The $6.5-Trillion “Cash Wave” That Could Fund Your Retirement

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The $6.5-Trillion “Cash Wave” That Could Fund Your Retirement

Right now, there’s $6.5 trillion in cash sitting on the sidelines—and a big slice of it is about to drop straight into a select group of dividend stocks.

We’re going to “front run” that cash wave today—and set ourselves up for income (I’m talking 6%+ yields here) and gains as this cash wave starts to build.

In a sec, I’ll name two dividend-payers sitting right in the path of this freed-up cash. One is a true “dividend unicorn,” shelling out an outsized 6% payout that grows. The other has doubled its dividend in just the last five years.

Our $6.5-Trillion Dividend Plan

Let’s start by breaking down that $6.5 trillion figure: It’s the amount of cash in parked money-market funds today.… Read more

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5 Steps to Turn $500K Into $39,965.51 Per Year

$500K can be enough money to retire on. Even as early as age 50!

The trick is to convert the pile of cash into cash flow that can pay the bills. I’m talking about $39,965.51 per year in dividend income on that nest egg, thanks to 8% average yields.

These are passive payouts that show up every quarter or, better yet, every month. Meanwhile, we keep that $500K nest egg intact. Or, better yet, grind that principal higher steadily and safely.

Got more in your retirement account? Cool—more monthly dividend income for you!

We’ll talk specific stocks, funds and yields in a moment.… Read more

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This “Dividend Unicorn” Has Sent Its Payout Soaring, Yields 7.4%

What if I told you I’d uncovered a dividend “unicorn”: a stock with a 7.4% yield that’s hiked its payout by five digits in the last 14 years?

It’s the kind of thing that “breaks” common investing wisdom. Most folks, after all, think you can have a high yield or a fast-growing payout, but not both. Verizon (VZ) is the classic case, with its 6.9% current yield. Sure, the telco’s payout does grow, but only around a penny a year.

Verizon’s “Pay a Lot, Grow a Little” Dividend

On the other side of the scale is a company like Mastercard (MA), whose dividend has soared 500% in the last decade, from just $0.11 quarterly to today’s level of $0.66.… Read more

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2 Deadly Dividends to Sell “on the Rip” (and 2 Proven Payouts to Buy Now)

Look, we’ve all loved watching our dividend payers rocket to the moon these past few weeks. Best part is, most of the market has been onboard: 

Everyone Wins in This “Close Your Eyes and Throw a Dart” Market

Here we can see the jump in the S&P 500 as a whole (in purple) versus its return on an equal-weight basis (in orange). Sure, there’s a bit of a gap, but safe to say this has been an across-the-board surge.

We can (in a backhanded way!) thank Jay Powell—just as he hinted that high Treasury yields were doing the Fed’s work for it, the bond market (figuratively) flipped him off … and Treasury yields plunged from 5% to around 4.6% now.… Read more

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Did You Miss the Rally? 5 Still-Cheap Dividends Up to 12.3%

Mr. and Ms. Market are manic. Always have been, always will be. My fellow contrarian, they reminded us of this fact yet again.

Fortunately we were zigging while the broader crowd was zagging.

The herd’s “FOMO panic” last week pushed many of our stocks higher. Vanilla investors covered their ill-timed short positions and scrambled to buy bargains. Like the dividend deals we bought in October!

Did you miss out? Have cash suddenly burning a hole in your pocket? If so, no worries, a few select dividend deals remain.

I’m talking about yields up to 12.3% and discounts up to—get this—46%.… Read more

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Why 2024 Will Be a Terrific Year for Dividends (and 3 Ways to Play It)

2024 is setting up to be a great year for us contrarian dividend investors—but to take full advantage, we need to buy now—while fear is still in the air.

Because that terror is totally unjustified. 

Here’s how I see the current state of play: Fed rate hikes are toast, and a Santa Claus Rally is on tap. In fact, the more Jay Powell tries to persuade us he’s going to keep bringing the hurt (as he did again last week), the hollower it rings.

Look, inflation is on the wane, and the last thing Jay wants is a repeat of the March banking mess.… Read more

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5 Easy Steps to Retire Early on $500K

$500K can be enough money to retire on. Even as early as age 50!

The trick is to convert the pile of cash into cash flow that can pay the bills. I’m talking about $35,000 to $40,000 per year or more in dividend income on that nest egg, thanks to 7% and 8% yields.

These are passive payouts that show up every quarter or, better yet, every month. Meanwhile, we keep that $500K nest egg intact. Or, better yet, grind that principal higher steadily and safely.

Got more in your retirement account? Cool—more monthly dividend income for you!

We’ll talk specific stocks, funds and yields in a moment.… Read more

Read More

How to Retire Early on $500K

$500K can be enough money to retire on. Even as early as age 50!

The trick is to convert the pile of cash into cash flow that can pay the bills. I’m talking about $35,000 to $40,000 per year or more in dividend income on that nest egg, thanks to 7% and 8% yields.

These are passive payouts that show up every quarter or, better yet, every month. Meanwhile, we keep that $500K nest egg intact. Or, better yet, grind that principal higher steadily and safely.

Got more in your retirement account? Cool—more monthly dividend income for you!

We’ll talk specific stocks, funds and yields in a moment.… Read more

Read More

This Will Be the Most Profitable Trend of 2022 (and We’ll Ride it to 7%+ Dividends)

Here’s my best advice as 2022 dawns: ignore the media’s constant bleating about inflation and supply-chain issues—these two boogeymen are nowhere near the threats everyone thinks they are!

In fact, terror-ridden headlines about either mark an opportunity for us contrarian income-seekers. So let’s go ahead and tap these investor fears for dividends yielding up to 10%, plus market-crushing returns as the crowd (inevitably!) comes around to our view.

Hints of a Supply-Chain Revival

More data will come in over the next few weeks to make things clearer, but so far there is one strong hint that the business press’s doomsday scenario—surging inflation, a stock-market correction and tighter corporate profits—just isn’t on.… Read more

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These 3 Dividends are Growing by 28% Per Year, Every Year

If you’re not yet as filthy rich as you hoped you’d be by now, don’t worry—we still have plenty of time to get you there.

And I’m not talking about investing your “growth capital” into risky fly-by-night names in hopes of buying high and selling higher. We can scale our money more securely—and just as spectacularly—by purchasing sound dividend payers that happen to be growing their payouts rapidly. Here’s why.

There are three—and only three—ways a company’s stock can pay us:

  1. A cash dividend.
  2. A dividend hike.
  3. By repurchasing its own shares.

Everyone loves the dividend, but investors usually don’t give enough love to the dividend hike.… Read more

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