|
Income Investing Secrets Launched on Amazon
The only book dedicated to investing 100% for income is now available on Amazon in a trade paperback edition. Other books cover income investments, but keep within the mainstream framework that investors should first of all invest for capital gains.
 Print View
February 20, 2010 (FPRC) -- When investors buy stock hoping only for capital appreciation, they set themselves up for failure. They give up the income they could have been receiving from bonds and stocks that pay dividends. They set themselves up for an internal emotional conflict between greed and fear. They can't actually gain their "gains" or receive their "returns" until and unless they sell the stock. But then they lose out on future "gains" and "returns."
"Chasing after capital gains is like running after a desert mirage," according to Richard Stooker, author of Income Investing Secrets. "Yes, sometimes you actually find water, if you're lucky. But it's smarter to dig a well into a proven water table."
The book author continued, "The entire investing world is missing something very elementary. To profit from capital gains appreciation, you have to sell the stock. Then you no longer have it. Then you're back in cash. To stay invested, you must find another stock market winner. Research shows that a matter of luck, not skill."
On February 19, 2010 the Dow Jones Industrial Average closed at 10,402. However, it first broke that level on April 14, 1999 when it closed at 10,411. Therefore, the stock market has nowhere for nearly eleven years.
That means that, for nearly eleven years, capital gains "growth" stock buy and hold investors have seen their portfolios go nowhere. This would be true even if the market had not crashed in 2001-2002 and 2007-2009.
However, during the same period, income investors have received a steady stream of income and dividend checks. If they re-invest their earnings, they've continued to add to their portfolios, increasing the number of bonds or stock shares they own and therefore also increasing their incomes from those shares.
And even if they spent the income, they received a real, tangible return on their money -- and they still own their original bonds and stock shares. Interest rates fluctuate, yet most dividend paying stocks increase their dividends periodically. Some have a long history of raising them annually.
Check out Income Investing Secrets: How to Receive Ever-Growing Dividend and Interest Checks, Safeguard Your Portfolio and Retire Wealthy right now to learn more.
Richard Stooker is a freelance writing with a long time interest and experience in investing.
Send an email to Richard Stooker of Gold Egg Investing LLC
1-314-452-1764
Keywords:
income investing
|
