Dividends and Michelangelo

In the Renaissance, great artists flocked to Florence because at the time – artist worked when they were commissioned. One of the great ones was Michelangelo and the biggest patrons were the Pope or the Catholic Church and wealthy families – kings, prices or merchant kings. Each of the groups had people finding the great talents to bring glory to their holdings. One of the great talents is Michelangelo. In the book Michelangelo a biography George Bull published by St. Martin’s Press, NY, 1995 brings him to life in the times he lived. Michelangelo Buonarroti worked in sculpture, fresco painting and architecture and worked in what is known as the Italian Renaissance. One way to look at the The Renaissance or rebirth is the man’s relationship to God. In the past, it was well below, the Renaissance brought man closer to God. This is seen in paintings where perspective or images of 3d were seen in the paintings. At the same time – in science people are looking inside man to see how he is put together and that comes across in the paintings and sculpture.

In terms of commissions, the artists would be summoned by various individuals to bring glory to their name and what they have accomplished. The art was then seen by the people of the city and enhanced the profile of the patron. Similar to getting paid, sometimes the patrons were flushed with cash, sometimes they were not and payment was slower. Besides doing art, the artists had to negotiate with the patrons for payment on a regular basis.

Linking to dividend paying stocks, for these companies there is no negotiation – they either pay or they do not. The announcements will be given in advance because of the rules of the stock exchange. If the company reduces or stops its payments, in all likelihood there should have been many warning signs regarding to the method in which the company makes a profit. By paying attention to the business model, there should be limited surprises.

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