As investors continually seek out new investment ideas, it can get very tiresome. Just when you’ve found certain appealing stocks, they move up to your price target or lose operating momentum, and you’re compelled to find the next idea. But what if you could hold a stock for the whole year, a whole decade or even a whole generation? Well, that’s how people used to invest. My grandmother bought shares of AT&T (NYSE: T) in the 1950s — and never sold them. The dividend income was surely appealing. And the capital appreciation helped… Read More

As investors continually seek out new investment ideas, it can get very tiresome. Just when you’ve found certain appealing stocks, they move up to your price target or lose operating momentum, and you’re compelled to find the next idea. But what if you could hold a stock for the whole year, a whole decade or even a whole generation? Well, that’s how people used to invest. My grandmother bought shares of AT&T (NYSE: T) in the 1950s — and never sold them. The dividend income was surely appealing. And the capital appreciation helped her stay well ahead of the forces of inflation. But if my Grandma were alive today, would she still be able to find a “forever stock?” After all, in recent years, even stalwarts such as AT&T have lost their luster: Ma Bell’s shares have fallen by half since 2002. You can still find “forever stocks” if you know where to look. The key ingredient is to seek out companies with long operating histories, that sell goods or services that won’t become obsolete, and routinely generate solid rates of return on their deployed capital. Read More

The world is undergoing massive changes at a torrid pace. The pace and magnitude of these changes is greater than humanity has ever known. With these changes come great opportunities and great challenges that will have to be confronted. Perhaps the greatest challenge of all is the… Read More

Like most value investors, I frequently find it difficult to justify “paying up” for growth. A challenging stock market during the past couple of years has provided ample opportunity to find stocks that are trading at ridiculously low levels. But now that the market has rallied strongly for nearly two… Read More

The S&P 500 pushed back above 1,100 in September 2010, past the 1,200 mark in early December and is already on the cusp of 1,300. With that kind of upward move, it’s reasonable to feel cautious. You want to participate in this impressive rally, but don’t want to give up… Read More

It’s not your imagination… it is getting more expensive to fill up at the gas pump. We had a reprieve for several months. Following the crash in oil, gas plunged well below $2 a gallon. Now it’s knocking down the $3 mark. As a… Read More

Despite economic challenges, the United States remains as a compelling hotbed of innovation. So many items in everyday use — especially in the field of medicine — got their start here. [In fact, Andy Obermueller recently revealed his favorite game-changing medical picks in the latest issue of Game-Changing Stocks]… Read More

Savvy investors know how to be creative and seek rich yields in unusual places. With the average S&P 500 stock yielding less than 2%, you have to explore off the beaten path to find big dividends. Luckily, there are little explored corners of the investment world where great yields can still be found. You just need to know where to look. Carla Pasternak is an expert in this area. Every month her High Yield Investing newsletter searches out exceptional yields and, more often than not, she finds them in unusual places. Here are four high-yielding asset classes… Read More

Savvy investors know how to be creative and seek rich yields in unusual places. With the average S&P 500 stock yielding less than 2%, you have to explore off the beaten path to find big dividends. Luckily, there are little explored corners of the investment world where great yields can still be found. You just need to know where to look. Carla Pasternak is an expert in this area. Every month her High Yield Investing newsletter searches out exceptional yields and, more often than not, she finds them in unusual places. Here are four high-yielding asset classes Carla recently highlighted in her newsletter. Most are unfamiliar to the average investor, yet each offers hefty dividends. 1. Business Development Companies (BDCs) BDCs are the 21st century version of venture capital funds. There are only about three dozen of them out there, but most pay sizable yields, with a few exceeding 11%. BDCs make loans to small companies, often taking an equity stake as well, and pass the income along to their investors. BDCs paying great dividends right now include Black Rock Kelso (Nasdaq: BKCC), which yields 11%, and… Read More

Every company looks at a new year as a fresh opportunity. Companies make plans to boost sales, watch costs and deliver investor-pleasing bottom-line results. The three companies we’re discussing today clearly didn’t meet those goals in 2010. But the stars are aligning for better results this year, perhaps spectacularly so. Read More

It’s no secret that the media industry has been deeply affected by the advent of the Internet. It is the most efficient distribution channel ever for consumers to read, listen, and watch content. Newspapers and magazines continue to give way to online content outlets, airwaves are being replaced by Internet… Read More