Dividends and Good Cleaning

Similar to many people, the writer spent some of the time cleaning during the holidays. If you have fewer errands or work, there is always cleaning to do. On cloudy days, cleaning is easier, but when the sun shines – the light exposes all the areas that were not done as well as you might think it was cleaned. This results tends to be cleaning takes longer. In a similar vein, there is a old joke stating a man was looking for his wallet and someone offered to help. After searching for a while, the person who offered assistance suggested the man retrace his steps, so they could narrow down the area. The man said oh, I lost my wallet over there. The other person said, why are you looking here, when you should be looking over there? the man says the light is better in this area.

Linking to dividend paying stocks – in the short term, lots of stocks offer great promise and some with live up to the promise. The problem is no one knows which stocks will do the best. If you buy dividend paying stocks that have a consistency of raising their dividend, those stocks will tend to outperform the stock market average. The stocks tend to outperform the average because profitability is reflected in a higher stock price and with a dividend, the companies will have a minimum price so the lows or potential losses will be minimized. If not losing money is half the battle, you are a good position to do well over the long term.

There are more questions than answers, till the next time to raising questions

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