What a week it’s been!
I finally completed the move from Blogger to WordPress after a very busy and stressful period of buying hosting with HostGator, canceling my account with them, and then repurchasing hosting with Liquid Web because of capacity and customer service issues with the former. Couldn’t be happier with my decision thus far. Dividend Mantra 2.0 is off to a fantastic start. Judging by the feedback I’ve received it seems you readers are really enjoying the new look and the new features! I’ve also been testing out WordPress as I catch up on some drafts and get some serious writing done. I really like what I see so far with WP, as I’ve been writing my heart out. And I have to mention the move from Blogger to WP was made possible because of Emily from Emily White Designs. She helped get everything migrated over properly, so thank you Emily!
Of course, as a dividend growth investor I’ve also been quite pleased with some of the dividend raises I’ve received over the last week or so. Many of us are lucky if we see routine raises at our day jobs, let alone high single-digit or low double-digit pay hikes year after year. But that’s exactly what we get for the most part as dividend growth investors, with the likes of The Coca-Cola Company (KO) giving us a 8.9% raise just a couple days ago, and Lorillard Inc. (LO) following that up with a 11.8% raise. These dividend raises allow us to compound our wealth even faster, as the increased dividend payouts allow us to reinvest at greater rates by being able to buy more shares in companies that are also paying us more money via regular dividend raises. It’s this wonderful cycle of more money buying more money. And who doesn’t love more money??
A busy week, indeed. I keep forgetting that I’m on vacation! This sneak peek into financial independence is going very, very well. I’m telling you, it’s going to be hard to go back to work when my two-week break is up. But I’m more motivated than ever to make this break my eventual everyday reality. In the meantime, I’m going to include some light weekend reading.
But before I do, I just wanted to say once again: thank you to all readers for your continued support. It means a lot to me. This move to WordPress would not have been possible without you all! I appreciate you more than you appreciate me, because it’s truly wonderful to have an audience that enjoys my writing. I hope I’m able to continue inspiring and entertaining for many years to come. Now that I’ve got that off my chest…
Below, you’ll find a short list of articles I’ve recently read and enjoyed. I hope you enjoy them as well.
How to find long term dividend stock ideas
Dividend Growth Investor recently ran a screen against David Fish’s invaluable Dividend Champions, Contenders, and Challengers document and came up with some excellent candidates for further research. He also included some recent analyses on the screened stocks.
Canadian MoneySaver Webinar
Avrom is hosting his first ever investing webinar on May 6th, 2014. Very cool, right? Congrats to Avrom for this great achievement and free resource to the community.
Resigning from My Job and Moving to Thailand
Angela shares a heartfelt story on the anxiety she felt resigning from a job she generally enjoyed that paid good money to chase her dreams and imagination in Thailand. It’s a great story, because it shows that you don’t need to hate your job to chase after big goals like financial independence or traveling the world. Even if you love your job you lack autonomy if you don’t have enough passive income to do what you want at any given time. What if you love your job today, but tomorrow you feel like taking a month off and your boss says no? If you have no other options then no it is. However, if you build up income sources that are not dependent on your day job you can take that month off and more. In the end, what I’m talking about here – and what Angela is talking about – is freedom, not hatred toward a job.
Dividend Stocks Forever: An Endangered Species?
Tim discussed the potential of increased dividend taxation and what that might mean for future dividend growth. It’s an interesting subject, but I’m inclined to agree with Tim and deal with it on a company-by-company basis if the time ever comes.
Building a No-Cost Dividend Growth Portfolio with Loyal3
I’ve noticed a lot of chatter recently regarding Loyal3 – a brokerage that offers a limited number of stocks that you can buy commission-free. That means $0 to buy. I haven’t personally signed up for an account, so I can’t honestly review or recommend the company, but W2R has and did. My concerns mostly lie in the fact that this business model (no-cost trading) has been tried before, and it typically doesn’t last long. Maybe Loyal3 will be different. However, I always subscribe to the notion that there is no free lunch in life. Perhaps that’s just my conservative side. The nice thing is that Loyal3 currently offers no-cost options for transferring your shares to another account, so if they decide to start charging trading fees you could move on out if necessary.
A Glimpse Into My Busy DIY Landlord Week
Joe shares his busy week with us, and this experience is just one reason I don’t invest in rental properties. I have no desire whatsoever to be a landlord. Dealing with tenants, repairs, cleaning, vacancy issues, security deposits, and leaking toilets among many other issues is just my cup of tea, nor an idea of a good time. I feel Joe’s pain here. I invest in dividend growth stocks because PepsiCo, Inc. (PEP) doesn’t call me about a toilet that runs. PEP just sends me a cash every three months. That’s a relationship I quite enjoy. I’m aware rental properties can be quite lucrative, but I’m okay leaving some money on the table. And I’m also aware management companies can handle most of this stuff for you, but that cuts into the aforementioned lucrative aspect of these investments.
These 34 Dividend Growth Stocks Go Ex-Dividend Next Week
I published an exclusive article over at Daily Trade Alert that lists 34 dividend growth stocks that go ex-dividend next week. I also highlighted one company in particular that I feel is a pretty solid value at today’s price.
Should I Buy a Stock at Its 52 Week High
The Dividend Guy discusses some recent purchases he made with some stocks at 52-week highs, and how he did after the buys. I think the takeaway here is that even buying high quality dividend growth stocks at a peak isn’t generally all that bad of an idea, because even if they tank after you buy (like what happened to Mike after he bought MCD and WMT) you’re still collecting dividends while you wait for the stock to recover. This can turn a poorly-timed purchase into a great buy if you hold and keep reinvesting the dividends all along the way. None of us possess a crystal ball, so all we can do is analyze a company to the best of our ability and purchase when the valuation makes sense. Mr. Market is going to do what he wants to do, so no sense in getting caught up in that.
Welcome to Income Surfer
Bryan shut down Fast Weekly and moved over to WordPress with a brand new blog. Can’t say I disagree with the move since I did the same thing recently. He also included a great interview with the great Prof. Robert Shiller.
BLS Consumer Statistics: What Do They Tell Us?
Done By Forty discussed consumer statistics and pondered what they tell us. I’ve got my hand raised. Pick me, pick me! Answer: we spend too much freaking money. Spending money isn’t necessarily a bad thing, but I always try to make sure I’m getting value in every dollar I spend. And saving money/building wealth isn’t about avoiding the occasional $4 latte anyhow; it’s about cutting way down on the big three – housing, transportation, and food.
The Long Case For The Coca-Cola Company
Passive Income Pursuit published his analysis on Coca-Cola over at Seeking Alpha, and concluded it’s a pretty solid value at today’s price considering the risk and brand strength. I obviously agree after adding to my position this past week.
6 should-be-common-sense realities about doing what you love for a living
David highlighted some of the common myths about what it means to do what you love for a living and get paid for it. I agree with his thoughts here. I’ve come to change my view on this blog from simply a hobby to share my journey to financial independence to a real passion and outlet for me. I don’t plan to quit writing once I reach the mountaintop, but instead plan on writing even more because once I get there I want to share the view with everyone. I plan to transition away from doing something I don’t love (working at a car dealership) to doing what I love (writing/inspiring/investing) over the coming years, and I couldn’t be more excited about it. I won’t get rich at it, but I don’t need to.
Position Review: Year 5 Of Owning Emerson Electric
Retire Before Dad reviews how Emerson Electric Co. (EMR) has performed for him over the last five years. It looks like he’s done fairly well with this company, as have I. I continue to hold EMR, and like RBD do not plan on adding any more right now at today’s price. But it’s a solid industrial, and I can’t see any reason why solid dividend growth wouldn’t continue.
What It Means To Be Poor In America
Charles reminded us what poor really means. I couldn’t agree more, as I wrote about how rich we really are a while back when comparing a modern day middle-class American to pretty much anyone who’s ever lived on this planet anywhere, at any time. Try to never lose perspective. If you have the internet access and electricity necessary to read this article you’re already doing better than many other people around the world. Those of us chasing after financial independence are truly blessed.
Dividend Growth Update
It looks like we have a new convert. BJ has seen the light, and is interested in dividend growth investing as a potential strategy to bring him closer to financial independence. It’s great to see someone “get it”. I wish him the best of luck if he decides to pursue this strategy more and build up his portfolio.
Full Disclosure: Long KO, LO, PEP, EMR
Thanks for reading.