Here’s a news flash that’s a bit old, but staggering in its implications: Central banks — entities charged with providing quick access to a nation’s hard assets to back up its currency — are increasingly dabbling in stocks because bond yields are ridiculously low. So are dividend stocks actually a lower-risk investment, on the whole, than bonds? Some central bankers seem to think so, judging by their actions.
After all, these are institutions that act out of capital preservation to back up their national currencies, not investment banks looking to make billions in profits through active trading. It’s pretty telling when “national reserves” are in fact investments in blue-chip stocks. According to previous reports, Israel took a stake in (what else!) Apple (NASDAQ:AAPL) as well as equity index trackers that presumably are heavy where the S&P 500 and the Dow Jones Industrial Average are weighted — mega-caps Exxon (NYSE:XOM), General Electric (NYSE:GE), IBM (NYSE:IBM) and AT&T (NYSE:T), for example.
Source: InvestorPlace
Related Articles:
- 10 Dividend Stocks Balancing Yield And Growth
- Defense Stocks May Not Be Defensive Stocks
- 10 Dividend Stocks That Gave Me A 20%+ Annualized Return
- All Investments Carry Risk
- 9 Stocks Delivering The Dividend Dream
Central Banks Branching Out Into Equities
Posted by D4L | Thursday, November 08, 2012 | ArticleLinks | 0 comments »________________________________________________________________
Subscribe to:
Post Comments (Atom)
Dividend Growth Stocks News
~
Popular Posts Last 30 Days
-
If you're worried about inflation rearing its ugly head next year, you should probably worry about more likely catastrophes, such as bei...
-
As a relatively new blogger, the one thing that has stood out in my mind is the number of Canadian bloggers in the areas that I am most inte...
-
We screened our 24/7 Wall St. dividend equity research database and found 5 stocks that combined can generate over $3,000 of annual passive ...
-
The stock market has been on an upward path of late, with some of the most prominent stocks hitting astronomical highs. The dividend yield o...
-
Dividend growth stocks can be incredibly attractive investments if you crave recurring income. As these types of stocks raise their dividend...
-
Dividends can be a tremendously powerful part of your investing strategy. Not only can they give you a continuing source of cash to reinvest...
-
The most dependable dividend stocks typically have a long track record of sustaining payouts through different market cycles. Companies with...
-
In my opinion, there are three criteria investors should consider when evaluating a particular stock for their portfolio. The first is histo...
-
In this article, we discuss 5 best March dividend stocks to buy. If you want to read our detailed analysis of dividend capture strategy and ...
-
As the broader stock rally broadens to some of the more “boring” corners of the market, it’s the higher-yielding dividend plays that could s...
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.