Companies that grow dividends year-after-year tend to outperform based on total returns those that just pay dividends. One of the reason for this outperformance is due to the effect of compounding. When additional shares are purchased with dividends reinvested every year, over many years the returns are amplified. The following chart illustrates the above theory: …
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Diversification in a portfolio is an important strategy for long-term success. A well-built portfolio should not be concentrated heavily on a single stock or asset class or sector. Rather a portfolio should hold various assets such as growth stocks, dividend stocks, domestic stocks, foreign stocks, commodities, ETFs, closed-end funds, bonds, etc. Holding a diversified group …
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Emerging and Frontier markets are relatively big in terms of factors such as population, land, total number of listed companies, etc. However based on market capitalization of equity markets they account for less than 50% of the global total market capitalization. This is because equities in these markets permanently trade at a discount to equities …
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*** UPDATE: For the latest Dividend Withholding Tax Rates click : Dividend Withholding Tax Rates By Country 2017 When investing in overseas stocks investors have to pay withholding taxes on dividends paid out by a foreign company. Usually this tax is held by the country when dividends are sent out to non-resident investors. US investors can lose a …
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S&P BSE Sensex Index, the benchmark of India’s equity market is down 4.5% year-to-date. Though the index closed at 24, 952 on Friday, in February it went below 23,000. During February, the Sensex was in a bear market having fallen over 23% from the previous peak reached in March 2015. Last month the index fell over 800 points …
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