Author Archive: Brett Owens

Let’s face it: brands are dead—and that’s terrible news for the 4 household names (and their landlords) we need to talk about today.

Research from Scott Galloway, founder of digital-research firm L2, tells the tale.

Galloway looked at the 13 S&P 500 stocks that have beaten the market for five straight years and found something shocking: just one, Under Armour (UA), is a consumer brand.

And as Galloway points out, there’s no way UA will keep that run going.

UA: The Last Brand Standing—for Now

The other 12 names on the list are mostly innovators that have sliced into old-school businesses and flipped them on their heads—think Facebook (FB), Salesforce.com… Read more

The stock market may be expensive today, but there are still bargains available in the REIT (real estate investment trust) world. Thanks to political, interest rate and even Amazon (AMZN) worries, you can add 7%+ real estate yields to your portfolio from the convenience of your brokerage account.

That said, there’s no reason to pay top dollar for REITs – not now, not ever. Today we’ll highlight three expensive REITs to avoid, and lead you toward some of the best bargains in the sector.

Price matters. Consider General Electric (GE), which has been a merely OK performer over the past few years, but has really punished investors who buy in during valuation peaks.… Read more

Junk bonds can be a great source of retirement income, or a terrible idea altogether. It depends what you buy, and really, which managers and vehicles you entrust to find value in the bargain bin.

There’s a right way to do it, and a wrong way. Let’s start with the latter, led by the popular iShares iBoxx $ High Yield Corporate Bond ETF (HYG) and SPDR Barclays High Yield Bond ETF (JNK) – the two largest junk bond exchange-traded funds (ETFs), and both top-10 fixed-income ETFs by assets under management.

You and I can do better than these dumb ETFs. They are popular thanks to their low fees.… Read more

Many retirement experts pitch real estate as the best way to bank monthly income. But do you really want to chase down rent checks and fix broken light bulbs?

I don’t. And I imagine, since you’re reading this, that you prefer your passive income to actually be passive as well.

Fortunately there’s an easier, and better, way to invest in real estate without actually playing the role of landlord. From the convenience of our brokerage accounts, we can buy real estate investment trusts (REITs) and collect truly passive income of 7%, 8% or better.

How to Collect 7%+ Rent Checks Without Playing Landlord

REITs trade like stocks, which means buying them is as easy as punching in a ticker symbol.… Read more

If you put your portfolio on autopilot over the summer, you need to dial back in yesterday.

Because you’ll need a sharp eye and a quick hand to dodge two pitfalls that could swamp regular folks now—this month!—and in the long run.

For the first one, look no further than the calendar.

I’m talking about seasonality, and the fact that September is typically the worst month for stocks.

The truth is, the market’s steady grind higher has stalled: through the first 5 trading days (and with 15 more to go), the Dow is off 0.8% and the S&P 500 is down 0.4%.… Read more

A bull market that’s already long in the tooth is staring political and even natural headwinds right in the eyes. Valuations are stretched. And even some of Wall Street’s biggest names – three of which I’ll warn you about today – are increasingly looking vulnerable to massive pullbacks should the market buckle under pressure.

(I’ll also give you seven dividend growers with 100%+ upside to buy instead later on.)

Mother Nature is pulling the emergency brake on Hurricane Harvey, which hovered over Texas for days, delivered what some experts estimate is between $150 billion and $180 billion in damages. One estimate of $190 billion would translate into a -1% hit to the U.S.… Read more

Business development companies (BDCs) are dividend powerhouses that typically yield anywhere from high single digits to low double digits. And in fact, the group of three BDCs I’m going to show you today each throws off a yield of more than 10%!

But most investors – even income-seeking folks – aren’t familiar with them. If that includes you, or you’re just looking for safe 10% yields or better, read on.

BDCs were created in the 1980s by the U.S. government to help small- and midsize businesses finance their growth – via debt, equity and other financing. And by doing so, they also help create American jobs.… Read more

These shareholder-spoiling stocks regularly double or triple their investors’ money. They’re a bit underappreciated, but not often on sale – unless you buy them this time of year.

And on cue, right now they’re as cheap as they’ve been in 12 months.

If insurance is a great business, then reinsurance is a fantastic one. (Reinsurance is insurance purchased by insurance companies to manage their own risk exposure.)

Insurance itself, when done responsibly, is a cash cow. Firms collect payments up front from their customers but may not have to pay it out in claims for a long time, if ever. The companies then invest that money – called “float” – and pocket the income they earn.… Read more

Don’t let the pundits deceive you. Despite their endless bleating about an overheated market and an imminent crash, now is a great time to buy.

But you need to look beyond the breathless reporting about the S&P 500’s daily push higher—or its ratchet-tight P/E ratio.

Because the real winning stocks are cloaked behind something most folks don’t pay nearly enough attention to: dividends—particularly dividend growth!

Let me explain.

Dividends Are Great Again

A quietly released report from investment manager Janus Henderson Group (JHG) tells the tale—and it’s a happy one for American investors.

According to Janus, global dividends jumped 5.4% year-over-year in the second quarter.… Read more

Dividends or growth? Why choose when you can have both.

Take these firms with broad business moats and sustainable competitive advantages. They’ve showered their shareholders with raises over the past five years, delivering dividend growth from 100% to 1000% or better!

High Growth Dividends…

Yet these stocks still have modest current yields. Why? Because their share prices have soared along with their payouts:

… Power High Growth Stock Prices!

Everyone loves the dividend, but as you can see, investors usually don’t give enough love to the dividend hike. Not only do these raises increase the yield on your initial capital, but also they often are reflected in a price increase for the stock.… Read more