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Probably from year-end bonuses, early dividend payments intended to avoid the 2013 tax increases, and 401(k) and other retirement accounts.
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John Van Vlack, the president of HLSS, said in an interview that the dividend payout was intended to be similar to those of real-estate investment trusts or business development companies, to attract similar kinds of income-seeking investors, which help keep capital costs low if the company goes back to the market for additional fundraisings.
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The plan was intended to ensure that the conglomerate maintains its triple-A credit rating and its 31 cent quarterly dividend. (See "GE Braced For Pain") At the current price, mere mortals who invest alongside Buffett, are getting a 5.0% payout.
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