Dividends... made popular by the baby boomer demographic. The same demographic that'll be selling stocks to live as the as their pensions fall short. Those boomers are going to cause the most problems for a recovery in the stock market for sure.
They are also the same corporates that have indebted themselves to the hilt. An absolute cluster £$£@ of a storm is brewing and it'll be driven by a pension crisis, mark my words.
“There are around 76 million baby boomers about to retire and are doing so with insufficient savings. In addition, institutional investors such as pension plans, foundations and endowments are increasingly looking for dividend strategies to generate more income from their investments. It is already clear companies are beginning to respond to this: Microsoft, for example, recently increased its dividend by 25%. But it’s not just the giants doing this: we’re beginning to see similar moves across the board.”
) but true diversification means spreading your investments across different (ie. uncorrelated) asset classes.
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