5 Low-Volatility Stocks to Fade This Falling Market

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In the current environment, with more downside likely to come, one of the best things you and I can do is nothing.

… or at least, next to nothing.

I recently wrote about the virtues of a “no beta” portfolio—basically holding on to cash until it’s time to “back up the truck” at a major market bottom.

But I left the door open—”if you must buy, please promise me you’ll keep it low beta. It’s the next best option to low-beta cash”—and for good reason.

The Case for Low Beta

“Anyone who studies finance learns early on that risk and reward go hand in hand and that with higher expected returns come higher risks.Read more

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Russia’s reckless (and, sadly, increasingly ruthless) invasion of Ukraine has put a spotlight squarely on the commodity markets. Many of them have already taken off to the moon. Crude oil, of course, was the first to hit orbit.

But there’s one hard asset that’s still flying under the radar—at least for now. And this commodity just so happens to be a source of aggressive dividend growth.

Oil, as mentioned, is most of the media’s attention. Not only has “black gold” set the investing world on fire, with the highest crude-oil prices seen in more than 13 years—but Americans are forced to watch that filter down into all-time-high gas prices.… Read more

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The S&P 500 is still levitating, and if you’re like me, you’re starting to feel like this bull run is on borrowed time.

It’s understandable. The economy is just now stumbling to its feet, yet interest rates are already creeping higher. I think you’ll agree that we need higher borrowing costs like we need a hole in the head!

Treasury Rates Bust Through the 1% Barrier

Sure, 1.2% is a historically low number, but bear in mind 1% is an important psychological barrier, and we’re already well beyond that—and once rates broke through it, you can see how quickly they took off.… Read more

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Stocks are up, the economy is in shambles and lockdowns are making a comeback. But people are also being vaccinated as I write this, just 12 months after we learned that COVID-19 was even a thing.

How do we invest through this transitional market? I’ve got a three-point plan for you that works in any economy—not just the Twilight Zone one we’re living in now.

Step 1: Start With “Tollbooth Stocks” and Build From There

Tollbooth stocks are the kinds of companies we safety-conscious dividend investors love: they hold the infrastructure—think pipelines, warehouses and data networks—big players like, say, Amazon.com (AMZN) must have to operate.… Read more

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Stocks are up, the economy is in shambles and lockdowns are making a comeback. But people are also being vaccinated as I write this, just 12 months after we learned that COVID-19 was even a thing.

How do we invest through this transitional market? I’ve got a three-point plan for you that works in any economy—not just the Twilight Zone one we’re living in now.

Step 1: Start With “Tollbooth Stocks” and Build From There

Tollbooth stocks are the kinds of companies we safety-conscious dividend investors love: they hold the infrastructure—think pipelines, warehouses and data networks—big players like, say, Amazon.com (AMZN) must have to operate.… Read more

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Let’s not assume our retirement savings will benefit from the Federal Reserve’s bout of 2020 money printing. Inflation could be a real problem, as soon as 2021. So let’s talk about stocks that are not only protected but likely to benefit from Jay Powell’s prolific “efforts.”

(In other words, dividend stocks that’ll double while investors are fixated on deflation.)

When it comes to inflation, many folks have a dangerous blind spot. They recall 2008, and the Fed’s then-extraordinary actions late that year, which gave us a narrow escape from deflation, and no inflation to speak of.

Just think back to that time.… Read more

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If you’ve read my articles in the last few weeks, you may have noticed I’ve been writing about inflation more lately. I’m doing so because your income portfolios—especially your bonds!—are at risk as a result of recent money printing.

My recent monetary focus has taken many readers by surprise. After all, we haven’t seen sustained inflation in 40 years. Nothing like a four-decade lull to lure an investor into a false sense of “60/40 retirement portfolio” security!

But even though we’re staring at day-to-day deflation right now, with lockdowns hitting demand for most products beyond the essentials, make no mistake: the ingredients for inflation are there.… Read more

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