April 16th, 2019 | The New York Times
Don’t Chase Yield, Says Gregg Fisher in New York Times Article
With yields on many bonds down from where they were last fall, moving into high-yielding stocks may seem like a good idea—even though funds with the highest dividend yields have been underperforming for the last several years. Be cautious, counsels the April 12 New York Times article “Don’t Pay Too Much for Stocks That Pay Dividends,” which cites Gregg Fisher, Gerstein Fisher Founder, Portfolio Manager, and Head of Research, as an investment expert.
Gregg recommends not reaching for yield, even if your objective is generating income. Focus on the best businesses, he advises, and avoid concentration. “[Y]ou should own a diversified portfolio,” he says, “that has some dividend payers and other stocks that don’t pay dividends at all. You end up with more cash flow and better results overall.”
