Dividend stocks are often thought of as income instruments, and they certainly can be. Many retired investors derive a significant portion of their income from dividends, and there are lots of stocks with excellent track records of consistent dividend payments over decades. However, dividend stocks can also be excellent compounding instruments, especially for investors who still have many years until…
If nothing else, a large stockpile of excess cash tells us that a company literally generates more profit that it can spend, which isn’t exactly a bad sign. And regardless of which path the economy takes, they will be in a better position to respond. Should the financial markets suffer some type of shock, there’s nothing more buoyant than U.S…
Sometimes, it’s better to have a low guaranteed return than it is to take a big risk that might pay off (or might not). That’s the approach more people are taking amid tariffs and geopolitical tensions. Fixed index annuities offer guaranteed returns for their investors. The baseline interest is different for each annuity, but fixed index annuities have the potential…
China oil demand is set to peak two years ahead of schedule. This, according to the International Energy Agency’s (IEA) latest analysis which indicates that China’s oil consumption will top out at 16.9 million barrels per day by 2027. This is actually a big deal as China is the world’s second largest consumer of oil. Of course, random natural disasters…
There’s a potentially major shakeup brewing in the financial tech (fintech) space. Over the past week, both Walmart and Amazon have quietly signaled plans to explore launching their own stablecoins. To make sure we’re all on the same page, a stablecoin is a type of cryptocurrency designed to maintain a consistent value – typically $1 – by holding cash or…
Quantum computing is often considered the next frontier for the tech industry. Unlike traditional computers, which store their data separately in binary bits of zeros and ones, quantum computers can process those bits simultaneously in qubits. That difference allows them to process a lot more data at a faster rate than traditional binary computers. However, quantum computers are also bigger, pricier, and…
For many retirees, the biggest financial challenge isn’t how to grow their nest egg—it’s how to avoid outliving it. That makes the retirement withdrawal strategy just as important as the accumulation phase. Unfortunately, far too many people enter retirement with a vague plan—or worse, no plan at all—about how they’ll draw down their savings. What’s needed is a thoughtful, flexible…
Just because you don’t hear too much about low-priced stocks under $20 on Bloomberg Business, CNBC, or Fox Business, doesn’t mean you should ignore or avoid them. There can be tremendous potential in lower-priced stocks, and neglecting them can cost you. High-quality stocks that happen to be trading at below $20 often fly under the radar of Wall Street and…
Investors often buy growth-oriented stocks in the hope of finding the next big thing. Admittedly, this goal is elusive, and even in the uncommon scenario of a stock being destined for gains of 100-fold or more, such a process typically takes decades. Nonetheless, some of today’s largest stocks, such as Amazon and Netflix, were small-cap stocks at one time. Hence, looking toward smaller stocks can…
Research & development (R&D) is often referred to as the lifeblood of a company. And for good reason. Without enough ideas circulating through the system, even powerful market leaders can wither up and die. By contrast, forward-looking organizations with a culture of innovation typically find ways to elevate their products, engage customers, and generate market-beating returns for shareholders. I classify…