However, it's important to remember that investing for dividends isn't always straightforward, and you should just
chase the highest dividend paying stocks.
(Seeking Alpha: Jun 16, 2016) Seeking Alpha contributor Ploutos said dividend investors that «
chase the highest dividend yielding stocks in an effort to boost income... end up sacrificing growth in their principal,» since these stocks «have delivered inferior risk - adjusted returns over long time periods.»
There is a tendency for dividend investors to
chase the highest dividend yielding stocks in an effort to boost income from their investment portfolio.
Not exact matches
No need to
chase high yielding stocks that are prone to
dividend cuts.
Hi Mike, I
chased high yields back in my earlier
dividend investing days (2005 - 2008).
In Mm Mm Good, published August 2016, the Campbell Soup Company (CPB) and the utility sector were highlighted to show how yield - starved investors were
chasing dividend stocks to dangerously
high valuations.
The
dividend cuts taught me to focus more on earrings and cash flow than simply
chasing stocks with the
highest yield, and my strategy has changed to focus on
dividends that are sustainable.
Too many are simply
chasing returns via
dividends in reits, mlps or
high paying
dividend stocks.
It can be tempting to
chase higher yields to get the ball rolling, but
higher dividend growth rates is definitely a good way to combat valuation changes.
As of right now, after the special
dividend, there is a
high risk that the remaining assets are used to
chase after aquisitions instead of making more distributions to shareholders.
«Many of the investors joining the
dividend stampede appear to be motivated by the low interest rates mandated by the Federal Reserve, which have led to a yield famine among traditional income investments like bonds, certificates of deposit and money - market funds,» Zweig writes, adding that others may be
chasing performance, since
high - yield stocks fared well last year.
Dividend stocks often lose favor as investor
chase capital gains and other
high growth strategies.
Investors in
Dividend Kings or
Dividend Aristocrats are rarely the same type of investors
chasing the
high flying valuations of FAANG stocks.