Good one, Mr. Blair! Even a single investor is not constrained to have one strategy. I am happy to hold PEY, WCP and PPL for dividends, other names for capital appreciation. Those dividends allow me to redeploy cash on a regular basis in whatever opportunity is most interesting. When no dividend is paid, there is an incentive to trad…
Good one, Mr. Blair! Even a single investor is not constrained to have one strategy. I am happy to hold PEY, WCP and PPL for dividends, other names for capital appreciation. Those dividends allow me to redeploy cash on a regular basis in whatever opportunity is most interesting. When no dividend is paid, there is an incentive to trade the stock and there are volatile names that lend themselves to that, too. Broadly speaking, that may be part of corporate strategy, but the main focus should be on performance of the business, not the stock.
Good one, Mr. Blair! Even a single investor is not constrained to have one strategy. I am happy to hold PEY, WCP and PPL for dividends, other names for capital appreciation. Those dividends allow me to redeploy cash on a regular basis in whatever opportunity is most interesting. When no dividend is paid, there is an incentive to trade the stock and there are volatile names that lend themselves to that, too. Broadly speaking, that may be part of corporate strategy, but the main focus should be on performance of the business, not the stock.