Comments on: Dividend Investing’s Big Problem

By: Dividend Tree Potpourri – May 31, 2009 | Bizness Geek

Dividend Tree Potpourri – May 31, 2009 | Bizness Geek — Sun, 07 Jun 2009 03:28:26 +0000

[...] Dividend Investing’s Big Problem, and it can be addressed! [...]

By: Dividend Tree Potpourri – May 31, 2009 | Dividend Tree

Dividend Tree Potpourri – May 31, 2009 | Dividend Tree — Mon, 01 Jun 2009 01:00:37 +0000

[...] Dividend Investing’s Big Problem, and it can be addressed! [...]

By: Dividend Growth Investor

Dividend Growth Investor — Sun, 31 May 2009 12:44:28 +0000

Matthew Waterman ,

Why hold on to a dividend cutter? You are HOPING that ONE DAY the dividend cutter MIGHT increase their dividends. When would that day come?

In the case of BAC, if you sold when they first cut their dividend in 2008 at $29-$30, you would have made a pretty smart decision. Financial stocks are full of surprises. I wouldn’t touch them with a ten foot pole. There’s so much preferred shares issued by financial institutions, and so many shares which are going to be issued and would dillute existing shareholders, that reaching the old level at 0.64/share/quarter would take decades..

By: Weekly Links: May 31, 2009 | Dividends Value

Weekly Links: May 31, 2009 | Dividends Value — Sun, 31 May 2009 10:30:54 +0000

[...] The Dividend Guy presented Dividend Investing’s Big Problem [...]

By: Monevator

Monevator — Sat, 30 May 2009 09:02:14 +0000

I’m reaching the conclusion that very long term buy and hold is only feasible if investing via broad funds like ETFs, otherwise the chances of particular companies or sectors blowing up is too great.

This doesn’t mean you need to sell every six months or whatever, but I think you do have to review active stock picks regularly.

Re: The financials, did you look at the exposure you were already getting via the ETFs? The UK stock market as a comparison was at one point something like 25% dependent (from memory) on financials for its dividend payout.