Don't Ignore the Dangerous Side of Dividend Stocks
Conservative investors fleeing low-yield, fixed-income investments have flocked to dividend stocks. But they often ignore just how much more dangerous those stocks can be.
bonds vs stocks
Suddenly, Bonds are Riskier than Stocks
Bonds have outperformed stocks over the last 30-year period, but things are changing and bonds are no longer the safe haven they once were. In fact, bonds already look overvalued, and if rock-bottom interest rates keep moving higher, bond funds could plunge.
If You Haven't Done This Lately, Your Portfolio Is In Danger
2012 was a good year for the stock markets. But if you want to be prepared for the next correction, whenever it comes, there's one easy-to-implement strategy that has helped investors through the bumps and dips more than any other: rebalancing your portfolio.
How to Stop Low Interest Rates From Ruining Your Retirement
Low interest rates have made life a lot easier for many borrowers struggling to make monthly payments. But for retirees, who have to live off their portfolios, low rates have caused huge problems.
Striking a Balance Between Stocks' Profits and Bonds' Safety
With stock markets rallying lately, cautious investors are looking to get some profits from equities while keeping conservative portfolios. Mark Caner, president of W&S Financial Group Distributors, discusses a new variable annuity product that aims to do exactly that.
Why Investors Should Pay No Heed to Bill Gross's 'New Normal'
Bill Gross, the leading proponent of the "New Normal" -- the idea that stocks will return just 3% a year for the foreseeable future -- has been wrong over and over again. So why does anyone pay attention to his predictions?
As Sentiment Shifts, Pension Funds Could Turn to Stocks
Now, even over-the-top bears like bond giant Pimco are doing a bullish about-face, and that makes it tougher for fund managers to keep avoiding the stock market. If they start returning to a historical stock allocation, that could further boost equity prices.
How the Bear Market Pundits Got It Wrong
The S&P 500 has rebounded 20% since its July 2010 low, which comes as bad news to perma-bears like Nouriel Roubini, Gary Shilling and Bill Gross, all of whom predicted the opposite. This raises several questions about how stocks move, and why pundits say the things they do.
Stocks Are Becoming the Only Game in Town
Equities have finally put up decent-enough returns on the year to make the paltry yields on bonds almost impossible to tolerate. With rates so low now, more and more investors are moving out of fixed income and back into the stock market. [Video]
What's Reviving Investors' Hunger for Stocks
The far-sighted ones are looking beyond the election and Fed and seeing a robust global manufacturing rebound and impressive corporate earnings. These strong fundamentals are finally overcoming risk aversion -- and could set the stage for an equity rally.
The New Allure
of Emerging-Market Debt
Yields on emerging-market debt funds and ETFs are certainly enticing these days, especially compared to U.S. Treasurys. Also attractive are the added benefits of portfolio diversification and currency appreciation. But the risks can't be overlooked.
Buffett Touts Stocks, Warns Against Buying Bonds
Berkshire Hathaway CEO Warren Buffett said stock prices are likely to rise faster than bond prices, but that many investors are making the mistake of choosing to buy bonds due to a lack of confidence in the U.S. economy, CNBC reported.
Stocking Up: U.S. Interest Rates Rise Alongside Investor Confidence
In a welcome sign of investor confidence in an economic recovery, U.S. interest rates grew for the third day in a row as people moved funds from bonds to stocks. But will higher interest rates slow the housing market?
Hedge Your Risk With Mixed-Asset Mutual Funds
Stocks are underperforming so far in 2010, and Treasury bond yields are low, too. So how can you get good returns without excessive volatility? Standard & Poor's Equity Research suggests mixed-asset mutual funds, which capture the strengths of both stocks and bonds.
Wednesday's Stock Rally Is a Warning to Bond Bulls
Stocks enjoyed a respite from what some see as a bubble in pessimism, and that sudden turn should be unnerving to a fast-growing crowd of individual investors: those who have recently raced into ultrasafe holdings like U.S. government bonds.
Fear Is Rising, but Stocks Are Looking Cheap
Plenty of good news may be getting overlooked in a market gripped by one form anxiety after another. That pervasive fear has investors crowding into government bonds. It could also create a good window to get into undervalued stocks.
Stocks vs. Bonds: What's Better in a Rocky Market?
Interest rates are falling for Treasury bonds, beloved for their safety and steady payout. The stock market is wobbling, and equity prices may fall further if the economy gets weaker. What's an investor supposed to do now?