Last week I went a little crazy and made 4 new purchases for my dividend growth stock portfolio. On a day when the market was down, I took advantage to make my buys using my monthly capital contribution plus some additional savings that I decided would be put to better use buying some shares of some solid quality dividend growth companies. The monthly income savings and my additional savings allowed me to buy 4 new companies to include in my…
When it comes to investing, the first thing I consider about a company is dividend growth. I prefer to invest in companies that have at least a 5 year history of annually increasing their dividend payment to shareholders. For me, a company that is able to grow it’s dividend over a period of time is usually a successful company. Also, management is showing their faith in the future performance of a company by committing to pay out a higher and…
The following is a guest post written by Mike from The Dividend Guy Blog and Dividend Stock Analysis. Mike has an MBA in financial services and writes about dividend investing since 2010. His goal is to use dividend growth power to retire early. When I was a kid, I always wanted to work in the investment industry. I had a grand perception of the financial industry and thought it would be so cool to be able to buy shares of…
When it comes to buying stocks, one of the most important pieces of advice is to not overpay. The price you pay for the companies you buy can make or break your investment. Even a bad company could turn out to be a great investment if you buy it at a great price while even the greatest of companies may turn out to be an awful investment if you invest when it is priced way too high. Typically I have…
Risk and reward are inseparable aspects of trading stocks, but that doesn’t mean we throw risk management out the window. While many suggest that bigger rewards require bigger risks, don’t be fooled… they’re just setting up an excuse in advance for when they misapply the common risk management techniques they espouse. By the way, if you just skipped over those two highlighted articles, you may want to familiarize yourself with them before going on. They form the basis of our…
Capital Preservation is Essential for Successful Investing This is the premise from which I draw the following conclusion: Use stop losses to protect your capital and gains! Listen… it’s just that I hate to lose money. Furthermore, I’m a weekend investor who doesn’t have time to sit in front of the computer screen for hours at a time, making daily decisions on stocks. So what can you do to prevent the 9% in a day drop? Sometimes nothing when…
When a beginner should start right? First, I think it should be with this realization. The bag is not the place to get rich quick ambitions. If wealth can be acquire in an instant, not in the field of investment, despite appearances. While you may hear some stories about homer in the end, most people moderately funded almost never get rich in stocks investment. Shareholder value: even if it doubles in a year or (a very unlikely event), you must…
This will seem weird… however in market timing, timing is the whole thing. Winning market investors are tolerant. They know how to monitor their impulses and to take action decisively while the stock market timing alert is given. Rather than acting on impulse, successful (profitable) stock market investors make use of a tested strategy of market timing, which has obvious entry & exit techniques, and strictly tracked. Delaying Gratification Discipline is the key for stock market timing success. Although discipline…