Forex Magnum


8 Stocks for a Flourishing Income Portfolio


If you keep your goal focused and plan your strategy accordingly, you don’t need to hold a great deal of stocks to accomplish a well diversified and bountiful income portfolio, says Roger Conrad of Personal Finance.

Buy the business, not the yield. Diversify your holdings across sectors and individual stocks. Re-balance your portfolio every three months to pare exposure to your winners. Never use a stop-loss order or “average down” on a falling stock. Enter buy-limit orders to pick up high-quality stocks when they temporarily tumble.

These simple rules will spare you considerable pain in these volatile times. You’ll also reap a stream of dividends as you wait for your stocks to rally.

Monthly dividends are a major selling point for many Canadian equities, such as favorites Canadian Apartment Properties REIT (CDPYF) and Vermilion Energy (VEMTF). But investors should never buy a stock simply because it pays a dividend frequently. The key is to own a collection of high-quality names that pay dividends on different dates.

Any balanced portfolio should contain at least 12 to 15 individual stocks. This time-tested strategy will allow your portfolio to weather a complete disaster for one of your holdings. Even better, you can ensure a payout every two weeks by holding as few as six of our Income Portfolio selections.

Any combination of portfolio stocks should be diversified across sectors. The Income Portfolio includes exposure to a wide range of businesses: US electric utilities, energy-focused master limited partnerships (MLP), overseas essential service stocks, communications, community banks, real estate investment trusts, big pharmaceuticals, super oils, preferred stocks and high-quality and non-investment grade bonds.

The more sectors in which you invest, the better protected your portfolio will be against the challenges in any individual sector.

Here’s one example of a portfolio culled from our Income Portfolio holdings that will deliver a payout roughly every two

The stocks we’ve highlighted are high-quality selections suitable for even the most conservative investor. Investors willing to take on more risk might consider swapping AES Corp Preferred C (AES-PC) for Vanguard GNMA. Those seeking less volatility could substitute Canadian Apartment Properties REIT for Vermilion Energy.

Subscribe to Personal Finance here…

Related Reading:


Sei un Analista Tecnico Indipendente Professionista del mercato FOREX? Registrati anche tu nella comunità ed elabora insieme a noi strategie automatiche di successo! Dettagli


Sai programmare in MQL o usare il MetaTrading? Registrati e contribuisci alla programmazione di trading system, script e indicatori per MetaTrader. Dettagli


Ti piace il Trading? Vieni in Trading Room a Cosenza, guarda le analisi tecniche real time dei nostri indicatori e decidi quando entrare nel mercato. Corsi base ed avanzati. Dettagli

Non esistono ancora Commenti per questa news.

Archivio News


1 2 3 4 5 > >>

This Distributor Is a Bargain

10 Comeback Stories to Watch in 2012

Bouncing Back, Five Cents at a Time

8 Stocks for a Flourishing Income Portfolio

Quantitative Easing and Its Impact on Gold

Option Outlook 2012

Market Outlook 2012

Five Step Trading

3 Stocks Show: ‘It’s Earnings, Stupid’

3 “Golden Rules” of Forex Trading

2 Rock-Solid Short-Term Bond Funds

This is Not a Test…It’s a Buy

4 Bright Spots in a Bear Market

Top Resource Stocks for 2012 on Sale

This Growth Stock Remains in Style

This Stock’s P/E Proves its Potential

A New Day for the Airline Industry

6 Metals Plays Primed for Strong Gains

3 Little Names That Can in 2012

This Classy Retailer Is Above the Fray

An Easy and Effective Way to Buy MLPs

Want to Diversify? Start with These 5

3 Names Right out of Santa’s Gift Bag

5 Income Stocks That Defy Volatility

5 Stocks Quietly Riding the Trends


1 2 3 4 5 > >>