices that fluctuate, income that increases. That is my mantra for 2014. Through a buy and monitor; sell and replace strategy I think that can happen.
    Jan 1 09:27 AM | 1 Like Like |Link to Comment
  • My DGI Plan: How I Keep Investing Simple [View article]
    I renewed my Morningstar DividendInvestor newsletter sub last month.

    It is everything Chowder says it is, and possibly more
    Dec 31 08:56 PM | 4 Likes Like |Link to Comment
  • Dividend Growth Investing 'Is' Total Return Investing [View article]
    <<hat for pre-retirees, the total return should be the objective. >>

    I would hold that you have no business telling other investors what their objective should be.

    Tell us yours, make your goals explicit, make your methods to reach them explicit but do not act like everyone's Daddy.
    Dec 31 07:14 PM | 5 Likes Like |Link to Comment
  • Dividend Growth Investing 'Is' Total Return Investing [View article]
    <<Adjustments to what? the goal? >>

    Perhaps, though I would first look at my strategies and tactics.

    By this, I mean reviewing the financial strength of my companies, the historical dividend growth rates, and company fundamentals. Maybe my selections are not as supportive of my goal(s) as I first thought. I may need to make adjustments in my holdings, trimming or selling those that are not aligned with my goal(s).

    I think the goal is the fundamental. There are stories of people here on SA who, when they clarified their goal, saw a fairly clear path to getting there. Mike Nadel is one of those folks and his articles reflect that.

    I shifted in 2013 from looking at dividend yield alone to focusing more on dividend growth. In doing that I made adjustments to better align my portfolio with that shift in focus (goal). I sold some things like T, COP, and LLY and added companies with better dividend growth histories.

    I retired this year - while my portfolio yield is still close to 4%, my dividend growth will be higher. Pay raises, baby, that is what I want over the next decades.
    Dec 31 11:37 AM | 3 Likes Like |Link to Comment
  • My DGI Plan: How I Keep Investing Simple [View article]
    Thanks for good, very readable article. I agree with most of it! I have bought a few companies that were slightly over-valued at the time of purchase.

    I have also added to positions when the companies have been slightly overvalued. While raising my average cost, the overall position cost is still significantly below the current price. I have done this primarily with core holdings like JNJ, PG, O, GE. etc.
    Dec 31 11:11 AM | Likes Like |Link to Comment
  • Who Are You Mr. And Mrs. Utility Investor? [View article]
    I bought WEC in December, 2012 and took it overweight in January 2013 as soon as I read the board-approved payout ratio targets for the future. It was as close to a no-brainer as I have even seen for a dividend growth investor.
    Dec 31 10:56 AM | Likes Like |Link to Comment
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