As the old expression goes, the market climbs a wall of worry: when a significant number of investors are anxious yet stocks rise higher, nervous investors who had kept cash on the sidelines due to myriad concerns capitulate and start buying. That extends the bull market. The greatest risk to a bull market is not a time of serious concerns, but the opposite: a seemingly sunny scenario in which investors can bask, Pollyannishly, and become too bullish. If everyone's in the market, stock prices usually get inflated. The next direction for the overall market may be down.
I'm not suggesting we're at that point. But with stocks at record highs despite continued global challenges, it's a good time to take a deep breath, assess the composition and risk level of your portfolio, and think about shifting out of winners that may have run their course toward less glamorous, safer holdings -- preferably ones that pay above-average income to boost returns if the stock market pauses: International Paper (NYSE:IP) and Pfizer (PFE).
Source: Seeking Alpha
Related Articles:
- Building Yield: 7 Consumer Goods Dividend Stocks
- 9 Higher-Yielding Financial Services Stocks With Rising Dividends
- Dividend Stocks vs. a Safe Distribution Rate
- 12 Under-Valued Dividend Stocks
- Successful Investors Take The Emotion Out
________________________________________________________________
Subscribe to:
Post Comments (Atom)
Popular Posts Last 30 Days
-
There are some dividend aristocrats which have not only maintained but increased their dividends for over half a century. Having survived ev...
-
Showing resilience during a tough week was a group of stocks that has not been heard from much in the past two years. A group that has been ...
-
High dividend yields are harder to find lately, given the long-running stock market rally. But that scarcity doesn't mean investors have...
-
One little-known tax loophole allows Americans to collect large, growing distribution checks from the government. And investors can begin ea...
-
The U.S. boosted tariffs on $200 billion worth of Chinese goods from 10% to 25%. The markets had expected this to be the week that this deal...
-
Every investor needs a security blanket -- that piece of the portfolio that needs no attention and doesn't keep you up at night. Busines...
-
The one knock against this midstream company is its higher risk profile compared with its peers. It has been working to address that issue b...
-
Technology is the alchemy of the stock market. It is where companies turn worthless silicon into incredible new and expensive gizmos and dev...
-
Utility stocks were supposed to be yesterday’s favorite investment. The theory regarding utility stocks was simple: Robust economic growth c...
-
The yield is 8.36%, with strong 1.39X coverage. Revenue grew 16%, EBITDA rose 22%, DCF grew 25%, and net income rose 19% in Q1 '19. Mana...
0 comments
Post a Comment
Post a Comment