Investing in dividend-paying stocks is an important strategy for success with investment in equities. Stocks that not only pay dividends but also increase them consistently over time are even better for long-term investment. Picking and holding dividend growers and reinvesting dividends automatically can generate excellent total returns if held over a decade or more. I …

Continue reading ‘The Power of Reinvested Dividends: McDonald’s Example’ »

Success with investing in equities depends on many factors such as market conditions, quality of stocks held, dividend reinvestment, buying when stocks are super cheap, holding for the long-term, etc. Of all these factors one of the most important is the ability to identify and avoid common behavioral finance mistakes. Sometimes simply making wise behavioral …

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Value stocks have outperformed growth stocks so far this year. Value stocks are generally considered “cheap” and are good value for the money. Hence as the US economy is in recovery mode value stocks have roared back from the depths of last year’s pandemic nightmare. While there hundreds of value stocks in the US market, …

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The multi-billion dollar luxury goods business is dominated by European companies. Luxury makers survived the pandemic last year better than other retailers and are emerging stronger this year. While in the past developed countries mostly were the market for luxury products that is no longer the case. China and other emerging markets are a huge …

Continue reading ‘A Review of the Biggest Four Publicly Traded European Luxury Companies’ »

Dividends are important factor to consider to boost return with equity investments. I have written many times before in this blog that dividends provide a cushion to a well-diversified portfolio during adverse market conditions and help increase the total return of an investment. To put it another way, buying dividend-paying stocks and then reinvesting the …

Continue reading ‘S&P 500 Total Return vs. Price Return: Chart’ »