07-14-2015, 06:49 AM
I am still learning about REITs, so I will have to defer those questions to someone else more knowledgeable.
For a payout ratio max on utilities, telecom, and tobacco, depending on your risk tolerance this is usually 80-90%. Personally, I cap this out at 85%.
For your non REIT/MLP companies, any dividend yield over 5% can be acceptable. However, I would look very closely into why the market is undervaluing this company (long term issue, short term issue, currency exchange rate issues, cyclical issues, ect).
For a payout ratio max on utilities, telecom, and tobacco, depending on your risk tolerance this is usually 80-90%. Personally, I cap this out at 85%.
For your non REIT/MLP companies, any dividend yield over 5% can be acceptable. However, I would look very closely into why the market is undervaluing this company (long term issue, short term issue, currency exchange rate issues, cyclical issues, ect).