Unbelievable. Un-frigging-believable. People will actually pay you (yes, you) to own shares in their company. Crazy, hunh?!
It's surprising more people don't take advantage of dividend investing. There are high quality companies out there that are not only undervalued but also produce a wicked yield.
2008 was an extremely difficult time for the housing industry. The bottom had fallen out of the market. Subprime mortgages were the scourge of the nation and the metaphorical sky was falling.
With this onslaught of terrible news, the stock prices of everything and anything dropped hard, but in particular, anything within a stone's throw of housing dropped further and faster.
The tech industry has come under fire recently due to a string of IPOs. Companies such as Groupon, Zynga and now Facebook are IPOing with billion dollar floats and many are calling it signs of a bubble. It's almost every week now that we're hearing about startup x and startup y raising at hundred million dollar plus valuations with minimal revenue.
There are two certainties in life: death and taxes. But, there's another that gets 99% of the way there: Humans will always have vices. They will pay to maintain those vices in good times and bad and that makes companies that feed on human vices potentially great investments.
In his 1994 shareholder letter, Warren Buffett extols the phenomenal performance of Scott Fetzer: it earned an extraordinary return on equity without the benefit of a monopolistic position, leverage or strong cyclical tail winds. Scott Fetzer's return on equity – had it been included in the 1993 Fortune 500 – would have earned it a number 4 ranking.