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Strategies & Market Trends : Dividend investing for retirement

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From: Tapcon5/24/2011 3:49:59 PM
1 Recommendation  Read Replies (3) of 34328
 
I've been following this thread with interest for the last several months.

One of the points made several times by dividend/value investors is not to pay too much to take on an initial position in these Dividend Champions/Aristocrats/etc.

When I look at most of the suggested names that should be in any "Dividend Investing for Retirement" portfolios, most of them have had a very good run in the past 6 months or so. While auto-reinvesting may help in building a good average purchase price over time, I've been hesitant about buying VZ, T, CTL, JNJ, etc because of the runs they've all had. (actually I do have some of these, but got in kind of late into JNJ.)

So I have been looking at shipping sector, which is very beaten down. I don't know of any that are Div Champions in that sector tho. NAT has been a good payer in the past. DSX supposedly has a fortress balance sheet, but suspended dividends during the meltdown.

Uranium producers got pummeled after tsunami; solar sector also getting creamed, but nothing there is paying a reliable dividend.

So I guess it would be nice to find solid dividend payers in sectors that are currently beaten down. Maybe there is a "Dogs of the Dividend Aristocrats" list out there that has a similar strategy as the Dogs of the Dow theory -- choosing the Best dividend payers in the group and throwing them out when the capital gains have reduced their yield, and hence, relative attractiveness?
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