The $137 billion in cash that Apple currently has sitting on its balance sheet exceeds the entire market values of technology peers Cisco and Intel, prompting investors to consider anew how Apple should invest this stockpile or otherwise return it to shareholders. While opinion is divided, most think investors would be best served if Apple returned excess cash to shareholders in the form of dividends or share repurchases. Read more
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President Barack Obama swept to victory on Tuesday, securing four more years in the White House. Now what? What does the outcome mean for taxable investors and what should you and your clients be thinking about between now and the end of the year? Read more
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As the third quarter came to a close, we suggested that the prevailing bullish stock market sentiment may fade as earnings were reported. Well, corporate earnings have taken center stage in recent weeks and generally disappointing results and lowered guidance have, in fact, prompted equity investors to head for the exits. Further constraining risk appetites are the looming fiscal cliff in the US, recession in Europe, and continued uncertainty in Asia Pacific. US equity investors can also be expected to stay on edge through the upcoming presidential election. Read more
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Lauren Foster her shares top picks for the most interesting recent articles, radio shows, and video clips. Read more
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Topping the list of the most popular articles from the past month is another entry in our series on lie detection for investment professionals. Other top performers include articles on counterfactual thinking and the Manchester United IPO. Read more
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Investors clamor for income, but receiving it through dividends may be riskier than you think. A number of well-respected money managers have recommended dividend-paying stocks as a smart way to invest in equity markets. Dividends pad returns, cushion downside risk, … Read more
Leave a CommentNo, not the golf kind; those are “divots.” “DIVUTS” is an mnemonic device that CFA Program candidates use to memorize the different things that can affect the price of options. It stands for: Dividends Interest rates Volatility Underlying stock price … Read more
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Well-known blogger Joshua Brown, a.k.a The Reformed Broker, recently offered five reasons why Americans are fleeing the stock market. While he makes some sound points, he neglected to account for one key factor affecting stock market performance in the last few decades: the bubble in demand for equities created by Baby Boomers. Read more
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Today’s historically low interest rates and investors’ flight to safety have combined to raise interest in dividend-paying stocks. And while studies of the efficacy of dividend-investing strategies have been mixed, dividend investing remains a popular strategy. As such, it only seems appropriate to revisit an investing classic that first provided investors with a theoretical framework for determining the intrinsic value of stocks based on their dividends: John Burr Williams’s The Theory of Investment Value. Read more
Leave a CommentWe’ve all heard about the mountains of cash that are just sitting on corporate America’s balance sheet, stashed away in bank accounts overseas earning next to nothing in interest. What should companies do with all that cash they have on … Read more
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