It's Monday morning. The sun is peeping over the horizon, you're sipping on a cup of coffee waiting for seven ‘o clock to arrive. You need to hit the road.
You pull out of your driveway and watch the stream of cars head into the city. A smile drifts over your face because you're driving in the opposite direction. You're leaving town, hitting the open road. The ocean is ca... ››› more
I know that most investors love dividend paying shares. After all, great dividend paying companies give you a steady flow of passive income that you can either spend or reinvest.
This makes dividends an attractive choice for those nearing retirement because it helps you to score additional income from your investments.
But that doesn't mean you should rush out and buy any dividend paying s... ››› more
A company that pays out cash to its shareholders consistently over the years is a sign of a strong, stable business.
If a company can increase its dividend pay-out over the years, this is an even better sign.
Let's take a closer look…
How to find the best dividend paying shares to buy
The best shares to buy are those that pay dividends year after year, and increase those dividends... ››› more
If you're an income seeker, you no doubt have some dividend paying shares in your portfolio.
But did you know that you can make these dividends work for you? You can use your dividends to grow your investment amount.
It all comes down to compounding.
So what is compounding? And how can you use compounding to grow your investment?
Read on to find out…
What is compounding?
Com... ››› more
Running a stop loss is one of the easiest ways for investors to keep a lid on their losses when investing in shares. Trailing stop losses also have their benefits as they lock in profits when a share price rises.
But what should you do when it comes to stop losses with your dividend paying shares? After all, you bought them for their dividend payments, not capital appreciation.
Here's one wa... ››› more
If you're looking to invest for income, dividend paying shares are a great place to start.
So if you want to build a dividend portfolio, where should you begin?
Let's take a closer look…
Finding the right dividend paying shares
The first thing you need to do it find shares to put into your dividend paying portfolio. You tend to find that the larger companies on the Johannesburg S... ››› more
Investing in dividend paying shares is one way to produce an income stream when you retire. You can buy the shares and, until you need the dividends for income, keep reinvesting. You can just sit back and watch your holding grow. But you shouldn't just rush out and buy these shares at any price. The price you pay will have a bearing on your return from the dividends. Let's take a closer look…
... ››› more
The stock market is volatile. Share prices bob up and down from highs to lows. It's this volatility that makes the stock market risky. But it's also this risk you undertake when you invest that has the potential to make you money. So what's the best way to deal with stock market volatility? Read on to find out…
Strategy #1: Time
One of the best ways to cope with volatility is time in the mar... ››› more
If you haven't already, you need to think about your retirement. Once you've decided how you'd like to spend your retirement, the crucial thing you need to work out is how you're going to achieve that. You need enough money coming in to allow you to live your golden years comfortably. Read on to discover an option worth considering…
How do you want to spend your retirement?
The sooner you s... ››› more
When you're working and investing for your retirement, every bit counts. A gain of 1% more per year really starts to add up. And the more time you have, the larger those gains can be. Sometimes you do things in your portfolios that you don't think is big a deal, but over time can really hurt. Read on to find out why you should reinvest your dividends…
If you're investing in dividend–payi... ››› more
If you're looking to invest in a company for healthy dividend paying shares, it pays to focus on the potential for dividend growth, rather than just hunting for high dividend yields. Looking for high yields alone can mean you pay over the odds for a share. Read on to find out how to work out if dividend growth is already in a share's price…
Well there is a simple calculation that helps, based ... ››› more
If you're looking for an investment that could provide you with an income, then look no further than shares paying dividends. To ensure that you make the best investment, you need to find companies that pay consistent dividends. And not just that, the company has to grow these dividends over time. Here's why you should invest in shares paying great dividends...
There are plenty of investments ou... ››› more
You should include high quality, dividend paying businesses as part of your portfolio. You might thing these businesses are boring to invest in. Or that the companies are too big, they tend to be blue chips. But let's take a closer look at why you should have dividend paying shares in your portfolio...
Some investors don't fancy investing in shares that continually increase their dividend pa... ››› more
Great businesses ‘pay back' their investors. When you buy shares, it makes financial sense to invest in a company that pays out a cash dividend too. So not only will you gain an increasing share price over the long-term, you'll also receive cash from your investment twice a year. Let's take a closer look at why you can't ignore dividend paying shares…
Not all businesses use their cash to rew... ››› more
To give your long-term portfolio an extra boost, you should favour companies that have histories of paying shareholders ever-increasing dividends. Financial history teaches us that companies that consistently pay dividends to their shareholders, through good times and bad, are healthy companies. And those that consistently raise their dividends over long periods of time are the best. Read on to fi... ››› more
Having dividend paying shares as part of your portfolio is a great way to build wealth. But once you've identified a company that steadily raises its dividends over years, you need to be sure the company can continue to pay its dividend. And there is an easy way to do that. Read on to find out the best way to invest in dividend paying shares…
To check if a company can continue to pay its divid... ››› more
There is a simple and easy trick to making serious money in the stock market. If you're investing in stocks for the long-term, the best thing you can do is buy stable companies with a track record of increasing their dividends. And then you should reinvest those dividends. Read on to find out how to build wealth with dividend paying shares…
Sure, they may only be 3% or 4% dividends, but you... ››› more
Dividend paying shares are a great way to help supplement your income. And they can help contribute towards your golden years. But you can't go blindly investing in any share that pays a dividend. Read on to discover two tips to help your dividend portfolio work for you…
If you’re investing in shares for their dividend payments, it’s crucial to remember some vital points. It will help you ... ››› more
The single best way to make money from shares is to identify and value a dominating dividend growing business. These businesses are the strongest and the safest. And these companies dominate their industries. Read on to find out the four key financial clues to help you uncover top dividend paying shares…
Top dividend paying companies have the best brand names, the biggest competitive advantage... ››› more
Investors can learn an important lesson from the fixation of the world's richest-man ever, John D. Rockefeller. He once told a friend the only thing that gave him pleasure was watching his dividends come in. And you should be following suit - here's why investing in dividends should form a key part of your investment strategy. “Savvy investors know that dividend payments are a powerful method of... ››› more
Disclaimer Note that FSP Invest, a division of Fleet Street Publications (Pty) Ltd, is a research house and not a registered broker, financial advisor or financial service provider. Our editors and customer services teams also do not give personal investment advice. The advice in this website is general advice only and may not be appropriate to your particular investment objectives, financial situation or particular needs, so before investing or if in any doubt about your personal situation, you should seek professional advice from a stockbroker or independent financial adviser authorised by the Financial Services Board.
We research our recommendations and articles thoroughly, but disclaim all liability for any inaccuracies or omissions found in this publication.
Remember: Never invest more than you can afford to spare and that the value of any investment, and the income derived from it, can go down as well as up. The past is not necessarily a guide to future performance.
Editors or contributors may have an interest in investments commented on in this newsletter. However they have signed restraints to prevent the abuse of their position as contributors to this publication.