Featured Article

Hello again, Fools. I’m back to call your attention to three large cap stocks for your watch list — or, as I like to call them, my top “forever assets.” As a refresher, I do this because companies with a market cap of more than $10 billion: can keep your portfolio stable during periods of high volatility; and provide steady and healthy dividends year after year.

So if you’re retired (or nearing retirement) and are nervous about income, living off large-cap dividends can help ease your stress.

Let’s get to it.

Kicking things off is none other than banking gorilla Bank of Montreal (TSX:BMO)(NYSE:BMO), which currently sports a market cap of $64 billion.

BMO continues to see particularly strong growth south of the border. Just last month, in fact, the company said it has already surpassed its target of achieving one-third of its earnings from the U.S. The goal was achieved in six months instead of the 3-5 year timeframe management had targeted.

Who Are the ETF Giants?

Persistent underperformance by active managers is spurring the growth of passive index funds and ETFs. A study of 4,600 U.S.-based equity, bond, and real estate funds with a collective $12.8 trillion in AUM revealed that only 24% beat passive alternatives during the 10 years ending Dec. 31, 2018, per Morningstar Inc. The same study found that passively-managed large cap equity mutual funds and ETFs surpassed active funds in AUM for the first time, as of the same date.

While ETFs are mainly viewed as a low-cost vehicle for individual investors, they also are gaining traction with institutional investors. Nearly 25% of institutional money managers’ portfolios were in ETFs by late 2018, per research by Greenwich Associates. Professional investment managers are increasingly seeing ETFs as a cost-efficient tool for managing risk and making quick portfolio shifts….CLICK for complete article

The Latest from the Astute Strategist

Astute Strategist’s Founder,  Ahlaam Karim talks about his take on the market, where it could be headed and in particular what he’s looking for in confirming market direction. – ed.

A rally in excess of 200 points in two weeks the S&P 500, new intraday all-time highs and in the end there’s lackluster follow through. This week the S&P 500 settled at 2950 and the Dow at 26,719 even gold came back to life settling above 1400/ounce, it has been a buyers delight. Anyone can tell you just by looking at the chart in the S&P that a run up from 2738 to 2950 in darn out impressive. There is no secret that this market is bullish over the long term, even we here at Astute Strategist are bullish over the long run, so much so that we are even looking at the Dow going around 32,000 in the next year and a bit (possibly earlier).

Now we hear you, well that’s great and wonderful but what about us in the here and now. Well, given that we have maintained weekly closes above our key numbers in the Dow and S&P things are indeed looking on the up and up. There is a slight possibility that we are to see a fake out drop before heading even higher there may even be a fake out move lower, a bounce to test the highs a move make down and then on to higher highs but that is indeed the path we see.  Our eyes are going to be on where we close this week, as it is a weekly, monthly, and quarterly close. In the Dow 26,950 for the week, 26,770 for the month. Closing below 26,155 will indicate that we are for the moment, not ready for a buying frenzy to begin. Since the quarter ends of this Friday’s closing numbers, we are watching 26,615. At the time of this post, we are above most of these levels but we do have a week of trading along with the twitter account of an ever so emotionally stable and truth-telling US president.

Time will tell if we are ready to breakout further to newer and higher highs or if we are still in a consolidation pattern. Either way, as mentioned we are bullish over the longer term time frame and a company such as Apple Inc (AAPL) is a prime example of where we would look at buying on dips and putting monies to work. If the market is set to make newer and higher highs and a stock like AAPL is in bull markets outperforming the market, where would you want to put your hard earned money to work?

Want to learn more about what Astute Strategist can do for you? click here.

Feast On Income With A New ETF Of ETFs

Tuttle Tactical Management is getting back into the exchange traded funds game with a new ETF of ETFs designed to deliver high levels of income.

The new TBND, which is actively managed, can be seen as a multi-asset play because its selection universe includes dividend stocks, master limited partnerships, real estate investment trusts and various fixed income instruments.

“Tactical Asset Allocation (TAA) is becoming more popular as investors prefer a methodology that strives to protect from market downside while still participating in market upside,” according to Tuttle. “Unfortunately, many tactical methodologies fail to protect investors in all markets. Traditional tactical management styles do well in a straight up or straight down market, but tend to struggle to perform well in choppy markets. Trend Aggregation differentiates from a traditional tactical style by having well-defined strategies for all market climates.” CLICK for complete article

Buy And Hold: Simple, Not Easy

The idea of buying and holding high-quality businesses over a long period of time is simple. But then, it’s important to understand that the action of not doing anything over such a long period of time involves hundreds of decisions over months and years that lead to such inaction….CLICK for complete article

Disney Streaming Service Poised For Quick Ramp, Says Bullish Morgan Stanley

Streaming is where entertainment is going, and it’s getting there faster than some expected with the new Disney+ service, Morgan Stanley said Thursday…CLICK for complete article