Shareholder distributions, defined as total dividends plus gross share buybacks, amounted to $259.8 billion for S&P 500 companies at the end of the third quarter -- the highest quarterly total of shareholder distributions in at least ten years. The second highest total was recorded back in April 2014 when distributions hit $252.2 billion.
For income investors, this is good news. Corporations are now returning a record amount of cash to investors -- what's not to like?
Well, as it turns out there's a lot not to like, especially for those investors seeking capital growth, as a recent research report from Factset INSIGHT points out.
Dividends are rising
S&P 500 company dividend payments amounted to $103.3 billion in Q3, which was the third largest quarterly...
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