As the editor of the income-investment newsletter The Daily Paycheck, it’s my job to find safe, high-yielding investments that my readers can hold without worrying about the ups and downs of the market. #-ad_banner-#Today, those securities can be difficult to… Read More

As investors await the outcome of various global crises — from Athens to Washington — they’re going to great lengths to avoid risk. Many are shunning any new stock purchases until confidence can be restored. But some investors aren’t waiting for the “all clear” to sound, snapping up great companies… Read More

With the proper focus, it’s sometimes possible to see a business headed for trouble long before it occurs. Last summer, I told readers wireless service provider Clearwire Corp. (Nasdaq: CLWR) was in deeper trouble than Wall Street analysts were publicly conceding. The analysts were carrying “buy” ratings, even when the… Read More

Right now it’s a booming component of the energy sector, but I’d guess that you’ve probably never heard about it. It’s certainly not covered day-in and day-out by the major media outlets. #-ad_banner-#But just because this story isn’t making front-page headlines, don’t think it’s… Read More

Performance is relative. If a stock manages to move sideways or modestly rise when most stocks are plunging, then investors should be pleased. Better yet, these are precisely the kinds of stocks that tend to outperform when most other stocks simply stabilize. We’re not there yet, but we’re getting awfully… Read More

Is the China trade over? A two-decade long run has catapulted the Chinese economy to amazing heights, but real cracks are starting to appear: inflation has perked up, the housing sector looks overextended and rumors persist that… Read More

As income investors, we can get caught up in yields… almost to a fault. But there is something else you should be studying that could make just as big a difference to your long-term returns: stocks that pay dividends. #-ad_banner-#That’s because dividend growth can make even lower-yielding stocks into big income producers over time. Take a look below at the income streams from a stock yielding 7% but not growing dividends, versus a 5% yielder that hikes payments an average of 10% a year in seven years. If you held 1,000… Read More

As income investors, we can get caught up in yields… almost to a fault. But there is something else you should be studying that could make just as big a difference to your long-term returns: stocks that pay dividends. #-ad_banner-#That’s because dividend growth can make even lower-yielding stocks into big income producers over time. Take a look below at the income streams from a stock yielding 7% but not growing dividends, versus a 5% yielder that hikes payments an average of 10% a year in seven years. If you held 1,000 shares trading at a $10 share price, then here is the income stream each would produce during one year: In just five years, that 5% yield would actually be worth more than the 7% yield. And just two years later, your income stream would grow to be 27% more than the stock yielding 7%. Keep in mind, this doesn’t take into account rising share prices. If both yields stayed the same, then the share price of the 5% yielder would have to grow to $17.72 — a 77% gain. Read More

As an asset class, exchange-traded funds (ETFs) have a reputation for volatility. In some ways this reputation is well-deserved. After all, scores of ETFs are of the leveraged variety. These funds add extra juice by delivering double or even triple… Read More

Stocks have been in a deep slump since July 22. Is it a coincidence that earnings season for most companies in the S&P 500 was winding down during this time? As corporate commentary grew quieter, there were fewer fresh positive data points coming… Read More