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March, 2017


I was trying to come up with a clever title taking into account the imminence of both the new season and Easter. What I could came up with, about spring cleaning our portfolios, nest eggs hatching with resurrected profits, baskets of sweet yielding assets, or bounties of bunny brought bargains, seemed too awkward and cumbersome. Not wanting to strain any similes or mangle my metaphors, suffice to say, then, that if in the fresh thaws we feel an urge to flow like new sap up investment money trees, here are a few melt-in-your-mouth delicious and colorful goodies with which we might set off to best advantage new bonnets or handsome duds and fill with loot our tax time coffers to boot.

The table cites companies chosen for their lower than average risk, greater than normal profit potential, and atypically generous dividends. Even after three Federal Reserve interest rates hikes over the past year or so, bonds are not yet offering much incentive for purchase. U.S. 30-year Treasuries pay just 3.4% as of this writing (3/17/17), and if one were to wait those three decades to sell, inflation would probably in the interim have left one's purchasing power below its starting value. Not so with the indicated stocks. They and others like them, taken as a group and on a total return basis, are likely to double one's investment about every five years. Yet if it is primarily income one needs, they pay an overall yield of 4% a year. Held long-term, some of these stocks will probably increase their dividends as a percentage of the initial investment. However if desired this strategy is easily renewable. After the portfolio has been held a year or so, assets now providing lower dividends (for instance, because the stocks have gone up in price) can be replaced with new superior dividend stocks that, like these, offer excellent potential, safety, and income.

Novo NordiskNVO$33.732.4%
Phillips 66PSX$78.513.2%
Royal Dutch Shell, Class B sharesRDS/B$53.966.8%
T. Rowe Price GroupTROW$71.183.2%
Teva Pharmaceutical IndustriesTEVA$33.653.5%
Verizon CommunicationsVZ$49.364.7%

If a person is not keen on selecting his or her own securities, parameters of this sort can readily be conveyed to a trusted financial consultant. Just indicate a preference for common stock shares in companies with sound financial security, fatter than usual yield, and competitive growth potential with which to periodically replace those in the portfolio that no longer possess these characteristics.


Larry is not a professional. Don't take him seriously!

Actually, the investment article provided here is for general information only and should not be considered as professional advice, a solicitation to buy or sell any security, or the Word of God. Investors are encouraged to do their own research while considering their personal goals and circumstances, or consult their own professional financial advisors, before making investment decisions. Neither Larry nor LARVALBUG will be liable for any losses sustained by any visitor to this site.

(Disclosure statement: Larry and Val have holdings in some of the suggested assets but do not "make a market" in any of them and do not derive any direct benefit from recommending them, except perhaps for a bit of smug self-satisfaction.)

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