The complete list of Nordic ADRs The Nordics, also known as the Nordic countries, include the sovereign states of Denmark, Norway, Sweden, Finland, and Iceland. As combined, Nordic Countries, known for their exceptional living standards and low-income variance, have effectively captured global attention. In an age where the increasing gap between the low and high…
Investing in stock dividends does seem like a great source of some “easy” income. Let’s look at how to start investing in dividend stocks. But hold your horses before you go in blindly in a moment of excitement with false hopes. In an age, where the internet has made it relatively easy and cheap to…
Sweden is by far the biggest stock market in the Nordics, both in terms of market cap and the number of public companies. Nasdaq Stockholm is also home to many excellent companies that pay a dividend. Why invest in dividend stocks? We at Rational Thinking are not dividend investors. We are total return investors, something…
Instead of buying an active mutual fund, you can choose to invest in an investment company. We have previously written several articles about these stocks and why they are a very good option for most investors. The main benefits are low management costs, diversification and active ownership. Additionally, most of them have an active and…
Swedish entrepreneurs have a long history of being good stewards of capital. Because of this, we believe Swedish investment companies offer great opportunities for returns better than the averages, of course depending on the management. Some companies have performed much better than others. This article lists the most popular investment companies and compares their strategy,…
Why stocks drop on the ex-dividend date can easily be explained, yet many investors find themselves at a loss in understanding why. An investment in any company stems from more than just a profit-making mind, gratitude for which is in the form of a dividend, as a token of appreciation for the trust in the…
A sign of a strong portfolio is to construct one that grows with you. What percent of my portfolio should be dividend-paying? Investors tend to incline heavily towards dividends-paying stocks, attracted by the compelling numbers. But it is not wise to think of dividends as a risk-free form of income. Surely there are investors who…
Investing in dividends has gained quite some momentum with increasing popularity as the interest rate goes down. Dividends have become replacements for coupons for many investors. The process has left several dividend investors chasing high yields and risky stock portfolios. Thus, be careful if you are a dividend investor. You shouldn’t only buy dividend stocks….
Introduction and summary: This article seeks to explain what an investment company is, and what the main differences are compared to mutual funds. If you do your due diligence, we believe investment companies are a better choice than most mutual funds because of these reasons: Investment companies are better than mutual funds because they take…
Introduction and summary: Swedish real estate stocks have outperformed the OMX-30 over any time frame over the last two decades. For example, during the last five years, real estate stocks have doubled in value, while the OMX-30 has risen only 25%. Additionally, real estate should offer diversification to a portfolio. The OMX-30 is an index…
An additional source of income is what motivates the need to start investing in dividend stocks. Many dream of making a living by receiving dividends, and the good news is that it’s possible. Anyone can make money on dividend stocks if they have a rational plan. This article looks at how to make money on…
There are many arguments against dividend investing despite the fact that dividend stocks have outperformed non-paying stocks. Many non-dividend companies could pay a dividend but chose not to. There are many reasons for not paying a dividend but rather using a flexible approach to allocate capital. Berkshire Hathaway would not manage a 19% compounded return…
The US stock market is about 50% of the world’s stock market capitalization. If you want a diversified stock portfolio it’s pretty natural to include US stocks in your portfolio. The good news is that you as a non-US citizen and resident can open a brokerage account, but as a non-resident, you face a limited…
What are the main differences between Nordic dividend policies and the US? The main differences are that Nordic firms mostly let the dividend go up or down in accordance with the annual earnings, and most dividend stocks pay the dividend annually, not quarterly. Sweden is the exception where many companies aim to pay a higher…
Introduction and summary: Most investors know very well the story of Berkshire Hathaway and Warren Buffett. However, the many advantages of the Berkshire business model have some very interesting features that we believe are less understood and very underrated, and the aim of the article is to look more into these features and why they…
Stock picking is difficult because only a small minority of the stocks contribute to the majority of the gains. It’s skewed to only a few outliers. It’s as simple as that. Let’s look at some facts: Most stocks don’t beat Treasury Bills: Hendrik Bessembinder became pretty “famous” for his study published in 2017 called Do…
Are there any good Italian dividend stocks? Yes, there are quite a few. In this article, we look at the best Italian dividend stocks. Italy has many family-owned businesses, but many of them remain private and not public. The result is, in our opinion, a slightly “boring” stock market where the majority of the companies…
Norway isn’t just popular for its beautiful landscapes and majestic northern lights but also for the attraction it has become for foreign investors with its unprecedented growth rates in comparison to elsewhere in the Eurozone. Since the industrial era, Norway has reported powerful growth rates and has gained a reputation over its neighbors in the…
The complete list of Swedish ADRs Sweden’s economy is quite developed and an export-focused economy supported by hydropower, timber, and iron ore. The primary sectors involve pharmaceuticals, industrial machines, motor vehicles, precision equipment, telecommunications, chemical goods, forestry, steel, home goods and appliances, and steel. Sweden is also establishing itself in mine, pulp industries, engineering, and…
The complete list of Norwegian ADRs Norway currently ranks as the 33rd largest economy in export, globally. The gas and oil sectors are two of the major export markets with the fishing industry in Norway. So naturally, the economy is quite sensitive to the changes in prices of the above commodities. Krone is the primary…
The good is mostly in the absence of the bad. – Old proverb, mentioned in Nassim Nicholas Taleb’s Antifragile. Why is it important to avoid investment mistakes? Put simply, if you avoid the gravest mistakes, winning tends to take care of itself. Avoid unforced errors In 1975 Charles D. Ellis wrote a famous article in…
Investing in dividends has been known to be a tried and tested method for accumulating wealth. Why? Because dividend stocks have historically outperformed non-payers with a wide margin. But how do you go about constructing a dividend portfolio? What kind of stocks are most likely to continue to pay and grow the dividend? As a…
Some weeks ago I published an article looking at the worst month in the stock market: September. Today, 29th of September, as September is coming to an end, and we’re about to enter the best season being invested in stocks: October to the end of April. Let’s look at two portfolios: One invested from the…
Dividend investors only invest in companies that pay regular dividends. We believe you should be agnostic and invest in any company that is likely to be a good investment – no matter if it pays a dividend or not. Berkshire Hathaway has been a good investment because it doesn’t pay a dividend. In this article,…
It turns out history gives us some good clues about what is a good dividend yield. If you’re a dividend investor it certainly tells you where you should concentrate your investment research. While Treasury yields have gone down, many dividend investors have gravitated to invest in higher yielding stocks. But keep in mind that a…