It was reported by Reuters on August 7th, Blackrock expects big data to jumpstart stock-picking business. Blackrock is a large financial company with about $4 trillion assets under administration including its popular index shares. It is very large player and recently offer some alternative financing to oil services companies. The article in Reuters written by Jessica Toonkel is how to use big data. The CEO believes this data can revive his firm’s ailing stock picking business. Big data is the ability to gather great amounts of data to find the key to determining what the possible future will be. For example, a classic example is on Black Friday and leading up to Christmas are the shopping mall parking lots full – satellites can tell you (the Christmas season is the most profitable time for retailers). Big data allows to garner as much information as needed to determine what the buyers will tend to do or should be doing.

Linking to dividend paying stocks, there never is a guarantee the more data you know the big the decision making process. If you are a retail investor, one that has less than trillions or billions or millions, sometimes too much data means it is hard to make a decision. The simple question is the company profitable and can it stay that way for a long time should lead you to your investment choices. Profitable companies can and do pay dividends, unprofitable ones do not. Profitable companies stock price will move up to and above the average EPS or earnings per share. Start with the simple and you will lose less money and with a dividend you will make money over the long term.

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