KO worst day in years

[maxinger]

It gapped down alot.

There are investors who, before major news announcement, reduce their position to minimise risk. But you might also miss the tremendous opportunity.

 

[ET180]

I named 16 of the Bluest of the Blue Chips.
You named Disney.
Which one of us is cherry picking?

Also, I said “5,10,15,20 years” to show that since the Dividend investing strategy became a widely followed “thing” it has underperformed miserably.

Congrats on your DIS stock.
Good to hear stories like that.

I picked DIS because that's the stock that I was given. And it doesn't pay a very high dividend, 1.6%, that's not much for a blue chip. And most of the price appreciation happened since 2009 or 2011. Point is if you reinvest those dividends over a long period of time, you'll do great even if the price doesn't appreciate like Disney did. Or take an index. Apply dividend reinvestment to the S&P500. Sure, there will be stocks with no dividend that vastly outperform like Amazon, Facebook, or previously Google, but good luck finding them.

 

[nooby_mcnoob]

I think the original poster got smacked down sufficiently. Good thread.

 

[Wide Tailz]

Down but not out.
Long term up trend, lying on the floor of its channel and the nearest horizontal support.
Buy the dip?

 

[tsznecki]

@Clubber Lang I'm with you on leaning more towards cap gains, some people just aren't like that though. They want the dividend income, and so buy a pseudo bond. You are perhaps being too negative on cashflow from capital vs growth of capital.

 

[Nobert]

Down but not out.
Long term up trend, lying on the floor of its channel and the nearest horizontal support.
Buy the dip?

44.5 would be a nice entry , not the best tho (?)

 

[Clubber Lang]

I think the original poster got smacked down sufficiently. Good thread.

Said the guy who doesn’t even know the 16 Blue Chip Dividend companies I named.
Good luck with your 20 year GE long.
All it has to do is double from here and you’ll be close to break even!

 

[nooby_mcnoob]

Said the guy who doesn’t even know the 16 Blue Chip Dividend companies I named.
Good luck with your 20 year GE long.
All it has to do is double from here and you’ll be close to break even!

You're either born retarded or wilfully retarded. Why would any investor not rebalance?

 

[Nobert]

Good luck with your 20 year GE long.

lol

( im not supportin anyone here, just made me laugh )

 

[frostengine]

Yes very serious.
How did a “Blue Chip” dividend portfolio of KO, GE, IBM, GM, F, C, JPM, BAC, AIG, WFC, MO, PM, PFE, XOM, VZ, T, Etc etc do over the last 5, 10, 15, 20 years?

And that’s not even counting the many “great dividend” companies that went BK in 07-08

Enjoy those “juicy” dividends while the stocks went nowhere in the longest bull run in history.

Here is the answer to your question. I created a portfolio from 1/1/2008 until now using the portfolio you outlined. I started with a roughly equal distribution among those stocks. Each year, I used the dividends that were paid out to buy whichever stock from the group had the biggest losses. As you can see, it did slightly underperform the market. However, as far as dividend portfolios go, this portfolio is a bit unbalanced. You don't have any REITS, Utilities, and only a little bit of energy.

This screenshot and backtest was generated using: https://www.smarterdividends.com