As a buyer, you want lower prices. That allows you to buy more shares for the same dollar amount, which provides a higher income than if the shares were higher - that higher income can then be invested or spent. Buying US stocks because TSX stocks keep falling is not the best way to take advantage of quality companies that keep getting attractively priced. We can't control price fluctuations, but we can control the quality of the companies we purchase. The higher the quality, the more confident I am that the company will bounce back.jerryhung wrote: ↑Feb 13th, 2018 12:33 pmHa, whatever names we find for dividend/D.G., it's going down faster than it can raise, at least for me. The rise in yield isn't even that much, relatively
CJR.B << near $8 again
I don't have FTS/EMA but same thing
As interest rates rise, these stocks go down, since their goal is to provide income. However, in the long term, earnings will drive price accordingly. Undervalued companies trade below their intrinsic value. These are companies that have not been getting much love from the market lately, with lots of bad news from the media, in spite of good operating results. To me, these companies present a nice investment opportunity. And ideally these companies should provide you with perpetual growing income, where no shares need to be sold to meet your income goals.
If you are looking to sell soon (to lock gains via total return), then these are not the best stocks for capital appreciation. There are lots of growth opportunity in TSX, but not these dividend paying stocks, specially pipelines, utilities or telecom. Also, gains in the short term should be the focus of trading, not investing.
Lastly, it's important to remember that price movements alone can be very misleading. A rising stock price will often lull an investor to sleep creating a false sense of security where they believe that all is well. On the other hand, a falling stock price usually creates anxiety and sometimes leads to outright panic. These feelings can be rational as long as they are justified by sound fundamentals. Knowing the differences between rational and emotional reactions will make all the difference.