djmicrobe LSU Fan Planet Earth Member since Jan 2007 2036 posts
Will dividend stocks drop soon?Posted by djmicrobe on 11/10/12 at 11:40 pm
Since the tax rate on dividends will be greater next year, will dividend stocks take a hit? This assumes the "Bush" tax cuts are not renewed for next year. If they are renewed, then I'd guess dividend stocks would follow the market somewhat.
LSUcam LSU Fan Destin FL Member since Dec 2011 381 posts
re: Will dividend stocks drop soon?Posted by LSUcam on 11/13/12 at 8:31 am to djmicrobe
I think that if people are posting this theory on a college football forum, then most likely the large institutions and general investing public know about this risk. But as stock prices go down when people sell off, individual yields rise, which offset the tax concerns.
What the actual tax concerns will be for next year, I'm not sure.