Individual investors shunning equity http://www.cnbc.com/id/38308960 Investors counting on dividends more than ever. http://www.cnbc.com/id/38308897 I think the only way to attract investors back to the equity market will require the following. #1 Companies will need to focus more on paying dividends than trying to prop up stock prices. Back in the days people only went for stocks if they paid a proper dividend, many many more companies paid dividends compared to today. Dividends in general are more honest, As long as you get your dividend and can live off that income, you do not have to concern yourself regarding todays minute by minute stock price. #2 End of stock options, the whole printing more shares via Stockoptions to hand out to insiders and then announcing "Buybacks" using cashflow is nothing but a sham and a big shell game. All you are doing is using shareholder money to enrich insiders. #3 Stop the foolish overpriced aquisition sprees that typically return a horrid ROI, (Microsoft buying Danger is a good example) Instead return the excess cash flow back to investors. #4 Focus on longterm not short term price points on the stock, as long as your company earns money, dividend payments will do the rest.