It’s important to realize that consistent dividend payers are often held by shareholders in it for the steady stream of income. As a result when the market is getting crushed as we’ve seen over the last few months, many loyal shareholders will hold onto their stock, confident that while their shares may drop in value, they’ll still get their quarterly check. This provides a cushion to investors that would have bailed out about $10.00 ago.
Unless they cut it.
If there’s one thing to take into account when it comes to dividend payers,
Now, as always, I’m just gonna go ahead and say that I’m not advising anyone to buy anything (I also don’t currently own any Berkshire stock), but I like to keep an eye out on stocks that have been needlessly beaten down in recent weeks/months, and Berkshire fits the bill. A recent article at Yahoo Finance claims that its possible that Buffett has lost his touch and that Berkshire could be going downhill further than the 30% that it’s already been knocked around, and they do have some valid points. After all, no matter who Warren picks to be
As you probably know from reading my blog, I’m a huge fan of dividends and recurring income. I like to think of myself as an out of the box kinda guy. I managed to pull in a few grand once by camping in second life with a number of zombie machines for a few months with an investment total of $150 for a few computers that were just powerful enough to run the game 24/7. It took me about an hour a week to keep the “grid” going, and it netted me $100 a week for about 6
With the market being dragged down into bear market territory, just about everyone in equities is feeling the sting. Some of my financial stocks have sunk to all new lows, driving their dividend yields through the roof (of course the stability of said dividend is a very valid concern, prompting breakthroughs below the typical yield cushion). Listed below are some stocks I believe are worth looking at. Pepsi (PEP): Poor pepsi, along with most other beverage makers, have been knocked down quite a bit in the past few months. PEP’s business is still strong, however, and I believe they’ve been unfairly knocked
I’ve been working to reallocate my income portfolio (a taxable brokerage account separate from retirement savings, which I use to build up a long term income source) to 50% US and 50% international. While I’m fairly comfortable with analyzing and choosing stocks here in the US, I prefer to take a broader approach when it comes investments globally. With this in mind I’ve been looking around to see what ETFs are available for a dividend-focused investor like myself. One such ETF that I came across is DEM, or Wisdomtree’s Emerging Markets High-Yielding Equity Fund. This fund picks out stocks
Its always fun to turn on CNBC and find out what all the hated sectors. “Stay away from X, talking head says, due to Y and Z factors” is an all too common statement. Some analysts will be bearish, some bullish, and of course Mr. Market will have his say as well. With the recent sub-prime mess and an uncertain outlook on how bad things will get, financial stocks have gotten crushed. Some businesses have already been shaken out. Bear Stearns bit the big one, and got swallowed up by JP Morgan. If a financial institution that survived the great depression
It’s interesting looking back and realize I only really began investing about a year and a half ago. I made some pretty boneheaded moves at the time, of course, but eventually came into my own and really found a method to investing that suited my style. Since then I’ve been slowly building up my dividend income, despite my commitment to paying off debts first (I hate debt, always have and always will!) and my need to save for other things like retirement and a house, my brokerage account has continued to grow in small amounts. With this in mind I thought
Happy Holiday Everyone! I’m back from Memorial Day and I’m getting back into the swing of things so we’ll keep things brief, but here’s some things of interest for you. Ben Stein, one of the many (questionable?) writers over at Yahoo Finance, had an interesting article today on the value of dividend-paying instruments. I’ll be reviewing the Ultimate Dividend Investor’s Playbook soon, I really like it thus far. Living Off Dividends continues the rent vs. own debate. This is always a hot-button issue for personal finance bloggers. Where’s your line in the sand? Enjoy! A lot of bloggers that write about dividends often mention real estate as a way to bring in yet another source of alternate income. If you’re good enough, you can go out, buy an investment property, and make some money on the side after maintenance expenses, taxes, and the mortgage. There’s something about Real Estate that has made me very iffy about getting into it however. I can’t seem to get over this hurdle, because it goes against the fiber of how I live and what I believe in. Sounds like a serious issue? It really shouldn’t be, but it
It almost seems counterintuitive, but it’s true. If you’re a dividend investor you should focus an awful lot of your investment analysis on growth, though not in the context you’re thinking of. I’m not speaking to the growth of the firm itself, but rather the rate in which a firm increases it’s dividend payment. This is particularly important for a variety of reasons. Firstly as you may know, dividend payers are often large companies that don’t have a whole lot of room to expand their operations. As such much of your return will be driven by the
About Me
My name's Frank and I'm a life long seeker of passive income and dividends. I work in Financial Services and invite you to join me in my search for the holy grail of finance: passive income. My methods tend to be unorthodox but effective. Whether it's through investing or other means, I believe in creating many sources of income to give me the flexibility to live the life I want, when I want it.
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