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

To: inspbudget who wrote (13053)	11/5/2012 4:23:03 PM
From: Bocor	Respond to of 34328

Would you share your opinion of why this is happening? Might I suggest the following: The top tax rate on capital gains and dividends is currently 15%; these rates are scheduled to rise on Jan. 1, when the Bush-era tax rates expire. The rate on capital gains will return to 20%, while the rates on dividends and wages and salaries will climb to 39.6%, unless the White House and Congress strike a deal to change the law. Maybe gridlock anticipation?

To: inspbudget who wrote (13053)	11/5/2012 5:04:16 PM
From: upanddown	Respond to of 34328

Very recent weakness could also be due to concern about the costs of Sandy.

To: inspbudget who wrote (13053)

11/5/2012 6:08:40 PM

From: Steve Felix

Respond to of 34328

I believe not just utilities, but most dividend stocks have been on a great run.

Over five years XLU return is 2.19% annually versus .44% for SPY.

Sandy, warm weather, overall less use, etc. could be helping too.

I'm not a big believer that dividend stocks will sell off because of the pending tax change. Many, like me have
these stocks in tax shielded accounts. I have however quit keeping track of how many times I am wrong. :)

iShares Dow Jones Select Dividend Index (DVY)

Year to Date Return (Mkt):	10.28%
1-Year Total Return (Mkt):	23.94%
3-Year Total Return (Mkt):	15.99%

SPDR S&P 500 (SPY)

Year to Date Return (Mkt):	16.43%
1-Year Total Return (Mkt):	29.95%
3-Year Total Return (Mkt):	13.14%

Utilities Select Sector SPDR (XLU)

Year to Date Return (Mkt):	4.11%
1-Year Total Return (Mkt):	12.67%
3-Year Total Return (Mkt):	11.96%

Vanguard High Dividend Yield Indx ETF (VYM)

Year to Date Return (Mkt):	13.90%
1-Year Total Return (Mkt):	28.60%
3-Year Total Return (Mkt):	14.49%