The best dividend ETFs for long-term investors charge low fees, maintain nice diversification, keep turnover low, and track benchmarks that apply some filters for business quality and dividend safety. I reviewed the pros and cons of investing in dividend ETFs earlier, but I never identified specific funds that I consider to be the best [...]
An exchange traded fund, or ETF, is a publicly-traded fund that tracks an index such as the S&P 500. There are nearly 2,000 ETFs in the U.S., but fewer than 150 funds are specifically classified as dividend ETFs. Dividend ETFs can provide a number of benefits for investors seeking safe retirement income or long-term [...]
The Nasdaq Dividend Achievers Index is a group of companies that have consistently rewarded shareholders with increasing dividend payouts. Companies qualify for the Dividend Achievers List if they have raised their dividends each year for at least 10 consecutive years and meet certain trading liquidity requirements. Why is the Dividend Achievers List popular? [...]
Peter Drucker, one of the most notable management consultants and business visionaries of all-time, once wrote: “What gets measured gets managed.” Mr. Drucker is getting at several points. Perhaps most obviously, we are more likely to pay closer attention to something if we simply begin observing and examining it. By developing measurements of [...]
Dividend investing is part art, part science. Financial ratios make up most of the science behind investing. What exactly are financial ratios? For the purposes of this article, we define financial ratios as any number or calculation used by dividend investors to better understand an investment opportunity. Financial ratios are found throughout a [...]
National Oilwell Varco (NOV) surprised many dividend investors with its decision to slash its dividend by 90% on April 11. Income investors could have avoided the cut by paying closer attention to the company’s main risk factors. The dividend cut announcement came shortly after the company’s CEO gave an investor presentation on March 22. [...]
Monthly dividend stocks appeal to income investors for several reasons. Stocks that pay dividends monthly provide more predictable income and make it easier to budget, especially for those living off dividends in retirement. Most companies pay dividends on a quarterly schedule, which can result in a lumpier income stream. Monthly dividend stocks better match [...]
The dividend payout ratio is one of the most informative and popular metrics used to analyze the safety of a company's dividend. However, many investors do not realize the number of different ways that dividend payout ratios can be calculated and the other factors that should be considered when assessing the safety of a [...]
In the spirit of tax season, it's worth reviewing the differences between qualified dividends and ordinary dividends. While not the most exciting of subjects, understanding what you can do to maximize the amount of your dividends classified as qualified instead of ordinary can potentially save you thousands on your tax bill - and it only [...]
Have you ever wondered which sectors you should look in to find the best dividend stocks? With thousands of dividend-paying stocks to choose from, knowing where to begin the hunt for safe dividend income can feel overwhelming. Not all stock sectors are equally attractive when it comes to dividend income. Some are characterized by short product [...]
There's no such thing as a free lunch, and that certainly applies to dividend investors who chase high yield stocks. More often than not, you get what you pay for. BHP Billiton (BHP) is the latest high yield stock to cut its dividend (ConocoPhillips slashed its dividend earlier this month, too). This was BHP's first [...]
A dividend increase is one the surest signs of financial strength and management's confident in the underlying business. Not surprisingly, company's that consistently raise their dividends year after year have historically been some of the best performing stocks in the market. That is one reason why the list of dividend aristocrats is so popular. [...]
We have all been there. One of our stocks is down over 30% from where we bought it, and we know it is time to make a tough decision – should I sell my stock, or is it time to double down? Alternatively, it can be just as hard to decide what to do [...]
ConocoPhillips (COP) is one of the biggest oil producers in the world and the newest case study regarding the dangers of chasing yield (the stock had a dividend yield of 7.7% as of yesterday evening). Despite its $45 billion market cap, $2.4 billion in cash on hand, and single-A credit rating, COP slashed its [...]
V.F. Corporation (VFC) has been in business for more than 115 years and owns some of the most famous consumer apparel brands in the world (e.g. The North Face, Vans, Wrangler, Lee, etc.). Unseasonably warm winter weather, sluggish retail spending, unfavorable currency fluctuations, and several other transient factors have caused this dividend aristocrat to [...]