You can bet investors will be phoning their brokers in a week or two when they get their January statements. The phone never rings when the market’s up. And it never ceases to amaze me how quickly investors forget—2008 wasn’t that long ago.
It’s never a good idea to expect the markets to do something for you. Go back to 1965 and the top Billboard single was “Wooly Bully” by Sam the Sham and the Pharoahs. The Dow Jones Industrial Average was trading at 969.
Woolly Bully
Fast forward sixteen years, a good chunk of a retirement for many, to 1981 and “Bette Davis Eyes” by Kim Carnes was at the top of the charts. And the Dow was at 875.
Bette Davis Eyes
Those “boring” investors who invested in dividend paying stocks, with a normalized yield at the time of 4%, lived to fight another day. Those who didn’t were singing the #4 Billboard single (Just Like) Starting Over, by John Lennon.
(Just Like) Starting Over
Investing in dividend paying stocks that consistently kick-off 4% yields isn’t easy. But Young Research’s Retirement Compounders program is doing it
E.J. Smith works with new investors that have $2 million or more to invest. He can be reached at:ejsmith@youngresearch.com
