Get Paid To Trade With Dividends
Investment U (September 25th, 2009) Writes:
Get Paid To Trade With Dividends
by Ryan Cole, Investment U Research
According to Wharton finance professor Jeremy Seigel, one of the more respected minds in economics, 97% of stock market gains come from one thing and one thing only.
Most people immediately assume one of three answers, but don’t fall to the same misconceptions that the masses do. Contrary to what you may think, the vast majority of stock market gains do not come from:
Capital Appreciation – The occasional home run aside, stock prices tend to even out over time, at only a little better rate than inflation. M&A activity – Most investors won’t see takeovers or mergers make any real difference in their overall portfolio. IPOs – Though IPOs do represent some of the largest single-day moves, the underlying stocks usually settle down into normal trading patterns fairly quickly.Instead, 97% of all the gains the
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