We’ll try to round up some scary things in the market for our column in two weeks, just in time for Halloween. In the interim, let’s go back to some more basic investment rules and guidelines that all investors should pay attention to.
There is never just ONE dividend cut
When a company’s fortunes change enough to require a cut in the dividend, the board of directors — almost always — makes the first cut smaller than it should be. They want to be positive, they do not want to sound an alarm, they “hope” for a recovery. Read More…
Yup i’ve been the unfortunate recipient of the games companies play when its time for dividend cuts. Don’t want to name names but when it comes you can always expect further cuts down the road. Part of the routine.
From my two decades of trading i can say the best advice i can give is to do due diligence in what you want and keep a watchful eye on news that might affect your positions. And diversify as much as possible. This will help reduce the losses in some areas when other areas are doing well. It’s a tried and true affective way to gain in the long term.
Does anyone know if our parliament (specifically, the senate) can legally do inside trading? I was reading that in the US their Congress people have total legal right to get inside information and then use it to invest in stocks.
For stock decline the article fails to mention that one shouldn’t just drop a stock because he/she see’s a decline but when doing research understand why its dropping so much. There are cases where a stock might drop sharply due to acquisitions.
Of course, you don’t want another Nortel or Concordia on your hands but one should make sure to research first.
Safe to say the real estate market here in Canada is in a bubble.