Daily Dividend Insights
Summary
US stock dividend yields have plummeted to around 1%, presenting an opportunity for high-income professionals to construct a more tax-efficient income portfolio. The article highlights that stock buybacks are generally more beneficial than dividends, as they incur lower tax liabilities. Research by finance professor Aswath Damodaran supports this trend, showing that buybacks have become the preferred method for companies to return cash to shareholders, enhancing overall shareholder value.
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