My monthly, Quarterly, semi-Annual and Annual Dividends Buy My Stocks: Dividend Stocks vs. Non-Dividend Paying Stocks – December 22, 2021,
I hear and read from people who will claim that those dividend-paying stocks are waste of time because the dividend payouts are so minuscule? When I hear from people who claim such nonsense, I know that they’re making money off of commissions. I make money off of commissions also, so it takes one to know one, but my commissions don’t come from NON-dividend paying stock picks.
I’m currently at the phase in my life in which my dividends buy my stocks, obviously, I keep some money sidelined for an inevitable market correction, but cash flow has way more appeal to me than simply buying low and selling high because it’s rare that anyone buys or sells just at the right time, so just like anything else in life, you want to first and foremost get some constant and consistent cashflow.
For transparency purposes I should add first that for myself my goal was to have at least 30 ounces of Gold and 3 Kilograms of Silver obviously scattered and not centralized. The reality of life is that the markets could crash at any time and yes there’s a possibility of an armageddon situation.
Gold and silver insurance policy aside, your stock bets are better bought or sold towards growing your dividend-paying stocks portfolio. Capital gains are nice, but chances are you’re going to see a lot of red, in your portfolio and unless you’re a technical investor who has a lot of time on their hands, you’re going to want a CONSTANT stream of cashflow.
I should also add that my strategy is that I don’t simply invest in 50 or 100 dividend-paying stocks, I go big, your goal should be $10,000 per month in dividend-paying stocks. I work with a lot of Filipinos, and 10,000 philippine pesos are enough for some individuals to survive on, let alone $10,000USD per month. Don’t allow con men to get you to bet the house and farm on one stock that doesn’t pay you anything to hold it, diversify, your dividend-paying stock portfolio, and seek out monthly paying dividend stocks.
Will some dividends stop paying? Of course, they will, that’s why you diversify your holdings and during a market, downturn expects many of your dividend-paying stocks will stop paying you, which is why you always want to keep some money sidelined. I obviously check the balance sheets, but sometimes that doesn’t matter, what matters most with dividend-paying stocks is their history of paying.
I’ve seen companies with beautiful balance sheets and then there’s a downturn, and they stop paying dividends, it happens, during a downturn, if you own real estate some tenants stop paying their rent, When this happens you want to have additional capital to deploy if the economy in 2021 goes sour, chances are the Central banks will be forced to raise rates, maybe you shift the capital to safer investments that pay you a monthly or annual income.
If there’s a credit union near you, make sure you sign up for one, companies will pay you to loan them money. You want CASH FLOW, gambling for capital appreciation is nice, and yes it pays off sometimes, people who got into Bitcoin early are multi-millionaires now, but many of them are still stuck because if they sell their bitcoins and imagine dividends pay too little, if the price of Bitcoin ever crashes they’re screwed, whereas if you’ve been investing for cash flow, you’ll constantly be on the lookout for more ways to increase your monthly cash flow.
I’ve purchased stocks that didn’t pay a dividend and some of them worked out others not so well, but because I gambled with the houses money, I barely noticed the loss. CASH FLOW, CASH FLOW, CASH FLOW, consider diversifying your dividend-paying portfolio. For me obviously divine investing is far better than investing for capital gains, but I should also point out that I do invest for capital gains.
When the pandemic of 2020 hit energy stocks hit rock bottom, it was a dream come true for me, I bought everything I could and all those paper purchases are free now because I sold the amount of stock I purchased at the lower price at the new high. Furthermore, ALL of the energy companies I invested in at rock bottom prices also pay a DIVIDEND. So not only did make money via capital gains, but I’m also making money via dividend payments, most of the dividend companies I bought pay me on the 1st and 15th.
Now, the technical investors are in and out, in and out and most of them will get you to finance their venture. So if you’re going to join some investing training program, remember that finding monthly, Quarterly, semi-Annual, and Annual Dividend-paying stocks on your own is FREE of charge. Consider being a cheap investor, life is more simple when exercising your right to take advantage of free resources!
Interesting times ahead!