AAII Home AAII Blog

Dividend increases are typically met with a positive reaction from investors, while dividend cuts are typically met with a negative reaction. Whether these changes signal positive or negative information, however, depends on the quality of the company and its leverage. Companies...

In uncertain times, even relatively low-risk investments come under strict investor scrutiny. And well they should, since they are viewed as a safe haven for hard-earned savings. Money market mutual funds are considered by many to set the standard for low-risk, liquid and convenient...

Repurchases of common stock by corporations can be an attractive alternative to dividends. They may also affect share price. But what is their impact—to the corporation; to the shareholder? Many companies have been repurchasing their common stock in recent years and some can...

Editor’s Note: While this article is from 1989, and some of the mutual fund names have changed or the funds have merged or closed, the concepts of risk assessment still apply. Often, it is all too tempting to evaluate a mutual fund solely based on its rate of return over some...

Feature Article: The Individual Investor’s Guide to Exchange-Traded Funds 2018 by Jaclyn N. McClellan Our expanded guide covers 542 exchange-traded funds, providing detailed return information and data as well as an update on the ETF industry.       Portfolio...

Earnings and dividend growth rate assumptions are a primary factor in almost all fundamental models of common stock valuation. The greater the anticipated future growth in firm earnings, the greater the stock valuation will be, assuming risk remains unchanged. But estimating earnings...

Important Note: Dear Subscriber, Starting with the September 2018 edition, Computerized Investing will be merging with the AAII Journal. Computerized Investing was originally created when computers, and using a computer to research investments, were a new option for individual investors....

The term “yield” is thrown about often by the financial press and others. The trouble is that yield has many different meanings and implications for investors. This workshop will try and sort out some of the major differences. It will not, however, attempt to present mathematically...

If you are like most individual investors, you track your investments carefully. For your stock investments that means watching the share price, and for bonds that means watching the bond price. What about mutual funds? Many individuals track the fund’s net asset value (NAV)....

Value investors love buying single dollar bills for 85 cents. That’s why closed-end funds, a long misunderstood mutual fund relative, attract certain sophisticated investors. A cross between a mutual fund and a stock, these funds have both a net asset value and a share price....