Be a smart investor - invest for dividends!
Ever wondered why there are so few ads for dividend investing and so many for forex and day trading?
The reality is that the brokerages who advertise online make their money when you trade ... and the more you trade the more they make in fees.
What works for most private individuals in the investing sphere, though, isn't this kind of short-term speculation, but rather buying stocks in good companies, holding them in the long term and reinvesting the dividends WITHOUT paying large management or brokerage fees which erode your gains.
It doesn't sound sexy, it requires patience, but it works. It's what investing greats such as Warren Buffett and Charlie Munger have advocated for nearly a half century.
At RetireOnDividends, our mission is to show you how to find good companies to invest in, how to stay patient while you reinvest your income, and how to wind up rich.
On this site you can:
Be a dividend investor, like Warren Buffett
One of Buffett's favorite sayings is:
"Life [and investing] is like a snowball, the most important thing is finding wet snow and a really long hill." Warren Buffett
In other words, to be successful, you need the right kind of investments (wet snow) and a long time frame in which to invest (the long hill). If you do this correctly then compound interest will work wonders for you.
As an investor, it's hard to ignore the "Trade more to make more" messages that most ads put out.
But ignore them you must!
They play on your concerns that there's something better out there, that someone else with a "trading system" is making more than you or that if you put in more energy, you'll make more money.
But in our experience successful investing doesn't work like that... You have to treat stock purchases as investments in each business. You should look to buy up stakes in companies that:
- consistently generate lots of cash (cash is king!)
- have had high returns on equity (ROE) for many years
- have solid balance sheets with low debt
- have high and sustainable barriers to entry
- have a strong management and treat their investors well
We're here to help, so why not start by reading one of our articles on stock research or our top savings tips to help you maximise your investments.
We're here to reinforce the message of intelligent investing and patience. "Invest, don't speculate" is our mantra.
About your hosts:
My name is William John, I'm an internet entrepreneur and amateur stock and property investor.
Seven years ago I met my buddy - Mike Roberts - on the golf course. He was developing a significant income from a stock portfolio alongside his day job.
At that time I had become sick of being a landlord and at age 33, Mike's portfolio income burst through the $100,000 mark.
"You just gotta teach me how to do what you do!" I begged Mike and fortunately for me, he did. Since then I've been a regular investor, though still a rookie nevertheless!
Click to read more...
Hi I'm Mike Roberts. I made my first stock investment at age 22 just after finishing college. 12 years later, I'm fortunate enough to be pretty much set up for life.
Last year my stock investments paid me an income of over $100,000 and going to work has become an option rather than an obligation - I don't have to sell my time for a pay check.
Click to read more...
A closing thought from John D. Rockefeller...
"Do you know the thing that gives me most pleasure?
William & Mike (Site Owner/Contributor)
It's to see my dividends coming in!"
Mike - six-figure dividend earner
Got a BURNING dividend question for 6-figure dividend earner Mike Roberts?
What is it that you really want to know about investing?
Submit a query and Mike will write a page in response.