We had a very bad month of January when investors started to sell and get pessimistic. Then, February arrives with Janet Yellen and everything seems better now. The market is up (both Canadian and American) and investors are smiling again. I’m already up over 2% this year with my own portfolio and I think that dividend stocks are the best investment ever.
What do you think? Do you think the market will continue rising in the upcoming months?
I’m bullish for the year, what about you?
Btw, I’ll be late for my TSX ex-dividend date report and late as well for my Best 2014 performance (though I am beating both benchmarks on February 27th…) since I’m currently on the beaches of Hawaii. I’ll be back mid March J
The January/February months are when I top up the RRSP and deposit to the TFSA so I have a look around for some good (hopefully) investments. As the REITs got hammered last year I have sunk my monies in to D, DI, DIR and LW. All doing quite nicely now and paying dividends every month (approx $950). DI, while Canadian, has all it’s investments in Germany at present. So it is a domestic play on the European markets.
I had sold off CHE prior so there was a fair bit of change to reinvest plus the top up plus January is a big dividend payout month.
So yes, I am confident the markets will grow some what and if not then the dividends will keep rolling in. Especailly with BCE hiking their dividend by 6%
P.S. Enjoy the weather Mike. It is still bloody cold up here. Trust you brought enough sunblock.
It has definitely been a roller coaster of a ride to start off 2014! However, being a dividend growth investor means I can ignore the market fluctuations and just focus on the long term. Over long term, as long as you have a portfolio of the world’s best companies, your investments will pay off well.
Dividend Growth Investor
I usually ignore short-term market fluctuations as a holder of dividend paying stocks. Whether Coca-Cola closes 2014 at $38 or $28 does not really matter, as long as EPS and DPS are fine. I do care if Coca-Cola can sell more soda, water, juices in 10 – 20- 30 years. That will ensure my dividends keep climbing, and can afford to live the good life.
However, as someone in the accumulation phase, I pray every day for lower stock prices, so that my dollars today can buy more future dividend income.
Hey DG, first time here. Yeah, 2014 i think is going to be an interesting year. I feel we’re close enough to 2000 on the s&p at least for them to have a shot at it, the market likes big round numbers ( psychologically speaking )….i’m aiming for around the 1940-1970 mark but i will be hedging fairly aggressively after that. I expect some kind of big sell-off to ensure which just means more on sale for all of us. The catalyst in my eyes will be when they start to ratchet up interest rates end of 2014/2015, i believe the taper being reduced is simply just going to decrease the rate at which we go up, it’s still a huge amount of $$ Going in.
Looking at the open tonight, futures down quite hard on the Ukraine/Russia news. Will see how the first few days of the month hold up, they are usually bullish. Was looking for the tape to grind up until the end of the first quarter but geo-political is always the wild card, we’ll see how it goes.
Keep up the good work.
Zach @ Dividend Ladder
I’m not expecting much out of 2014. Most of my returns will likely come purely from dividends.
@DGI – I think the market has been knocking down KO because of slumping Coke consumption. It will be interesting to see how KO reshapes their strategy to deal with the trends, especially in the US.
I just got back yesterday, weather was awesome, but right now, I’m in the middle of another snow storm… this winter never ends!!!
I agree with you, for a long term dividend investor, the market is ALWAYS bullish 🙂
@DGI & Zach,
I’m still bullish on KO. From time to time, market expectations are just beyond the point of reason. I’m confident KO will be able to increase its sales over time!
This is snow pour les sucres Mike. Bet they don’t have maple syrup in Hawaii athough I am sure they have other factors in their favour.
Starting to look like a wishy-washy year where you make some advances and get some pullbacks I am getting a feeling that this is a year to keep your powder dry and wait for the pull backs on your favorite stocks, the ones paying steady dividends. Doubt there will be any major advance on the market and hopefully no major dip.