“I don’t know what the seven wonders of the world are, but I know the eighth: compound interest.”
– The Maxims of Wall Street, Page 181
I just returned from a glorious FreedomFest in Las Vegas, my annual conference where the “best and brightest” come together once a year to learn, network, socialize, and celebrate liberty. I call it “The World Cup of Liberty.”
We had nearly 1,700 attendees this year, and many considered it the best ever – from our opening ceremonies, where “Superman” Dean Cain read the Declaration of Independence, to the Saturday night banquet, where we celebrated the entrepreneur Chris Rufer (“The Tomato King of California”) and danced the night away.
Among our 200 speakers was our celebrity keynote, Kelsey Grammer (best known as “Frasier”). At a luncheon in his honor, I asked him the question, “What’s the most important lesson you have learned in life?” He took some time to think about it and finally said, “To learn to love every new person you meet.” And boy, do you meet a lot of new friends at FreedomFest.
We had a great many sessions on philosophy, politics, healthy living, business, and economics. We also put Immigration and Customs Enforcement (ICE) on trial, and by an 8-to-4 decision, the jury in the mock trial ruled that ICE supporters were innocent.
Sen. Rand Paul also informed us on the latest happenings on Capitol Hill and why he opposes the war in Iran. I asked him, “What has been more fulfilling in life: being an eye doctor or being a senator?” He surprised me when he said, “Being an eye doctor – I made life-changing decisions helping people see better.”
Come join us next year, July 21-24, 2027, at the Caesars Forum conference center in Las Vegas, where our theme will be “Building the New Rebellion.” It’s our 20th anniversary, and we expect a record crowd. Remember, “If you build it, they will come.” For more information, go to www.freedomfest.com.
The “M&M Boys” Offer the Best Way to Beat the Market
It was great seeing many Members of The Oxford Club at our special breakfast with Chief Income Strategist Marc Lichtenfeld and my son Tim Skousen, co-editor of Future Tech Trader.
We talked about the easiest way to beat the market: Invest in companies that increase their dividends over time. I showed this chart…
Two things are clear from the chart.
First, companies that raise their dividends every year handily beat the market, by about 3-to-1. There are dozens of them. One of my favorites is Main Street Capital (NYSE: MAIN), the Houston-based investment company that pays regular monthly dividends as well as quarterly supplemental dividends. It has increased its dividend five times in the past two years. Main Street Capital also had a booth at FreedomFest.
Second, dividend-paying stocks are not immune to bear markets. They can decline along with other stocks. However, they cushion the fall and give you an opportunity to reinvest the dividends at bargain prices. As Marc pointed out, “A bear market can be your best friend if you are reinvesting dividends.”
If a company cuts its dividend, it’s best to drop the stock and stick with dividend gainers. (Notice that dividend cutters are the worst performers on Wall Street.)
Jeremy Siegel, the “Wizard of Wharton,” said it best: “Dividends are the critical factor giving the edge to most winning stocks in the long run” (Maxims, Page 183).
Both Marc and I recommend individual dividend growth stocks in our newsletters. And though Tim’s specialty is growth stocks in Future Tech Trader, he often invests in high-dividend stocks in his personal account.
How to Find the Best Dividend Growth Stocks
At this year’s FreedomFest, I met up with two investment advisors who focus on dividend-growth investing.
Wendell Brock, a money manager based in Dallas, Texas, has developed a “Sleep Well at Night” investing strategy. The idea is to invest in companies that have three characteristics:
- They are profitable and in growing industries.
- They have high dividend yields.
- They regularly increase their dividends.
A high and rising dividend in a growth industry comes the closest to “sleep well at night” investing.
Greg Galloway, president of the Fund Advisors of America in Winter Park, Florida, also specializes in high-income investing. Marc and Oxford Club Chief Investment Strategist Alexander Green recommend his services, and Fund Advisors of America is an Oxford Club Pillar One Advisor.
Marc participated in one of Greg’s sessions at FreedomFest. For more information, contact Greg at the Fund Advisors of America website or call 1.800.438.3040.