I hate to sell a stock. When I buy a stock, my intention is to hold it forever and enjoy its ever-growing dividend income. Unfortunately, it doesn’t always work that way. Sometimes a stock changes and no longer fits in my income portfolio. It could be a company that cuts its dividend or in some cases freezes its dividend. Let’s take a look at a two-step process designed to help us determine if we should sell a stock after a dividend freeze.
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Wed. Apr. 22, 2009
process
A Two Step Process To Follow After A Dividend Freeze *
Wed. Mar. 25, 2009
process
Early Warning Signs of a Dividend Cut *
It seems each week another dividend Aristocrat, Achiever or Champion cuts its dividend after increasing it for 10 or more years. In most cases the companies’ investors were not surprised because they saw the early warning signs that indicated a dividend cut was imminent. Here are three signs that a company is heading toward a dividend cut:
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Wed. Mar. 11, 2009
process
Should You Sell A Dividend Stock After A Dividend Freeze? *
When I add a stock to my dividend portfolio, it is my intention to hold the stock forever. However, sometimes selling a stock is the right thing to do. In determining when to sell a dividend stock, I have one hard and fast sell rule: When an individual stock held as a dividend investment lowers its dividend, immediately sell it. This rule has served me well. Since I have begun chronicling by investments online, there have been several stocks I sold immediately after a dividend cut. Here is a list of those stocks with my exit price and a recent price:
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Wed. Feb. 11, 2009
classics, process
The Best Dividend Stocks In The World *
I couldn’t begin to estimate how many different stocks are traded around the world on the various exchanges. Like everything else, there are many participants, but few players. Though the population of stocks may be large, there are only a precious few that are worthy dividend stocks. When spending my time looking for worthy investments, there are four primary places I look:
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Wed. Dec. 24, 2008
process
Managing The Risk Of A Dividend Cut With Allocations *
One tactic to help manage the risk of a dividend cut is to limit your allocation in any single investment to a maximum of 5%. However, if the allocation is measured by market value, our portfolio may still be at significant risk of a dividend cut. Consider the following:
Tue. Nov. 25, 2008
process
Strategically Managing Your Dividend Portfolio In A Downturn *
The recent turbulence in the market has provided income investors first hand experience in managing their income portfolio in a declining market. For some, this may be their first significant and prolonged downturn. Here are some things that will help you succeed and thrive during this bear market:
I. Remember Why You Are An Income Investor
Tue. Nov. 18, 2008
process
Measuring Dividend Stocks Investment Risk Profile *
As part of defining your investing process, don’t forget to spend some time understanding risk. Seasoned investors will tell you that you should know your risk profile before starting to invest. There are several tools available on the web to help you gauge your risk profile. Here are a few:
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Fri. May. 16, 2008
classics, process
Seven Important Reasons for Dividend Investing *
With all the other investment strategies out there, why should investors consider dividend or income investing? Based on articles that I have previously written, presented here are seven important reasons for dividend investing:
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Thu. Apr. 10, 2008
process
Harvest the Fruit *
The mango is native to Southern and Southeast Asia, but also grows in Central and South America, Africa, and the Arabian Peninsula. Mango trees will settle into a cropping pattern by the third year after planting and reach peak production in six to eight years. Seedling trees take a year longer to come into production. The tree is long-lived with some specimens known to be over 300 years old and still producing fruit.
Wed. Apr. 9, 2008
process
Measuring Asset Allocation Across Your Entire Portfolio *
It is important to periodically review your asset allocation across all your holdings. In yesterday’s post “2008-Q1 Progress Review“, I presented the results of a significant project I undertook to measure my asset allocation over all my investment holdings using three different measures (origin, capitalization and sector). As I pointed out yesterday, I was surprised that some of the areas I thought would be over-allocated were not when evaluating the portfolio as a whole (financials and real-estate), while other areas came up short (international).
