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Rising Interest Rate Risk For Big Dividends, Sector By Sector

Posted: May 31, 2013 at 2:22 pm

The bull market appears to still be alive and well for equities, but the risk of rising interest rates is plaguing bonds and investments tied to big dividends. What equity ...
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Rising Interest Rates Bring New Risks to Utility Dividend Investors

Posted: May 28, 2013 at 12:59 pm

Utility investors have been able to enjoy a true safe haven when it comes to collecting high-yield dividends and above-market dividend yields for years now. That may be coming to ...
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Evaluating the Dividend and Tax Selling in Utilities, Closer to Attractive with Patience

Posted: November 14, 2012 at 10:00 am

The utility sector has suffered the wrath of selling. As these are all high-dividend stocks and as many long-term investors had substantial capital gains, the investment community has been selling ...
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2012 Election Winners and Losers: Coal, Dividends, Health Care, Utilities, Oil and More

Posted: November 7, 2012 at 8:10 am

Election Day has come and gone. President Obama won a second term. The current electoral vote was by a margin of about 3 to 2 (unofficial), but the percentage last ...
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Election Day Rally… Risk-On or Inflation Trade?

Posted: November 6, 2012 at 12:29 pm

On the day that the Presidential election is happening, investors are throwing money into the inflation winners. The problem is that maybe this is not an inflation trade. Maybe it ...
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Twelve Major Dividend Hikes Expected Before the End of 2012

Posted: August 21, 2012 at 8:08 am

Most investors have discovered that earning less than 1% per year in short-term Treasuries or even less than 2% out in the 10-year Treasury is no fun. Longer-dated Treasury bonds also ...
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More Evidence of the Dividend Bubble, Utilities Looking Scarier

Posted: July 25, 2012 at 2:38 pm

By now you know that we have started to become cautious on some of the top dividend stocks.  It is not that we think anything is wrong at the companies, ...
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Dividend Risks Inflating

Posted: July 17, 2012 at 6:30 am

Investors cannot make any money in the bond market right now merely by buying and holding Treasury bonds forever. The problem is that Treasury yields are at record lows. In ...
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Utilities Have Become The New CDs and Bonds For Income Investors

Posted: June 4, 2012 at 1:50 pm

We are mostly in a world where many investors are now just willing to settle for a "return of capital" rather than a "return on capital."  Still, retirees and investors ...
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Investors Finding Safety Again in Utilities, When Dividends Rule (WTR, AWK, PPL, DUK, ED, NEE, AEP, XLU)

Posted: June 1, 2012 at 10:08 am

By now the markets figured out that all of this week's preliminary jobs numbers did in fact call it right that the unemployment and jobs report was right.  So investors ...
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Investors Flocking To Defensive Shares With High Dividends (PEP, KO, BUD, TAP, AWK, AEP, XLU, MCD, KFT, CAG, CPB, HRL, MO, VGR, RAI, PG, KMB, CL, MRK, PFE, JNJ, T, VZ)

Posted: May 31, 2012 at 11:13 am

The 10-year Treasury hit yet another record low under 1.6% today and stocks are in the tank again due to poor economic data.  Europe continues to face a meltdown and ...
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The Best Value High-Yield and High-Return Utilities (XLU, EXC, ETR, AEP, PEG)

Posted: April 18, 2012 at 6:35 am

The utility sector has been a rather poor performer so far in 2012, as investors have sought growth and less dependence on high payouts, and higher dividend taxes could be ...
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Chasing High Dividends: Utilities Approaching Bargain Territory (AEP, EXC, CEG, PEG, XLU)

Posted: February 27, 2012 at 3:33 pm

2011 was the year of the utility stocks offering investors high dividend yields of well over 4.0%.  2012 has not gone so well for the sector, with 25 of the 34 ...
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Solar Tries For Significant 2012 Comeback (FSLR, WFR, TAN, KWT, SPWR, STP, YGE, LDK, ENER, XLU)

Posted: January 11, 2012 at 1:12 pm

So far we are seeing a continued rotation. What worked great in 2011 is being sold and the worst performing groups are being bought.  No sector with as many names ...
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The 2012 Trade: Dump Utilities, Buy Banks… So Far (XLU, XLF, BAC, JPM, AEP, DUK)

Posted: January 11, 2012 at 9:22 am

The trade in 2011 was to go out and turn utility stocks into the new investment for retirees seeking income.  They couldn't exactly get any big yield in certificates of ...
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