The secret to long-term returns
The secret to long-term returns is … dividends. That’s the reminder today from Raymond James’ Chief Investment Strategist Jeffrey Saut, who, in a post on the company’s Investment Strategy page, also cautioned market participants not to get too bearish.
Saut notes that, since 1926, dividends have accounted for 4.5% of the market’s average total annualized return of 10.4%. He also cites reasons for possible optimism and offers a tantalizing list of dividend-paying stocks worth considering, several of which I either currently own (Realty Income [[O]]) or have sold puts against (NYSE Euronext [[NYX]], Aflac [[AFL]], and Home Depot [[HD]]) with a possibility of ultimately being put the shares at lower prices at some point.
Saut’s article is also available on Minyanville under the title “Jeff Saut: Making a Case for the Bulls.”
