Preface
Introduction
PART A: DIVIDEND BASICS
Chapter 1. Companies and Dividends
The
purpose of companies — to pay dividends
Cash
is king
Dividends
can grow even in hard times
Spreading
investments without increasing risk
How
is the size of dividend decided?
Different
types of dividends
Key
points
Chapter 2. Results Announcements and Annual Reports
Key
points
PART B: DIVIDEND ANALYSIS
Chapter 3. Profits, Dividends and Cash Flow
Profits
Dividends
Cash
flow
Key
points
Chapter 4. Progressive Dividends
Checking
the history of dividends
Key
points
Chapter 5. Dividend Yield
A
problem of comparing dividends
Calculating
the dividend yield
Two
types of dividend yield
Key
points
Chapter 6. Other Key Ratios
Earnings
per share
Price
/ earnings ratio
Dividend
cover
Gearing
(also referred to as leverage)
Interest
cover
Cash
flow
Total
return
Key
points
PART C: INVESTING TACTICS
Chapter 7. Picking Sectors
Cyclicals
v Defensives
Dividend
data by sector
Visibility
of earnings
Lumpy
earnings
Insurance
Key
points
Chapter 8. Dividends by Index
Indices
Observations
Key
points
Chapter 9. Share Buybacks
Fashions
change
Cash
is better than debt
Ones
to avoid
Key
points
Chapter 10. Flotations
Where
the cash goes to the company
Key
points
Chapter 11. Turning Companies Round
The
concerns for dividend investors
Restoring
dividends
Key
points
Chapter 12. Rights Issues and Placings
Placings
Claw
backs
Key
points
Chapter 13. Takeovers
You
must face reality
When
the bid goes unconditional
Key
points
Chapter 14. Ethical Investing
Why
"unethical" shares may be cheap
Green
companies
Key
points
Chapter 15. Company Perks
Wide
range of goodies
Advantages
of perks
Disadvantages
of perks
Perks
overview
Key
points
PART D: BUILDING A DIVIDEND PORTFOLIO
Chapter 16. Spotting Buying Opportunities
Buying
rumours
Buying
on dips
Key
points
Chapter 17. Building a Portfolio Using Stock Filters
Online
stock screens
Other
stock-filtering services
Key
points
Chapter 18. Dogs Might Fly
Adapting
the O'Higgins system
Finding
which shares have the highest yields
Key
points
Chapter 19. Income Funds
Two
types of fund
Advantages
and disadvantages of funds
Where
to get information
Income
or growth?
Funds
offer variety
Key
points
Chapter 20. When to Sell
Gloomy
trading statements
Profit
warnings
Stop
losses
Key
points
Chapter 21. A Dividend Nightmare — BP
Why
private investors were at an advantage
The
explosion
Why
the dividend had to go
The
dangers of buying back in
Why
you should fear the worst
How
one piece of bad news leads to another
Key
points
Chapter 22. Ten Dividend Rules