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Risk management is a tough topic for investors to comprehend (me included). The difficulty comes when you need to try to measure the risk of a particular stock. Wouldn't it be helpful if there were some rules that could help guide an investor? As I was browsing through my local Chapters (like Barnes and Noble) and saw the book The Art of Asset Allocation the author referenced a series of nine rules that were developed by the RiskMetrics Group. This list is helpful not because it tells you …

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Last week I wrote about what to do if the dividend on your stock holding is cut. I wanted to take this a step further and have done some investigation on what some of the dividend investing experts have suggested are some warnings signs that a dividend may be at risk of being cut. This list comes from the author of the book The Ultimate Dividend Playbook. In my opinion, Josh Peters has put together the most comprehensive and valuable list of warning signs an investor can use during their …

Continue Reading about 6 Warning Signs a Company May Cut Its Dividend

We are seeing a lot more dividend decreases in the most recent past (see matisse's post). Both large and small firms (primarily financial) are decreasing their dividend payments to investors to manage their financial performance. For an investor like me who searches for and attempts to invest in only those companies that continually increase their dividends, it certainly reduces the pool of possible investments. In addition, I currently own Citigroup which has recently slashed its dividend …

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“It's time in the market, not market timing, that counts”Dividend investing is not a one month process. In fact, I don't think it is even a one year process. Successful dividend investing is all about learning to determine a distinct course of action based on sound principles, and then having the patience and fortitude to let your plan work. Sometimes this patience is required for periods of 10+ years or more. An article on a page from RBC Investments had a good illustration of the need …

Continue Reading about Patience Will Always Reward You in Dividend Investing