We agree with this forecast, chiefly because buyers are not discouraged and have not left the game. That may be true in a coin toss, but it is not necessarily true in any other game that has more complex outcomes than 50-50 probability odds. The psychology of the market is against that outcome, but statistically, that is the correct way to think about it. They should look for boring stocks, stocks with low historical variability of returns, and even stocks that pay dividends. In the US, fewer and fewer stocks pay dividends.
Investors don ft buy stocks for the dividend, but rather for the price action.
But dividends are the only sure return you will get in a stock, and you can know the dividend rate ahead of the investment decision. For this reason, utilities are starting to be popular again. Utilities are the classic dividend-paying companies because their revenue stream is relatively fixed due to government regulation of electricity prices. 2000 Business Matrix Corp.