Why invest in banks? Banks are generally a good avenue for value investing, dividend stocks, and intrinsic stock value. When the economy goes into a recession, bank stocks fall in price. However, when you look at their intrinsic stock value, these investments are generally bargains. This is because, over the years, banks are money-makers. They are usually dividend stocks as well. And, if you are interested in investing in Canada, Bank of Canada, Bank of Nova Scotia, Canadian Imperial Bank, and Toronto-Dominion Bank have all been paying dividends without fail for more than a century.
The stock market continues its downward course as many fear just how far stocks could fall. Interest rates could possibly fall below zero. Meanwhile, there are dividend stocks to weather the market slump.
Dividend Stocks to Weather the Market Slump
An article on The Motley Fool caught our eye. They note that well-managed, well-placed businesses with solid balance sheets will be an ideal refuge during the prolonged market slump. They, in fact, recommend three high-yield dividend stocks.
COVID-19 cases are steadily increasing in the U.S., and states are taking drastic action. California recently placed its nearly […]
The stock market keeps going up and widening the wealth gap in America. So many people are living paycheck to paycheck that finding money to invest can be difficult. But, it is not impossible in this day and age to put something aside on a regular basis. With this thought in mind, what are the best investments on a budget?
The Problem with Investments in America
Both home ownership and ownership of stocks have declined since the Great Recession and have not recovered as expected. Financial Samurai looks at the percentages of Americans who own stocks […]
Dividend stocks are generally good investments. When a company is well-run and routinely making money, it can afford to reward its shareholders with quarterly dividend payments. Companies that have been paying and routinely increasing their dividends for decades or even more than a century are cornerstones of a strong investment portfolio. When looking for dividend stocks, investors often screen for the highest yields. But, when is a high dividend yield dangerous? In this article, we are going to look briefly at dividend stock investing and dividend reinvesting. Then, we will look at when to avoid a too-high dividend when choosing […]
As investors approach their retirement years it is important to modify their investment portfolio. Risky growth stocks may provide impressive earnings for a younger investor. But a retiree cannot bear the risk of losing part of their portfolio just when they need it the most. Solid investments for retirement should always include dividend stocks but more importantly stocks with long term intrinsic value. Here are a few thoughts on the subject.
Investments for Income in Retirement
A substantial part of any investment portfolio in retirement is typically in dividend stocks. While a person may have reinvested dividends over the years, they will […]
The US Federal Reserve Open Market Committee raised interest rates again last week by a quarter of a percent. How will higher interest rates affect your investments? There are several ways that that higher rates will affect your portfolio both immediately and over the long term. Here are a few thoughts on the subject.
Immediate Effects of Higher Interest Rates on Your Investments
U.S. Treasuries and Corporate Bonds
If you currently have U.S Treasuries, AA, or AAA corporate bonds in your investment portfolio, they just became a little less valuable when the Fed raised rates last week. And, if the […]
The US Federal Reserve has raised interest rates again. And, more rate increases are in the cards for December of 2018 and into 2019. Which of your investments will prosper and which of your investments will suffer as interest rates go up? CNBC weights in on this question with an article about the best performing stocks in the Dow as interest rates go up.
While stocks like J.P. Morgan, Goldman Sachs and Visa do well when rates are surging, Walmart and Coca-Cola struggle.
Walmart averages a loss of 0.8 percent when rates rise 25 basis points or more in one month, the […]
There is a difference between investments that are currently making money for you and investments that will be safe into your retirement years. A sad example of investors who did not exercise due diligence with their investments is the Bernie Madoff pyramid scheme. One hundred seventy-six individuals, banks, pension funds, and charities were invested with Madoff and happy to be getting a great return on their money. When the Madoff house of cards collapsed there were $65 billion in faked gains and investors lost about $18 billion of their investment capital. Picking safe investments for retirement is a skill separate […]
When retirement approaches you do not want to have your investments in vehicles that crash like the stock and real estate markets did in 2008. But what are secure retirement investments in today’s world and what sort of returns can you expect. Phy.org discusses the current lack of secure investments and how it is hindering global growth.
Unless you’ve been following the subject closely, you may not have heard of one of the biggest barriers slowing the revival of global economic growth over the last decade. That would be the “safety trap,” a problem arising from a lack of low-risk investments […]
Everyone dreams of a comfortable retirement doing the things that they never had the time or money to do when they were younger. What are safe investments for retirement? If you want to live comfortably in retirement there are three things to consider:
Investing for retirement
Investing in retirement
How fast you draw down your asset pool
Investing for Retirement
We wrote about how to invest for retirement years ago.
In the up and down markets of today many investors are simply concerned with not losing money rather than putting away something for their so called golden years. The way to invest for retirement has commonly […]