BERNO FINANCIAL MANAGEMENT, INC.

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Nov 10, 2013 (3 years and 5 months ago)

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BERNO FINANCIAL MANAGEMENT, INC.

7454 Jager Court

Cincinnati, Ohio 45230

Telephone (513) 474
-
9191

E
-
Mail: bruce@bernofinmgt.com


FUN FACTS TO KNOW AND TELL

March

2013


Positive news and reasons for optimism are always fun to write about and read.
Given
this publication’s title, “Fun Facts To Know and Tell”, we are happy to write
the following “Fun Fact.”


The Standard & Poor’s 500 Index has returned 24% on average in years it has
risen in both January and February, as it has done in 2013.

What is remark
able
about this track record is its consistency.

Since 1945, the S&P 500 has had
positive returns
in January and February
in only 26 of the 6
9

years

inclusive
, but
100% of those years ended with positive returns according to Sam Stovall
, S&P’s
Chief Equit
y Strategist
. The biggest advance when the index rose in January
and
February

was a 52% rally in 1954.

Wouldn’t that be nice in 2013?


Now we have always been quick to say that we don’t believe in or rely on
forecasts based on issues like the President
ial election cycle or the Super Bowl
predictor, but one has to admit this is a pretty consistent predictor and certainly a
“Fun Fact To Know and Tell,” if nothing else.


Stock dividends and the value of stock dividend increases have been getting a lot
of
attention in the financial press in recent years, especially in this low interest
environment. As a concrete example, here are the annual dividend figures for
the Vanguard Total Stock Market
Fund
Admiral
Shares:


2002

$0.30



2008

$0.61

2003

$0.34



2009

$0.54

2004

$0.47



2010

$0.56

2005

$0.50



2011

$0.60

2006

$0.56



2012

$0.76

2007

$0.63


The dividend in 2013 was over 2.5 times as high as 2002, or an annualized
increase of 9.75%, despite a slight decline starting in 2008 when many financial
stocks and

even GE, cut dividends. Stocks are an important source of income!


IMPORTANT NOTE:


We are no longer using or accepting the 9”x12” Business
Reply Mail Envelopes that you could send back to us without attaching postage.

Please recycle any that you may have.

The U.S. Post Office has doubled the
annual license fee in recent years and with our Berno View Client Portal on our
website and more people using email, Business
Reply Mail

is no longer
justifiable.


We will provide
stamped or pre
-
metered envelopes as needed.


FF201
3
03