This first top 10 list is offered for dividend growth investors that are most
focused on current yield.
For this reason, some investors instead choose to
focus on current yield when comparing the dividends of different stocks.
Rather than
focusing on current yield, the ETF instead looks at stocks that have a past history of dividend growth over time.
Not exact matches
The article I wrote
focused on high
current yield at 4 % +.
Focus on Value: By targeting high -
yielding securities at significant discounts to their intrinsic values, we attempt to generate capital appreciation
on top of high
current income.
I wouldn't
focus so much
on the low
current yield of these companies as much as their very high dividend growth rates.
In most countries, the short end of the
yield curve implies a view that official interest rates are at their trough for the
current cycle, and attention is now
focused mainly
on the question of when interest rates will begin to rise.
Importantly, when a preferred share is trading at a high
current yield relative to the market
yield, the investor receives a measure of protection from the impact of rising interest rates (or, if we're
focused on real returns, the impact of rising inflation).
In his role, DeSchryver serves both public and private sector clients providing counsel
on federal regulatory matters, budgetary and compliance matters; research and analysis
on national policy issues; research and analysis
on emerging markets in education services; and his
current focus is
on the emerging solutions to assess education productivity /
yield on investment.
-LSB-...] a little further about being careful
focusing on high
current yield and
focusing more
on dividend growth let's take a look at Time Inc. -LSB-...]
Bargain Issues — here Graham
focuses on «average past earning power» and compares it with
current market value and recommends stocks which have high earnings
yield (i.e. low P / E) ratios based
on average plus a strong balance sheet.
Until then, the best way to temper your expected returns is to
focus on the
current bond
yield, plus or minus a percent or two.
Assuming this new ETF will use a strategy similar to that of the Vanguard High Dividend
Yield (VYM), which also tracks a FTSE index, it will
focus on stocks with above - average
current yields rather than dividend growth.
Its
focus is
on dividend growth rather than
on high
yield, and its
current dividend
yield is only a modest 2 %.
Our first idea is a closed end fund that
focuses on capital preservation and has a
current yield of 7.77 %, paid monthly.
In somewhat similar vein, you can obviously equate earnings
yield to RoME, but that would perhaps miss the point — with an analysis, how you get there is often just as important as the end - result... If you re-read that section of my post, the important point is to force myself (or readers) to stop
focusing on book value, or intrinsic value, or even the potential upside — and to re-focus more specifically
on what kind of return may be
on offer, based
on the
current market cap & ignoring any revaluation potential.
Dividend oriented investors often
focus too much
on current yield (i.e. how much the company pays the investor today), which, by extension, leads to a portfolio of mature slower growth businesses like regulated utilities or telecommunications service companies.
Expanding a little further about being careful
focusing on high
current yield and
focusing more
on dividend growth let's take a look at Time Inc. (TIME).
When we developed the AMM Dividend Strategy we decided to
focus on overcoming the
current yield dilemma (high payout, low growth) in dividend investing.
Since my
focus was
on retirement portfolios, my additional objective was to put together a portfolio that in the aggregate would offer a
current dividend
yield greater than 3 %.
I have actually
focused more
on dividend / earnings growth and less
on current yield as I have gotten older.
FBD's
current portfolio composition &
yield should normally produce a predictable shortfall in actual investment earnings, so we'll sensibly
focus on diluted EPS here].
Many income investors
focus on dividend growth over
current yield since a very high
yield is often a sign of a future dividend decrease or lack of growth, whereas a long trend of sustained increases forces capital appreciation as well as the market continues to adjust for an ever - increasing dividend payout.
(Bear in mind that this fund
focuses on companies with a history of dividend appreciation; Vanguard Equity Income (VEIPX) is a good example of a cheap offering that
focuses on companies with both good long - term potential and solid
current yields.)
Unfortunately, many income investors don't have the luxury of time
on their side and must
focus on high -
yield investments to meet
current expenses.
Related I also recently found a useful resource for anyone looking to
focus research
on places in the world where the gap between
current crop
yields and potential
yields is greatest: The Global
Yield Gap Atlas.
Rath advocates for a dramatic and immediate change in language from the
current state of «Disease Management Programs» and «Health - risk Appraisals» to a
focus on «Well - being Initiatives» with an emphasis
on small daily wins that
yield meaningful progress.
It's mostly
focused on sponsors, and then looking at the projections, as far as how much of the return would come from
current income and
yield, and how much of it would be based
on appreciation, and thinking through whether or not, how much risk there is and the appreciation being realized.