Dividend Investing 101: The Conclusion
After starting my path of self investing, I've learned many things in the last year that will forever guide me to my goal of financial freedom. I started writing this blog as a digital medium to show my friends and family a great way to invest for the future with as little risk as possible. To my surprise, a lot of people outside of my circle began reading it and emailed me thanking me for the great information. The way I see it, I get a lot of satisfaction out of helping people see that investing on your own is not scary at all. If you have ever used online banking, you're ready to do online trading.
The hardest part of self investing in dividend stocks is finding the right company to invest in so that your investment today will grow tomorrow, and in the future. As a self investor, I like banks, consumer goods and utility stocks because they provide widely used services to society now, and there's a very good chance they will continue to do so in the future. Everyone needs food to eat and use health and beauty products. Everyone uses energy to heat their homes and consume power to use technology. And everyone uses banks to pay their bills and keep their money safe. To me it only makes sense to invest in companies that have a definite future and overall steady income stream year round.
Here's a chart of common stocks that I either already own, or are on my watch list. I may prune the list or add to it in the future, but for now it's a good start. I do not endorse anyone to invest without first talking to a financial planner and will not be held accountable by anyone who chooses to invest in companies mentioned on this list, or on my blog. If you choose to invest on your own, then that is your own decision and you are accountable for your own actions(Sorry for the technicalities, my wife must be rubbing off on me).
In no particular order, here they are:
Green highlights represent yields of 4% or more. I like seeing at least a 4% yield when purchasing common stocks otherwise you might as well invest in a GIC. Preferred shares are locked in at a certain percentage and are guaranteed to be paid out before common shares, but they do not get any dividend increases and I am after dividend growth.
So there you have it. I've shared the basic knowledge of dividend investing and hope you enjoyed the series. I'm sure I've lost some readers due to repeat information that I already posted, but who cares; Their loss is our gain! I'll be going back to my original posting style of adding some humor to make the financial world a little less boring. Until next time, here's to financial freedom!
The hardest part of self investing in dividend stocks is finding the right company to invest in so that your investment today will grow tomorrow, and in the future. As a self investor, I like banks, consumer goods and utility stocks because they provide widely used services to society now, and there's a very good chance they will continue to do so in the future. Everyone needs food to eat and use health and beauty products. Everyone uses energy to heat their homes and consume power to use technology. And everyone uses banks to pay their bills and keep their money safe. To me it only makes sense to invest in companies that have a definite future and overall steady income stream year round.
Here's a chart of common stocks that I either already own, or are on my watch list. I may prune the list or add to it in the future, but for now it's a good start. I do not endorse anyone to invest without first talking to a financial planner and will not be held accountable by anyone who chooses to invest in companies mentioned on this list, or on my blog. If you choose to invest on your own, then that is your own decision and you are accountable for your own actions(Sorry for the technicalities, my wife must be rubbing off on me).
In no particular order, here they are:
Green highlights represent yields of 4% or more. I like seeing at least a 4% yield when purchasing common stocks otherwise you might as well invest in a GIC. Preferred shares are locked in at a certain percentage and are guaranteed to be paid out before common shares, but they do not get any dividend increases and I am after dividend growth.
So there you have it. I've shared the basic knowledge of dividend investing and hope you enjoyed the series. I'm sure I've lost some readers due to repeat information that I already posted, but who cares; Their loss is our gain! I'll be going back to my original posting style of adding some humor to make the financial world a little less boring. Until next time, here's to financial freedom!
8 comments:
Hi:
I'm sure you'll get lots of these, but I would include TransCanada Corp. TRP $37.96 4.11% on your list - another solid Canadian blue chip...
Well done Addicted.
Like cntrydad above, I like TRP as well. I hold a few hundred shares in that.
I like your table above, you've got some great payers in there! (And I'm not just writing that because it's half my portfolio!).
I just wish I had $10 K for every stock you have listed above. Alas, working on it... :)
Cheers,
My Own Advisor
I left TRP out because they cut their dividend,which is why I left Telus out as well. I may add TRP next month to the list due to popular demand :P
Thanks Cntrydad and FC for your comments.
Hi Guys:
Has anyone looked at AOG.UN , AV.UN ??
My goal is to pay as little income tax as possible. Their payments are return of capital.
What are your thoughts.
WBG
Re : TRP What dividend cut are you referring to ?
1999 dividend cut
This was a great series of articles to encourage people to invest in dividend paying companies.
Keep up the great work.
Thanks DM
I wanted to show people just how easy it is to self invest in dividend stocks. I hope it helped someone to see the light.