Most companies in FTSE 100 and S&P 500 are global companies.
Agreed - I’ve planned that spending will increase in retirement but mortgage will be paid off and removed so hopefully income required should stay level.
This is why my portfolio will be one spread globally.
I’m not afraid, I think that as long as people are aware of potential problems then they can prepare for them. Then they switch from problems to opportunities. Of course you can’t prepare for everything but we have an aging population so it’s something we can kind of see coming.
What I was trying to say was that dividend investing (as long as you chose companies with great balance sheets etc) will make it easier to ride through the difficult times.
I hope I am spending most of my time on cruises when I retire
It’s not. China, South Korea and Japan all have rapidly ageing populations. This is a major threat to nearly a third of the worlds population and the major growth centres.
is that from buying more stocks or just the price of your dividends and stocks going up? Can you teach us how?
I invest £250 per week.
We will agree to disagree. This isn’t the right advice to give. Companies who are established can give dividends and can continue doing so. I have held MCD for over a decade and other solid companies. Dividend Aristocrats and there are many of them have been paying dividends for the last 25 years. If these companies had fundamental problem they would not be able to maintain the dividend. If you do analysis of the stock and read their financial statement you can clearly see if it is something they can continue paying for the foreseeable future.
You can find companies that offer growth and some dividend back with dividend growth added in there. An example of this is Apple. Historically dividend yielding companies before better and in a time of crisis I would still want to be paid.
If you’re in your 20s you shouldn’t follow that strategy, look at the highest dividend paying stocks 30 years ago, you’ll only want a handful of those now.
If you’re 40+ then fair enough.
True to an extent. If you are early 20 then I completely agree. In addition, we will have a pull back soon so 20 - 30 or whatever percentage is due for a correction as this can’t be maintained so the general will invest in these. Whatever works for you but to knock it off complete is silly. I make around 8k in dividends and 8 percent in growth. Everyone has a different target.
Dividend aristocrats aren’t necessarily the highest dividend payers. the strict definition is companies who have consistently raised their dividends for over 25 year. I’d argue these are exactly the companies you wanted in you portfolio 30 years ago, and most are still worth holding now
There are another group of companies who carry on paying the big dividend even when profits/cash flow is not great. They end up with a high yield % wise because of a falling share price. these can be risky as the dividends may not even make up for the loss in share price
How’s the Portfolio going Louis ?
Hi Richard Iam going to do a update tomorrow so stay tuned
Nice update Louis.
I think fractional shares will be very useful for your portfolio when available. You can be really nimble with share purchases and dividend reinvestment with fractional shares.
Great video Louis. As usual. I look forward to the next one.
Tom
Nice video mate. I am curious, what % of your portfolio would you like to be in silver? Do you have a figure in mind or is it just a case of however much the dividends will buy you for the foreseeable future?
When you say you are buying silver stock do you mean companies which mine/refine silver or do you just mean a silver ETF?