Here we go again. Well, not again like 2008, but likely a run of the mill correction that will see stock price declines between the current 10% to perhaps 15% or 20%. As we know, stock markets don’t like uncertainty and with events like those in Hong Kong, Ebola and fears of global growth slowing, markets have taken a much needed breather.
If you are anxious over fluctuating stock prices, we encourage you to take 5 minutes to watch this video: http://www.youtube.com/watch?v=NkjYURLoNc8
Although designed as an Introduction to Dividend Investing for our new clients, it is a healthy reminder that buying quality dividend paying companies at good prices is the key to successful investing.
The Canadian Bank example in this video was trading at $83 per share just a couple of months ago. At that time the dividend payout was 71 cents/share. It is now trading at $76 and the dividend is 75 cents! Considering the predictability of Canadian Bank earnings it sounds like a good deal to us.
If you have any questions about your individual portfolio, please do not hesitate to contact us.