Our First Quarter Retirement Income Portfolio Review [View article]
>>I hope to have a more investor-friendly Administration "in power" when I begin my IRA withdrawals. >>
The S&P 500 has gone from about 735 to 1554 during this administration. I think that has been very investor-friendly. I am delighted that has happened during the years right before my retirement
Put Yourself In A Position To Welcome A Stock Market Correction [View article]
In 2008-2009 I put as much money as we could afford to into equities. In 2009 through now we have done well, very well. Starting seriously in May, 2012 I started moving money into dividend names, and then made some adjustments starting later last year to tweak that portfolio towards dividend growth.
I am reinvesting all dividends into the stocks that created the dividends. As the market goes up and down, those dividends will be reinvested at different valuations and prices. In the coming year we will have an inflow of money from retirement accounts managed by others or mutual fund only accounts into our self-managed IRAs. That will be the next and last big inflow of money. I am developing the watch list for that time.
This New Budget Proposal May Limit Your Annual Retirement Income [View article]
We disagree. Transportation infrastructure and services are an important governmental function. Many of the companies we invest in would be screwed without it.
It is not all about our private, selfish, individual good. It is also about the common good.
This New Budget Proposal May Limit Your Annual Retirement Income [View article]
<< rnsmth, are you one of those folks who believes that "I'm from the government, and I'm here to help you"? :-) >>
I like driving on the roads, having reliable post office service, having clean water, having poop disappear when i flush the toilet, buying things that rely on government subsidized transportation systems to arrive at my neighborhood store, having police that answer my call if I need them, and on and on and on.
I also like good public mass transit that gets me downtown to my job every day, riding the Amtrak up to Seattle and Vancouver BC, and lots of other things that would not happen absent public investment.
<<One of the other comments suggested that if I don't like the stock I didn't have to buy it. Of course that is true and I won't buy it but what that said to me is--"don't question my stocks or my investment system". For those with that attitude I question their purpose in reading SA. >>
What I wrote, if you are referring to me, is that if O did not help you meet your goals as an investor - if it did not help you achieve the mission you have for your portfolio, then do not buy it.
Different investors have different goals. Some do not have well-articulated goals. Owning Google may help some achieve their goals. It would not help me achieve mine so I do not own it. That has little to do with liking it or not. It does have to do with a good fit between the company, its capital allocation practices and my personal goal of reliable and increasing dividend income from the companies I buy.
I don't think it is tantamount to heresy. I think it depends in large part on what one's goals are.
I am also confident that history shows that if one is diligent in the stock selection process, your outcome #3 is the most likely, particularly if one monitors one's portfolio and sells when the warning sign of slowly dividend growth happens.
Your outcome number 3 does have a logical fallacy, I think. If one is choosing a dividend stock that succeeds over time, price appreciation alone could not possibly produce an equal or better result - because the dividend will juice up the total return (price appreciation + dividend).
Here is a good instablog on the stock selection process:
Wisconsin Energy: A High Growth, Fundamentally Strong, Low Beta Pick For My Dividend Portfolio [View article]
I have only held it since this past December. It has done well since then. Given the board's commitment to increasing the payout ratio, I will continue to hold into the foreseeable future.
How Can One Trade Be Both Good For Me And Bad For Me? [View article]
Many Of My Dividend Growth Stocks Have Become Overvalued, What Do I Do Now? [View article]
I have some DG stocks that could well be overvalued
WAG, OHI, O, PG, MCD, JNJ, WEC, and KRFT among them.
One way to look at it is to think that, within a year to a few months of buying these stocks, I have a good safety cushion.
None of them have cut their dividends.
I'm okay, they are okay :)
Our First Quarter Retirement Income Portfolio Review [View article]
The S&P 500 has gone from about 735 to 1554 during this administration. I think that has been very investor-friendly. I am delighted that has happened during the years right before my retirement
Put Yourself In A Position To Welcome A Stock Market Correction [View article]
I am reinvesting all dividends into the stocks that created the dividends. As the market goes up and down, those dividends will be reinvested at different valuations and prices. In the coming year we will have an inflow of money from retirement accounts managed by others or mutual fund only accounts into our self-managed IRAs. That will be the next and last big inflow of money. I am developing the watch list for that time.
This New Budget Proposal May Limit Your Annual Retirement Income [View article]
The interstate highway system or the subsidies to air transportation, not so much.
This New Budget Proposal May Limit Your Annual Retirement Income [View article]
It is not all about our private, selfish, individual good. It is also about the common good.
This New Budget Proposal May Limit Your Annual Retirement Income [View article]
I like driving on the roads, having reliable post office service, having clean water, having poop disappear when i flush the toilet, buying things that rely on government subsidized transportation systems to arrive at my neighborhood store, having police that answer my call if I need them, and on and on and on.
I also like good public mass transit that gets me downtown to my job every day, riding the Amtrak up to Seattle and Vancouver BC, and lots of other things that would not happen absent public investment.
5 Key Factors I Look For In A REIT [View article]
What I wrote, if you are referring to me, is that if O did not help you meet your goals as an investor - if it did not help you achieve the mission you have for your portfolio, then do not buy it.
Different investors have different goals. Some do not have well-articulated goals. Owning Google may help some achieve their goals. It would not help me achieve mine so I do not own it. That has little to do with liking it or not. It does have to do with a good fit between the company, its capital allocation practices and my personal goal of reliable and increasing dividend income from the companies I buy.
3 Healthcare REITs With Mispriced Risk [View article]
Depends on your goals, I think. Investing should be about your goals and how to achieve them.
Over time, dividend growth and total return are correlated, but not always in the short-term
Up 10%, Are Stocks Now Too Dangerous To Hold? [View article]
Here is the deal though, France provides 99% coverage at 1/2 the per capita cost. I guess they just be a lot smarter than we are.
5-10 years to a single payer system. That will be the most cost-efficient system.
Warren Buffett Is Right About Wells Fargo's Dividend [View article]
I own it. I do not own WFC.
I do not have current plans to look at WFC as an investment.
Dividend Investors - Don't Just Stand There - Do Something [View article]
Wisconsin Energy: A High Growth, Fundamentally Strong, Low Beta Pick For My Dividend Portfolio [View article]
Given that it is about 50% on a ttm basis, I would say the party still has quite a ways to go, with good dividend growth over the next few years.
That is my take on it.
The Perfect Portfolio, Evolved [View article]
I am also confident that history shows that if one is diligent in the stock selection process, your outcome #3 is the most likely, particularly if one monitors one's portfolio and sells when the warning sign of slowly dividend growth happens.
Your outcome number 3 does have a logical fallacy, I think. If one is choosing a dividend stock that succeeds over time, price appreciation alone could not possibly produce an equal or better result - because the dividend will juice up the total return (price appreciation + dividend).
Here is a good instablog on the stock selection process:
http://bit.ly/VMJ6D6
and one on when to sell
http://bit.ly/ZAxlBy
I understand your skepticism and encourage you to read those two blogs, and if you find them useful check out the other 10 blog posts by chowder
best wishes
Ron
Wisconsin Energy: A High Growth, Fundamentally Strong, Low Beta Pick For My Dividend Portfolio [View article]