The Dividend Guy Blog

Unconventional Lifestyle and Dividend Growth Strategy

Portfolio Building

Investing in Real Estate Through REITs

Blog, Investing Strategy, Portfolio Building

Real estate investment through REITs (Real Estate Income Trusts) is not only popular because REITs distribute generous dividends, but also because they’re easy to understand. We can easily picture an apartment building or an office tower and imagine tenants paying their rent. Investors are willing to purchase units of those businesses in exchange for income and peace of mind. REITs are landlords; they own and manage real estate in exchange for rental income. They have properties such as …

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When to Cash in on Your Winners

Blog, Investing Strategy, Portfolio Building

All investors share a goal. Making profit. How do you know when to cash in on your winners? A stock is up 20%-50%-75%. Will it keep going up? Is it about to crash? You feel you should sell, but you like that stock… Selling winners isn’t easy. Some put a limit on the stock price gain, for example, when they’re up 50% they sell the position. As a dividend growth investor, I choose stocks I want to keep for a long time, not for a quick buck. When you hold on to solid holdings for a long …

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4 Steps to Reduce Risk in a Near All-Time-High Market

Blog, Portfolio Building, Retirement, Site Introduction

Four steps to reduce risk in your portfolio ahead of whatever happens next, and to keep investing confidently even with the current high market. Yes, the market is high, almost the highest in the last 34 years except during the tech bubble in 2000. The Shiller CAPE ratio compares market earnings over time. It shows that the overall market is trading at nearly 31 times earnings. In other words, the entire market’s P/E ratio is 31. That’s expensive, and rattles a lot of investors. Never miss …

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Understanding the Financial Services Sector

Blog, Portfolio Building

The Financial Services sector is both exciting and scary for dividend investors. On one hand, you have solid banks that are the heart of our capitalist system; a sign of trust, stability, and growth. On the other hand, think about all the exotic financial strategies like mortgage-backed securities, options, and swaps. Even those who manufacture such products don’t always understand the complexity of the monsters they create. Get in-depth information about all sectors Recession-proof portfolio …

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How Sectors and Industries Guide Investors

Asset Allocation, Blog, Portfolio Building

Sectors and industries help investors understand what they’re buying. That’s a prerequisite for anyone who wants to buy sound investments, observe market turmoil without panicking, act when it’s needed, be successful more often than not with their decisions, and live with a lot less stress. In a nutshell, sectors are categories used to group companies that share similar types of business activities. Sectors are further divided into industries, also called sub-sectors) to group companies that …

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2023 Year-End Sector Review – Part 2

Blog, Portfolio Building

In this 2023 year-end sector review, part 2, we look at what kind of year it was for healthcare, industrial, technology, materials, REITs, and utility sectors. How is 2024 shaping up for them? Missed part 1 of our 2023 year-end sector review? No worries, read it here. Healthcare If you invested in healthcare in 2023, chances are you didn’t have a good year. The ETF benchmark shows a total return of -1.72% as of December 6th, but there are many major losers. The graph shows some companies …

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