Most of us at one time or another think about how we’re going to pay for our retirement, and usually that means saving and investing. On the other hand, another way to save for retirement is by focusing on creating income streams that provide for your monthly needs.
Funds essentially represent the ability to invest in shares from multiple investments at once. This can add instant diversity to a portfolio, as well as spread the risk around so that if one investment tanks, there are other investments limiting loss.
For some investors, dividend stocks make sense because they offer a degree of stability, as well as offer the opportunity to cultivate another source of income. As you put together an investing plan, consider the possibility of including dividend paying stocks.
While there are many things that you can do to improve your results with dividend investing, here are 3 tips that I’ve found especially helpful when it comes to choosing good stocks for your dividend portfolio.