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The theory says there are two types of risks. Risks that has awards a risk premium (on the long term) and risks that can be eliminated (diversified away) and that does not necessarily award any premium. Simply buying a portfolio of high beta stocks will not give you best results.
Secondly, as is the case with Wall Street pundits, their time horizon is too short. Stocks are really long term investments. Much longer than typical 1, 3 or 5 years that are commonly used. Thus, I also find fault with comparing dividend stocks with short/intermediate bond yields with dividend stocks.
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Secondly, as is the case with Wall Street pundits, their time horizon is too short. Stocks are really long term investments. Much longer than typical 1, 3 or 5 years that are commonly used. Thus, I also find fault with comparing dividend stocks with short/intermediate bond yields with dividend stocks.