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Stocks to park my $$ in with High Dividends
- Thread starter sledged
- Start date
If you were going to dump things into just a few companies, then look around for things that have lasted with time and have always gone up.
Colgate, McDonalds, 3M...
However, while I have confidence in these companies, its true that one may go out of business at some point in time.
Therefore, an ETF or a mutual fund might not be out of the question.
Colgate, McDonalds, 3M...
However, while I have confidence in these companies, its true that one may go out of business at some point in time.
Therefore, an ETF or a mutual fund might not be out of the question.
Why not just buy SPY and enroll in DRIP.... You will be making money in up years and losing in down years. You won't be worried about whether your idea of a Large company paying good dividends will still be paying good dividends or even being in the industry as the world evolves. Also you won't be wondering why the few stocks you picked are not going up while the market is at new highs while your stocks are losing money.
Just my 2 cents though
Just my 2 cents though
Dividend investing is not my game, but for someone who is looking to just park some money I would look at some of the preferred ETF's. www.etfconnection.com has handy lists of them. As I recall they pay about 6-8% yield. Diversifying through a few ETF's makes more sense to me than just buying a handful of common stocks. High qulaity common will not pay that much, and you have individual company risk. One blown earnings will take away a couple of years worth of dividends. REITs, MLPs and income trusts also would be worth considering.
Again, not a recommendation, just a suggestion.
Again, not a recommendation, just a suggestion.
CEF's, as posted earlier : http://www.elitetrader.com/vb/showthread.php?s=&threadid=58688
http://www.etfconnect.com/
http://www.etfconnect.com/
Quote from sledged:
I am 23 and looking to park my money in 5 or 6 large cap, high dividend paying equities. I am in the commodities industry and dont have the time to watch the equity markets so I want to park my funds into companies that will be around for the long run and provide me capital gains as well as pay me dividends which i will reinvest and let my returns compound over the next 30 years or so. I was wondering if anyone could help me with a couple of suggestions as to some good companies to satisfy these criteria. I was thinking Walmart, Microsoft, Home Depot, companies of the like. Any suggestions or other strategies are appreciated. I know this is a trading website but I want to go this route on top of possibly trading a small account on the side. Thanks for any help in advance
Dividend plays are nice if you are already financially well off, but since you are only 23 years old and looking to build a nest egg you should have a portion of your money in small and mid cap stocks.
Good luck.
Quote from Longhorns:
Dividend plays are nice if you are already financially well off, but since you are only 23 years old and looking to build a nest egg you should have a portion of your money in small and mid cap stocks.
Good luck.
Not necessarily if he is looking for something low maintenance. Investing in small caps requires the time and effort to watch and monitor.
If you reinvest the dividends for many, many years you can increase your share balance and the stock can putter along and you will make money since you own more shares. And if the share price rises, even better. Reinvesting dividends over years can be a powerful and low maintenance thing. This is of course an 'investment' not a day trading strategy. Very different courses of action.