3 Fast-Growing High-Yield Blue-Chips Retirees Can Safely Buy In This Market Bubble
Seeking AlphaDividend Ideas3 Fast-Growing High-Yield Blue-Chips Retirees Can Safely Buy In This Market BubbleJul. 22, 2020 8:39 PM ET|| Includes: MGRC, MSM, SNAby: Dividend SenseiDividend Sensei The Dividend KingsDividend ideas from a top team of analysts to help you sleep well at night.SummaryThis market bubble continues to grow ever more irrational and dangerous, at least for investors with subpar portfolio construction, low quality companies, and poor risk management.
But studies from Vanguard, Charles Schwab, JPMorgan, and Ritholtz Wealth Management prove that market timing isn't just impossible to do consistently well, but of minimal benefit if you could.
Thus, I and Dividend Kings' portfolios use a hybrid strategy of dollar-cost averaging into quality, undervalued blue-chips while preserving sufficient buying power for the next correction, whenever that arrives.
MGRC, SNA, and MSM are three fast-growing high-yield blue-chips that are reasonable to attractively valued. They represent a strong combination of safe income, double-digit growth forecasts, and market-smashing 5-year probability-weighted expected returns.
Within a well-diversified and prudently risk-managed portfolio, with appropriate asset allocation into bonds/cash for your needs, these three represent potential, excellent, and safe long-term investments during this irrational market bubble.
(Source: Imgflip)
Like most investors, I LOVE a good growth stock, I just refuse to pay too high a price for growth. That's something we see a lot of these days, particularly with the popular mega-cap tech names that are driving this irrational market bubble.
"Growth at a reasonable price", or GARP, is one of the most time-tested strategies prudent long-term investors have to compound both their income and wealth over time.
Unfortunately, today, investors are becoming rather manic and speculative about big tech, which is why we're seeing the highest market valuations in almost two... Read more