The Myth of the Earnings YieldIn American novels, well into the 1950's, one finds protagonists
using the future stream of dividends emanating from their share
holdings to send their kids to college or as collateral. Yet,
dividends seemed to have gone the way of the Hula-Hoop. Few
companies distribute erratic and ever-declining dividends. The
vast majority don't bother. The unfavorable tax treatment of
distributed profits may have been the cause.
The dwindling of dividends has implications which are nothing
short of ... Continue reading ‘’ »
3 Low Risk Options to Earn Up to 7.40% InterestCheckout These New Ways to Earn Top Yields:
1. 4.30% with Rewards Checking
Royal Banks of Missouri is paying 4.30%, but only on deposits up to
$25K. Like other rewards checking offers, in order to qualify for the
4.30% you have to open an account at a {Missouri|local) branch,
complete ten qualifying debit purchases and one ACH transfer EVERY
MONTH - for most of investors that is simply not worth the hassle.
2. Up to 7.4% at Bank Loan Mutual Funds
Some of the best bank loan mutual ... Continue reading ‘’ »
The Oldest Dividend Paying Stocks in America - Part 3In Parts 1-2 of this series we listed the oldest dividend paying stocks in the U.S., and profiled two of them - York Water, (YORW), and DuPont, (DD). In this article we'll profile some additional companies worth looking into. Here are the members of this "Old Timer's Club": LORILLARD - 1760 - Consumer GoodsBANK OF NY ? 1784 - Bank CIGNA - 1792 - Insurance WASHINGTON TRUST - 1800 - Community Bank DUPONT - 1802 - Industrial ... Continue reading ‘’ »
Is Our Money Safe? - Part IIThe return on the bank's equity (ROE) is the net income divided
by its average equity. The return on the bank's assets (ROA) is
its net income divided by its average assets. The (tier 1 or
total) capital divided by the bank's risk weighted assets ' a
measure of the bank's capital adequacy. Most banks follow the
provisions of the Basel Accord as set by the Basel Committee of
Bank Supervision (also known as the G10). This could be
misleading because the Accord is ill equipped to deal with ... Continue reading ‘’ »
Is Our Money Safe? - Part IBanks are institutions where miracles happen regularly. We
rarely entrust our money to anyone but ourselves ' and our
banks. Despite a very chequered history of mismanagement,
corruption, false promises and representations, delusions and
behavioural inconsistency ' banks still succeed to motivate us
to give them our money. Partly it is the feeling that there is
safety in numbers. The fashionable term today is "moral hazard".
The implicit guarantees of the state and of other ... Continue reading ‘’ »
How To Buy Penny StocksPenny stocks are sometimes not listed within the big stock exchanges such as the NY Stock Exchange or the Nasdaq due to the fact that they don't meet the listing needs. When you buy penny stocks know that listed stocks must have a minimum number of stockholders, minimum assets and file financial reports continually. Penny stocks are customarily traded on the OTCBB or on the Pink Sheets. The OTCBB ( OTC Circular Board ) is an electronic quotation system for over-the-counter stocks that are not ... Continue reading ‘’ »
Financial Crises and Global Capital FlowsThe recent upheavals in the world financial markets were quelled
by the immediate intervention of both international financial
institutions such as the IMF and of domestic ones in the
developed countries, such as the Federal Reserve in the USA. The
danger seems to have passed, though recent tremors in South
Korea, Brazil and Taiwan do not augur well. We may face yet
another crisis of the same or a larger magnitude momentarily.
What are the lessons that we can derive from the last crisis ... Continue reading ‘’ »
The Oldest Dividend Paying Stocks in America - Part 2In Part 1 of this series we listed the oldest dividend paying stocks in the U.S. In this article we'll try to sort out which ones have the best history of paying dividends, and, more importantly, which ones might be healthy enough to actually invest in. Here are the "Old Timer's Club" members:LORILLARD - 1760 - Consumer GoodsBANK OF NY ? 1784 - Bank CIGNA - 1792 - Insurance WASHINGTON TRUST - 1800 - Community Bank DUPONT - 1802 - Industrial ... Continue reading ‘’ »