When Dividends Pay Dividends -- and When They Don't
On: 04/01/2013 Views: 175
January's fiscal cliff deal in Washington removed a cloud of uncertainty that has hovered over the tax rate on dividend payments for years. For that and other reasons -- including pressure from shareholders that companies stop sitting on record piles of cash -- U.S. firms are stepping up their dividend payments. But there is no clear answer to what role dividends should play in an investor's portfolio, or whether they are really the best use of company profits.