The Meb Faber Show - Better Investing Cambria Fund Profile: Shareholder Yield Suite
Oct 2, 2026
What does shareholder yield reveal that dividends miss? This discussion explores how buybacks complete the cash-return picture, why repurchasing overvalued shares can hurt investors, and how valuation, quality, leverage, debt reduction, and momentum shape a systematic strategy. It also tours five funds spanning U.S. stocks, international and emerging markets, large caps, and smaller companies.
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Why Dividends Miss Most Shareholder Returns
- Dividends capture only part of shareholder returns because companies increasingly distribute cash through buybacks.
- S&P 500 buybacks exceeded $1 trillion versus roughly $660 billion in dividends, making dividend-only analysis incomplete.
Shareholder Yield Reveals The Full Payout
- Shareholder yield combines dividend yield and buyback yield to measure a company’s total cash returned to investors.
- Buybacks can deliver value through share prices rather than immediate taxable brokerage income.
The Buyback Advantage Hidden Behind Equal Dividends
- Two companies can pay identical dividends while the repurchasing company returns more cash to shareholders.
- This comparison illustrates why dividend yield alone can hide an important source of total return.