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Strategies & Market Trends : Dividend investing for retirement -- Ignore unavailable to you. Want to Upgrade?

To: Grommit who wrote (9428)	7/14/2011 10:31:41 AM
From: chowder	Respond to of 34328

I understand what you are saying now. I was confused at first, but I agree with your valuation statements, now that I understand what it is you meant. Where we differ is that you would sell when something became overvalued where I will continue to hold for the income stream. Your method is described in the book, "Dividends Still Don't Lie."

To: Grommit who wrote (9428)	7/14/2011 4:56:05 PM
From: Steve Felix	6 Recommendations Respond to of 34328

Sorry Grommit, maybe I took it wrong. My dog is being operated on. Maybe I am on edge. Heck maybe I should be on the table. It looked like: here is what I posted, here is what you said, I was right, you were wrong. From your post: "You thumb your nose at valuation saying that increasing dividends is all that is important, and that capital gains are for others." From this, I couldn't figure out if the point was that we should all be value investors, or that we have to make capital gains our #1 priority, or both. I had three points. .... One stock means .... nada This is my own personal pet peeve problem. .... Value is in the eye of the beholder at the time, and only truly known in hindsight, regardless of the face put on it Hardcore value investors probably gritting their teeth on that line. The market weighs all, and at this point in time shows that the AAPL investor was right on future value over this time frame. That it didn't fit some criteria, numbers, black box, no matter, the market has spoken. SVU was an Aristocrat until the day they cut. Not only had many value investors bought it, they added on the way down. Regardless of all the numbers quoted at the time, it wasn't a value at half its former high. Because it was included on a quality list did not make it a quality stock. Odds are a monkey with the Achievers list and a dart did better than all the numbers crunchers that thought it a value. Maybe even if he hit the one with the highest PE at the time. Hindsight is 20/20. Every stock is bought for some form of value or another, but not necessarily todays metrics. I know Miller makes a comment akin to: when was the last time you heard anyone say they were buying overvalued stocks? You are a value investor, hence your reit post. Investors of the same mind should pay attention to what you say imho. From what I have seen you do better "homework" than most. .... You don't have to measure your investing life by capital gains I own lots of O. I bought it for the yield and increasing dividend. I don't figure to ever sell it as long as things continue as they have been. Even sellers remorse on the small amount I sold because I am overweight. You would sell it here and buy something else. Nothing wrong with that. Do what you feel is in your best interest, makes you happy, gives you peace of mind. I don't want to try and sell O at a high and buy it back at a low. I don't want to check into other reits to find a better replacement "value". I want to collect the dividend every month and watch it rise. In a perfect world, I can "almost" ignore it forever, and it just keeps on keeping on. To be satisfied with that is foreign to the majority. I don't want my world to revolve around how I can make my portfolio bigger. I don't want to spend gobs of time deciding which stock I should switch into. The best thing about my recent trip to France was the realization that I didn't feel the need to check my portfolio for almost ten days and I was comfortable with that. When trading last spring a bathroom break was an eternity. Increased my taxable portfolio size, but not worth it to me at anywhere near that level. My own goal is to get further away from the market, not closer. In all seriousness, I find it almost comical that some people just can't understand those of us that don't take the value of our portfolios as the holy grail of our investing world. Figuring that it will take care of itself is just too "out there" for many. It is almost like a religion. A person can't possibly be satisfied if their main objective isn't trying to increase the value of their portfolio!! Blasphemy!! Burn the witches at the stake. lol!!!!!!!!! If anyone can explain why that bothers people so, please do.