dividend
A dividend is a cash payout that serves as a way for companies to share the profits they’ve accumulated through their operations. These payouts are drawn from earnings and cash flow paid to the shareholders of the company. Commonly these dividends are paid quarterly, although they may also be paid annually or even monthly as well. A dividend can produce as much as a quarter of your total return over long periods. Some good companies reinvest profits instead of paying a dividend. But fraudulent and failing companies hardly ever pay a dividend. So if you only buy stocks that pay dividends, you’ll automatically stay out of almost all the market’s worst stocks. For a true measure of stability, focus on companies that have maintained or raised their dividends during recessions and stock market downturns. These firms leave themselves enough room to handle periods of earnings volatility. By continually rewarding investors, and retaining enough cash to finance their businesses, they provide an attractive mix of safety, income and growth. Dividends are an important contributor to your long-term gains, and dividend-paying stocks tend to expose you to less risk than non-dividend-payers. That’s why the majority of your stocks should be dividend-payers at all times. As you get older and closer to retirement, you should raise the proportion of dividend-paying stocks in your portfolio, to cut risk and improve the stability of your investment results. To maximize your investment returns with the least risk, follow TSI Network and use our three-part Successful Investor strategy:
- Invest mainly in well-established companies;
- Spread your money out across most if not all of the five main economic sectors (Manufacturing & Industry; Resources & Commodities; Consumer; Finance; Utilities);
- Downplay or avoid stocks in the broker/media limelight.
Discover how to put an extra strength in your portfolio with our specific advice on how to identify high-quality dividend stocks. It’s all in our newly updated report, Dividend Paying Stocks: How High Dividend Stocks Can Supercharge Your Income Investing. And it’s yours FREE!
FORTIS INC....
Regardless, we feel Telus’s long history of rising dividends makes it a strong pick for income-seeking investors....
Here is one ETF that provides exposure to leading Swiss publicly traded companies.
ISHARES MSCI SWITZERLAND ETF $47.38 (New York symbol EWL; TSI Network ETF Rating: Conservative; Market cap: $1.2 billion) tracks the performance of the largest publicly listed Swiss companies.
Healthcare companies account for 33% of the assets, while Consumer Defensive (21%), Financial Services (18%), Basic Materials (9%), and Industrials (9%) are other key segments.
The ETF holds a portfolio of 41 stocks; the top 10 holdings make up a sizeable 67% of its assets....
Stocks in the fund’s portfolio are equally weighted to reduce the risk associated with a high exposure to individual companies....
That success is largely due to the early effectiveness of its Internet search algorithms, which delivered more useful results to its users than competing search engines....
We recommend this stock as a Power Buy....