Diversification is very important in achieving ones financial goals. My goal is to be able to create an ever increasing stream of passive income through investments in dividend paying stocks which have the history and the capabilities to increase their dividend payments over time. In order to achieve that I have focused on the Dividend Aristocrats as well as the High-Yield Dividend Aristocrats. I plan on exploring the dividend achievers list once I exhaust the two lists previously mentioned. Any foreign stocks would be included after the ever changing three previously mentioned lists are exhausted at a point of time.
In order to achieve my goal I plan on investing equal amounts of funds in at least 50 dividend companies. You could read about my screens here. I will try to rebalance the portfolio on a quarterly basis through my regular monthly contributions to the portfolio as well as properly allocating and reinvesting dividends received ( I do not plan on using the dividend income for at least several years).
Over time there will be companies that cut their dividend for whatever reason. Currently, I plan on disposing of such stocks when they cut their dividends. I do not plan on selling stocks which simply freeze their dividend increases. My research on certain old-time dividend payers like XOM or SNV show that over time companies are more and more likely to freeze their dividend.
Related Articles:
- Diversification Matters
- The case for dividend investing in retirement
- My Strategy
- Why dividends?
Popular Posts
-
This is a guest contribution by Bob Ciura of Sure Dividend . With interest rates on the decline, income investors are once again put in a ...
-
Last year marked a record in earnings and dividends for US companies. The S&P 500 index ended up distributing a record number of dividen...
-
One of the lessons I have learned the hard way over the years I have invested in dividend growth stocks is that it rarely makes sense to sel...
-
There is a big misunderstanding that somehow the financial crisis was worse for dividend growth investors, than equity investors in general....
-
The S&P Dividend Aristocrats index tracks companies in the S&P 500 that have increased dividends every year for at least 25 years ...
-
As part of my monitoring process, I review the list of dividend increases every single week. This exercise helps me to monitor the organic ...
-
There were twelve dividend growth stocks which raised dividends to their investors. All of these companies have a minimum ten year track rec...
-
There were over 60 dividend increases in the past week. It looks like corporate boards are flush with cash, as the economic recovery enters ...
-
My site is read by readers from all walks of life. We have those with no experience investing, to those who have been through the ups and do...
-
I recently saw an interesting table online, which I wanted to share with you. The table shows the ten year total return performance of the c...
