The Rising Influence of Rising Affluence

[Timothy Smith]

$RDS.A - Shell has positioned itself pretty well. The company's takeover of BG Group looks like a smart move right now, as it has bolstered the company's cash flows, and since Shell is easily able to pay down the debt it had to take on for that acquisition.

Shell is trading at a relatively low valuation, has a high and secure dividend, and investors will likely see increasing shareholder returns going forward, as cash flows continue to grow and as debt reduction becomes less important.