Just listen to the CEO

Apple had their annu­al share­hold­er meet­ing yes­ter­day. There’s been a lot of dis­cus­sion about all of Apple’s (and oth­ers’) over­seas cash due to the recent tax law changes here in the US. In response to a ques­tion about whether or not they would do a spe­cial (one-time) div­i­dend to return cash to investors (some­thing I’m […]

Dividends aren’t everything

Came across this twit­ter dis­cus­sion that’s worth shar­ing. I’m a huge believ­er in div­i­dends, and almost nev­er invest in any­thing with­out one… but a company’s div­i­dend (oth­er than it’s exis­tence) isn’t a rea­son to invest. Retail loca­tions are being closed, malls sit emp­ty. While one twit­ter­er points out that Macy’s stock would be worth less (worth­less?) with­out it’s […]

What are Dividends?

Dividends are awesome. Pick the right company, and they go in one direction - UP! Dividends have been rising faster than earnings, and that's a great opportunity for long-term investors

40% of total stock returns come from div­i­dends, but what are div­i­dends? From Part 2 of my book: When you pur­chase shares in a com­pa­ny, you become a par­tial own­er of that com­pa­ny. When buy­ing shares on a stock mar­ket through a bro­ker­age, you’re buy­ing shares of a pub­lic com­pa­ny – a com­pa­ny that has […]

What are Dividends?

Canadian dividend investors

I worked with an incred­i­ble team in Montreal, and know I have read­ers and own­ers of my book in Canada. This post is for you, though I can’t take any orig­i­nal writ­ing cred­it on this one. Start with an overview of what it’s like hold­ing US com­pa­nies in a Canadian port­fo­lio. Canadian com­pa­nies that deliv­er investors annu­al […]

canadian dividend aristocrats

The importance of dividends for long term investing

Dividend compounding has a massive effect on sustainable wealth building

This tweet should speak for itself: A reminder of what you’re doing when you cite mar­ket returns with­out div­i­dends. pic.twitter.com/QVrx9WJlqB — Morgan Housel (@morganhousel) August 19, 2016 Dividends and rein­vest­ing are mag­ic, as long as you keep a long term per­spec­tive. It’s amaz­ing that it’s so hard to find met­rics to help peo­ple focus on long […]

The amazing power of dividends along with other investing truths

I came across a very easy to read arti­cle with twelve hard truths about invest­ing and want­ed to make sure you read it. It’s a fas­ci­nat­ing set of points on what peo­ple per­ceive about invest­ing tru­isms. It’s so impor­tant to be curi­ous and ques­tion the things we take for grant­ed in all parts of our lives, but espe­cial­ly when […]

What happens to big oil dividends if oil prices stay low?

I get asked ques­tions all the time. I thought I’d share some (along with my answers) that might be of gen­er­al inter­est start­ing with this post. On the top­ic of div­i­dends: what is your take on Big Oil going into the red to con­tin­ue to deliv­er div­i­dends? It seems like a risky bet in the […]

Consistency and commitment

Two more rea­sons to love div­i­dends: con­sis­ten­cy & com­mit­ment. From a great blog you should read reg­u­lar­ly — the Reformed Broker: Executives believe that main­tain­ing the div­i­dend is on par with invest­ment deci­sions such as cap­i­tal spend­ing, where­as they view buy­backs as some­thing to do with resid­ual cash flow after the com­pa­ny has made all […]