Income-starved investors are faced with bleak prospects. Stocks in the S&P 500 index might only reward investors with a dividend yield of 2% or so over the next 12 months. As an alternative, investors could consider 10-year Treasury notes, but those pay even less. Based on history and very long-term charts, stocks do seem like the better choice. Prior to 1951, stocks offered investors more income than bonds. Read More

Income-starved investors are faced with bleak prospects. Stocks in the S&P 500 index might only reward investors with a dividend yield of 2% or so over the next 12 months. As an alternative, investors could consider 10-year Treasury notes, but those pay even less. Based on history and very long-term charts, stocks do seem like the better choice. Prior to 1951, stocks offered investors more income than bonds. As you can see in the chart below, something changed in 1951, and bond yields topped dividend yields for the next 60 years. In November 2011, the relationship reverted back to its historical alignment, and stock market yields have been at least slightly above bond yields ever since. This relationship is important to income investors because asset allocation rules have been developed based on the data. Many retirement investors have learned that a balanced portfolio should be 60%… Read More

Income-starved investors are faced with bleak prospects. Stocks in the S&P 500 index might only reward investors with a dividend yield of 2% or so over the next 12 months. As an alternative, investors could consider 10-year Treasury notes, but those pay even less. Based on history and very long-term charts, stocks do seem like the better choice. Prior to 1951, stocks offered investors more income than bonds. Read More

Income-starved investors are faced with bleak prospects. Stocks in the S&P 500 index might only reward investors with a dividend yield of 2% or so over the next 12 months. As an alternative, investors could consider 10-year Treasury notes, but those pay even less. Based on history and very long-term charts, stocks do seem like the better choice. Prior to 1951, stocks offered investors more income than bonds. As you can see in the chart below, something changed in 1951, and bond yields topped dividend yields for the next 60 years. In November 2011, the relationship reverted back to its historical alignment, and stock market yields have been at least slightly above bond yields ever since. This relationship is important to income investors because asset allocation rules have been developed based on the data. Many retirement investors have learned that a balanced portfolio should be 60%… Read More

Income-starved investors are faced with bleak prospects. Stocks in the S&P 500 index might only reward investors with a dividend yield of 2% or so over the next 12 months. As an alternative, investors could consider 10-year Treasury notes, but those pay even less. Based on history and very long-term charts, stocks do seem like the better choice. Prior to 1951, stocks offered investors more income than bonds. Read More

Income-starved investors are faced with bleak prospects. Stocks in the S&P 500 index might only reward investors with a dividend yield of 2% or so over the next 12 months. As an alternative, investors could consider 10-year Treasury notes, but those pay even less. Based on history and very long-term charts, stocks do seem like the better choice. Prior to 1951, stocks offered investors more income than bonds. As you can see in the chart below, something changed in 1951, and bond yields topped dividend yields for the next 60 years. In November 2011, the relationship reverted back to its historical alignment, and stock market yields have been at least slightly above bond yields ever since. This relationship is important to income investors because asset allocation rules have been developed based on the data. Many retirement investors have learned that a balanced portfolio should be 60%… Read More

Income-starved investors are faced with bleak prospects. Stocks in the S&P 500 index might only reward investors with a dividend yield of 2% or so over the next 12 months. As an alternative, investors could consider 10-year Treasury notes, but those pay even less. Based on history and very long-term charts, stocks do seem like the better choice. Prior to 1951, stocks offered investors more income than bonds. Read More

Income-starved investors are faced with bleak prospects. Stocks in the S&P 500 index might only reward investors with a dividend yield of 2% or so over the next 12 months. As an alternative, investors could consider 10-year Treasury notes, but those pay even less. Based on history and very long-term charts, stocks do seem like the better choice. Prior to 1951, stocks offered investors more income than bonds. As you can see in the chart below, something changed in 1951, and bond yields topped dividend yields for the next 60 years. In November 2011, the relationship reverted back to its historical alignment, and stock market yields have been at least slightly above bond yields ever since. This relationship is important to income investors because asset allocation rules have been developed based on the data. Many retirement investors have learned that a balanced portfolio should be 60%… Read More

Income-starved investors are faced with bleak prospects. Stocks in the S&P 500 index might only reward investors with a dividend yield of 2% or so over the next 12 months. As an alternative, investors could consider 10-year Treasury notes, but those pay even less. Based on history and very long-term charts, stocks do seem like the better choice. Prior to 1951, stocks offered investors more income than bonds. Read More

Income-starved investors are faced with bleak prospects. Stocks in the S&P 500 index might only reward investors with a dividend yield of 2% or so over the next 12 months. As an alternative, investors could consider 10-year Treasury notes, but those pay even less. Based on history and very long-term charts, stocks do seem like the better choice. Prior to 1951, stocks offered investors more income than bonds. As you can see in the chart below, something changed in 1951, and bond yields topped dividend yields for the next 60 years. In November 2011, the relationship reverted back to its historical alignment, and stock market yields have been at least slightly above bond yields ever since. This relationship is important to income investors because asset allocation rules have been developed based on the data. Many retirement investors have learned that a balanced portfolio should be 60%… Read More

Income-starved investors are faced with bleak prospects. Stocks in the S&P 500 index might only reward investors with a dividend yield of 2% or so over the next 12 months. As an alternative, investors could consider 10-year Treasury notes, but those pay even less. Based on history and very long-term charts, stocks do seem like the better choice. Prior to 1951, stocks offered investors more income than bonds. Read More

Income-starved investors are faced with bleak prospects. Stocks in the S&P 500 index might only reward investors with a dividend yield of 2% or so over the next 12 months. As an alternative, investors could consider 10-year Treasury notes, but those pay even less. Based on history and very long-term charts, stocks do seem like the better choice. Prior to 1951, stocks offered investors more income than bonds. As you can see in the chart below, something changed in 1951, and bond yields topped dividend yields for the next 60 years. In November 2011, the relationship reverted back to its historical alignment, and stock market yields have been at least slightly above bond yields ever since. This relationship is important to income investors because asset allocation rules have been developed based on the data. Many retirement investors have learned that a balanced portfolio should be 60%… Read More

If you’re like millions of investors, you’ve decided against investing in Facebook (Nasdaq: FB). The company’s hotly-anticipated IPO in the spring of 2012 was a bust, and over subsequent quarters, shares have been adrift at sea. Indeed, as the S&P 500 has tacked on additional robust gains this year, shares of Facebook have quietly sunk below the 100-day… Read More

If you’re like millions of investors, you’ve decided against investing in Facebook (Nasdaq: FB). The company’s hotly-anticipated IPO in the spring of 2012 was a bust, and over subsequent quarters, shares have been adrift at sea. Indeed, as the S&P 500 has tacked on additional robust gains this year, shares of Facebook have quietly sunk below the 100-day moving average. Of course, like many other investors, you’ve tucked this stock away into the back of your mind, planning on giving it a fresh look when the current phase of malaise has passed. Well, the time has come to give this broken IPO a fresh look. And when you do, you’ll find a business model that is finally ripening, with many arrows in its quiver. Facebook’s 2013 sales and profit trends may… Read More

When discussing the financial markets with fellow investors, I am often asked, “What book has had the most impact on your investing philosophy?” Without hesitation, I answer, “Triumph of the Optimists.” This 2002 book isn’t a how-to on investing or trading. Rather, it’s a treatise on the investment returns over the entire 20th century. The book has had a profound effect on the way I view the stock market. Read More

When discussing the financial markets with fellow investors, I am often asked, “What book has had the most impact on your investing philosophy?” Without hesitation, I answer, “Triumph of the Optimists.” This 2002 book isn’t a how-to on investing or trading. Rather, it’s a treatise on the investment returns over the entire 20th century. The book has had a profound effect on the way I view the stock market. This little-known book radically altered my thinking from focusing exclusively on narrow short-term results to a broad-based long-term view.#-ad_banner-# In other words, it has allowed me to see the forest rather than just the trees. It is through this prism that I feel confident in making this bold market prediction. “Triumph of the Optimists” looks at 101 years of global investment returns and teaches what is, to my thinking, the correct way to measure returns over time. What I found most profound is that from 1900 to 2000, in terms of returns,… Read More

If you’re like millions of investors, you’ve decided against investing in Facebook (Nasdaq: FB). The company’s hotly-anticipated IPO in the spring of 2012 was a bust, and over subsequent quarters, shares have been adrift at sea. Indeed, as the S&P 500 has tacked on additional robust gains this year, shares of Facebook have quietly sunk below the 100-day… Read More

If you’re like millions of investors, you’ve decided against investing in Facebook (Nasdaq: FB). The company’s hotly-anticipated IPO in the spring of 2012 was a bust, and over subsequent quarters, shares have been adrift at sea. Indeed, as the S&P 500 has tacked on additional robust gains this year, shares of Facebook have quietly sunk below the 100-day moving average. Of course, like many other investors, you’ve tucked this stock away into the back of your mind, planning on giving it a fresh look when the current phase of malaise has passed. Well, the time has come to give this broken IPO a fresh look. And when you do, you’ll find a business model that is finally ripening, with many arrows in its quiver. Facebook’s 2013 sales and… Read More

The recent threat of Fed “tapering” has been putting many investors on edge lately — hence the triple-digit market swings we experienced last week.  At the same time, the “conventional wisdom” I’ve seen come with this news is clouding judgment, telling income investors — wrongly — to sell a certain asset class in the market right now. This is exactly the sort of “conventional wisdom” myth that costs investors big time over the long run. Read More

The recent threat of Fed “tapering” has been putting many investors on edge lately — hence the triple-digit market swings we experienced last week.  At the same time, the “conventional wisdom” I’ve seen come with this news is clouding judgment, telling income investors — wrongly — to sell a certain asset class in the market right now. This is exactly the sort of “conventional wisdom” myth that costs investors big time over the long run. And I’m certain you’ll see it pushed in the mainstream financial media soon. #-ad_banner-#I’ll tell you why you should ignore their advice in a moment, and instead seize the opportunity that will be presented because of it. But first, let’s look at the situation we’re dealing with in the markets.  The official transcript of Federal Reserve Chairman Ben Bernanke‘s press conference two weeks ago contained 7,267 words, but the 10 that stuck out most to me were: “If the incoming data are broadly consistent with this forecast…” In… Read More