A super-bullish report from Goldman Sachs (NYSE:GS) analysts called “The Long Good Buy; the Case for Equities” is out today. It’s over 40 pages and has some heady stuff in there, but most importantly it makes the argument that stocks — particularly big dividend payers — are super cheap relative to bonds. That means long-term investors looking 10 or 20 years down the road should jump into dividend payers immediately, and not look back.
In the early 20th century, the stock market was largely viewed as a volatile asset class that underperformed bonds, and thus was not very seriously seen as an investable opportunity for most. Institutions shunned stocks, even those with tremendous dividends, and chased lower-yield in bonds because of the stability. It was a bull market for bonds. As decades passed, institutions slowly warmed up to the idea of taking on the risk of the equities market. The money started to flood into stocks and mutual funds — pushing equities higher, but driving down dividend yields in equities.
Source: InvestorPlace
Related Articles:
- Increasing Dividend Yield Part II: REITs
- 11 Dividend Stocks Providing Positive Feedback
- 8 Dividend Stocks To Consider While Waiting on Apple to Pay Its First Dividend
- Holding Bonds Could Push Your Portfolio Into The High Risk Category
- Love People, Use Dividend Stocks
________________________________________________________________
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...
-
When a company pays a dividend, it's a good thing for shareholders. When a company consistently pays a dividend every quarter, it's ...
-
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...
-
My top financial goal is to eventually become financially independent. The foundation of my strategy is to make investments that produce an ...
-
Dividend growth stocks can be incredibly attractive investments if you crave recurring income. As these types of stocks raise their dividend...
-
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.