Retirees seek reasonable, consistent yield without a threat to the nest egg. For the last three weeks I have revisited a method for doing this, one I first described six years ago.
The Quest for Yield (Part 6): Enhancing the Yield from Your Dividend Stocks, written in March 2012, explained the concept. While I have made a few changes, it is working as expected. I hope to write a series of posts describing and explaining some of our current choices and trades. While this is not investment advice for any specific reader, those who need to increase their yield may find it interesting. (More on this subject below).
Introduction The program, simply described, consists of buying a good dividend stock and selling a call against the position. While there are many dividend programs and... more
The Board of Trustees of The Gabelli Dividend & Income Trust (NYSE: GDV) (the “Fund”) approved the continuation of its policy of paying fixed monthly cash distributions. The Board of Trustees announced cash distributions of $0.11 per share for each of January, February, and March 2019.... more
Floating rate loans are similar to high yield ("junk") bonds but have a coupon payment that adjusts with interest rates on a quarterly (typically) basis. We are clearly in, and have been for over two years, a rising interest rate environment. Shortly after the Brexit vote, global interest rates hit their low point with the U.S. ten-year treasury rate falling to an all-time* low of 1.37%.
At about that time, our marketplace service Yield Hunting, instituted a "three-legged stool" strategy meant to combat rising rates. The stool consisted of floating rate securities, short-duration high yield, and hedged core fixed income.
The goal of the strategy was to guard against rising interest rates but still participate in the bond market. At the time, many were shifting... more
When talking about dividend increases, this is us talking about dividend investing, at its finest! Given another quarter-end had recently passed, I wanted to reflect on what occurred over the last 9 months. I do not mean just any old reflection, but I am going to be specifically talking about dividend increases and their impact on my portfolio this year. Tax reform has been rewarding, as companies have been sending portions of the cost savings to their shareholders.
Why dividend increases matter Why does this matter? Why would dividend increases matter to my investment journey? The next section will describe the importance of dividend increases. In short, the reason is the increase in cost of goods (food, energy, shelter, etc.), over a span of time. This is what you hear when... more
Introduction I love stocks that grow their dividends year in and out. You probably do too! If so, you are in the right place. I've created a list of stocks that are increasing their dividend next week.
This list is a trimmed-down version only covering dividend increases. A full upcoming dividend calendar is available here. If you know how this was built and the caveats, feel free to jump down to the lists themselves.
How It's Assembled The information presented below was created by combining the "U.S. Dividend Champion" spreadsheet hosted here, with upcoming dividend information from Nasdaq. This meshes metrics about companies with dividend growth history with upcoming dividend payments (and whether those payments are increasing). These companies all have a... more
Ford Motor's (F) shares have shown signs of life lately after they were demolished during the October sell-off. That said, though, uncertainty with respect to the U.S.-China trade conflict and falling sales in China will continue to hang over Ford Motor over the short haul. Shares remain in the bargain, though, and exhibit an attractive risk/reward-combination. An investment in Ford Motor throws off a 6.3 percent dividend.
Ford Motor's shares have staged a nice recovery in November which, in my opinion, was more than overdue. On the back of the October market meltdown, Ford Motor's shares dropped into the single-digits, and were deeply oversold as a result. Ford Motor is now in neutral territory with respect to the Relative Strength Index, RSI, with shares being neither... more
Chatham Lodging Trust (CLDT) is a promising U.S. real estate investment trust in the lodging industry. The REIT has a high-quality property portfolio and leads the industry in terms of EBITDA-margins. Chatham Lodging Trust outearns its dividend with adjusted funds from operations, and shares are sensibly valued, providing investors with upside potential. An investment in Chatham Lodging Trust at today's price point yields 6.7 percent.
Chatham Lodging Trust - Portfolio Snapshot Chatham Lodging Trust is a lodging REIT with a focus on upscale, extended-stay hotels and premium-branded, select-service hotels. The real estate investment trust has a large and growing presence in vital U.S. coastal markets with attractive economic fundamentals.
Here's a location map.
The footwear industry can be quite hit or miss for investors. There is often times a fluctuation between what a shoe costs, and what it can sell for. That is why branding is so important for footwear companies. Today's dividend champion spotlight focuses on Weyco Group, Inc. (WEYS), a company that has thrived long enough to join the dividend champions list with 37 consecutive raises. The business has seen some volatility in its operational metrics, so we dive into the company to determine whether Weyco Group has staying power over the long term.
Weyco Group is a footwear company that designs, manufactures, and distributes products for men, women, and children. The company was founded in 1906, and is based in Glendale, WI. Its key brands include Florsheim, Nunn Bush, Stacy Adams,... more
American Equity Investment Life Holding Company (NYSE: AEL), a leading issuer of fixed index annuities, today announced that its Board of Directors has declared an annual cash dividend of $0.28 per share to owners of its common stock. This is an 8% increase from the $0.26 annual dividend declared on November 16, 2017. This marks the twentieth consecutive year a cash dividend has been declared and the fifteenth year in a row that the Company has increased its cash dividend.... more
Triumph Group, Inc. (NYSE: TGI) today announced that its Board of Directors has declared a regular quarterly dividend of $0.04 per share on its outstanding common stock. The dividend is payable December 15, 2018 to shareholders of record as of November 30, 2018.... more