How you can get a "regular paycheck" as an Investor
How many of you got "paid" to be a shareholder recently!?
One of the companies I bought (please, not a recommendation to invest in this or any company mentioned) during the sell down just paid its quarterly dividend (again) on 15 Oct and it actually INCREASED from the previous payout. At this rate, the gross yield on purchase price is about 10% per annum. COVID? Some companies are able to keep on keeping on. :)
That's the beauty of investing:
- No headaches
- No worries about sales or inventory
- No need to solve any staffing issues
- No need to worry about tenants or customers
- No contingent liabilities
You can literally go sailing for a year and be incommunicado and the "paycheck" will just keep rolling in. This particular company happens to pay every 3 months, some do it every month.
The KEY then is to figure WHAT these resilient companies are, and then make sure you invest in them at a reasonable price. Then, rinse and repeat!
PS: Obviously there is risk in any form of investing so pls bear that in mind. And make sure you know what you are doing, otherwise it is not much different from gambling.