Dividend Cuts – New Management


cash cut 100x100 Dividend Cuts   New ManagementIn our continuing series on dividend cuts, why they happen and how to learn to see them coming before they hit your portfolio today we are going to look at the curse of new management.

New Management

Bringing in new management is a regular occurrence in any large business. Management can be cycled in as a result of retirement or simply as the result of the board seeing the need for a changing of the guard. New management can come from one of two places, internal promotion and external hiring. The condition I will describe here comes as the result of both these types of hirings, but is a far more frequent occurrence with external hiring.

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