If the title wasn’t a giveaway we really haven’t had a great summer here in Vancouver, cloudy and cool with the occasional sunny day. This certainly isn’t he kind of weather to curl up in a hammock, and read a good book. It’s no wonder people are going south to soak up some sun
Andrew Hallam in MoneySense
[easyazon-image-link asin=”0470830069″ alt=”Millionaire Teacher: The Nine Rules of Wealth You Should Have Learned in School” src=”http://ecx.images-amazon.com/images/I/41SEzHEVySL.jpg” align=”left” width=”167″ height=”250″]I was delighted to receive my issue of MoneySense Magazine this month, and read the segment they published from Andrew Hallam’s new book Millionaire Teacher. If you don’t subscribe to MoneySense Magazine, I do suggest you go out to the newsstand (in Canada) and get yourself a copy. Andrew is certainly one of the best financial bloggers and writers out there, and he has received praise from other leading financial writers as well. Back in June I had the opportunity to interview Andrew about his new book. If you missed it, be sure to read:
The Dividend Payout Ratio
I was also delighted this month to have my first article in print, published in the July/August 2011 edition of the Canadian MoneySaver. This magazine is an excellent source of information on dividend stocks, ETFs, and tax information for Canadian investors. For more information, visit www.canadianmoneysaver.ca.
The Dividend Payout ratio is one of the most important but overlooked screening criteria for dividend stocks. It’s the first ratio I look at before I purchase any stock, and tells me whether to even consider buying or researching a stock further. My Canadian MoneySaver article is now available to read at the Dividend Ninja:
Canadian Dividend Stocks
If you are looking for more information on Canadian Dividend Stocks, then have a look at the Dividend Stock Analysis page, from the Passive Income Earner. He has the Canadian Banks, Telecoms, and a few Energy companies reviewed. He covers basic metrics such as sales, dividend growth, the dividend payout ratio, and EPS (earnings per share). It’s too bad he doesn’t have all the TSX 60 stocks covered, because it would be a great resource. What I like most about his reviews is that he presents them in an easy-to-read format with charts and diagrams, making them easy to understand.
The Weekly Lineup
- My Own Advisor wrote an exceptional post on why you shouldn’t own mutual funds in: Why I left the Mutual Fund Industry. With low cost alternatives such as Index Funds, Index ETFs, and low brokerage fees to buy stocks, you would think word is getting out. But Canadians continue to pour their hard earned dollars into these high-fee and high-cost products that impact long-term returns.
- Have a look at this fascinating post where Andrew Hallam reveals his friend’s portfolio for all us amateur “experts” to review – in Did My Friend’s Advisor Add Value? It is absolutely amazing what a financial advisor will do in the name of commissions. This is probably one of the most interesting, but dangerous portfolios with respect to both asset allocation and individual securities. Have a read through the post and comments, and see what you think of the portfolio. And the follow-up from the Advisor, and his rational, is even more interesting in Part -2.
- Also a couple of great posts this month by the Canadian Couch Potato on bonds. Investors have been down on bonds for the last three years or so, with record low interest rates, and even dumping bonds to load up on equities. But the Couch Potato reminds us bonds are essential for any portfolio, and why the fears of rising interest rates are not as worrisome as people might expect. Dan’s an expert with this material. Check out, Will Rising Interest Rates Really Clobber Bonds? And most importantly for those dumping their bonds: Holding Your Bond Fund for the Duration.
- I’ve been writing a two part series on funds and ETFs this month, so I was interested in Tim Kiladzes, two articles in the Globe and Mail on Canadian ETFs: Canadian ETFs Are Less Risky and Huge Profits Made on Low Cost ETFs. There is obviously a lot of confusion, and a lot of concern with ETFs these days – especially where the word “derivatives” is being used. It’s getting pretty difficult to look under the hood and know exactly what your ETF or Index Fund is holding. The Canadian Couch Potato also points out that not all index funds hold the securities they invest in: What’s in Your Index Fund?
- Sigma Swan just finished a redesign of his website. It looks great! Check out his new look: blog.sigmaswan.com
If you enjoy receiving the Dividend Ninja in your mailbox, don’t forget to also subscribe to the Dividend Ninja Newsletter (and if you don’t like it – subscribe anyway). Thanks for reading!