When you buy individual stocks for cash flow you are making a bet on the long term future of securing a steady stream of income to fund your retirement
Never lose sight of the fact you are in this for the long term, you are playing the long game. A game where you pick individual stocks that allow you to ensure and secure a comfortable level of income to fund those needs.
Take Charge
Understand what you are doing and take charge of your investment portfolio. If you don't then become an index investor and buy the whole market. This way you have a passive investment and don't have to worry about making stock picking decisions.
I like picking stocks and using speculation to decide what to buy but it's not for everyone and most people would be better served becoming an investor and sitting out the game on the sidelines.
I like picking stocks and using speculation to decide what to buy but it's not for everyone and most people would be better served becoming an investor and sitting out the game on the sidelines.
DYI - Do It Yourself
Learn to rely on yourself. Go to the library and read everything you can on dividend stock investing. If they don't have them you can do no worse by building a library of your own with these great books;
Also read anything you can from Jack Bogle and Burton Malkiel
"The hidden key to investment success is long term dividend growth"
- Lowell Miller
- Lowell Miller
Understand Your Investments
Focus your attention on asset allocation. I tend to focus on stable and safe blue chip companies like the big banks, telco/cable companies, utilities and REITs. They historically provide a steady and growing dividend you can rely on and help you sleep at night.
Try to buy them when they are cheap and have fallen in price. At the time of this writing, I believe we are presented with a once in a decade opportunity to pick up a lot of these type of stocks on sale after the correction of a coupe weeks ago.
Understand Yourself
Don't chase the next hot thing. This is NOT what this is about or this blog. You are searching for and on the hunt for dividends. I don't invest or speculate in crypto, blockchain or pot stocks. Why? They don't pay dividends.
If you want excitement or to learn about investing then you better stay out of the stock market. It's a terrible place to learn about money and how to keep it.
If it's all too much for you, buy an ETF or mutual fund and just sit back and live your life.
If you want to build an income producing dividend machine, then read and learn who you are as a speculator/investor.
To be a successful investor the rules never change, they never will, you have to be the one to change.
You are playing the long game, remember that and stick to it!
What strategy are you using to build your own portfolio?
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