During the past few days the market has rebounded nicely. One way to verify market's strength is to see if you can get some additional income from covered calls. As you know we expect to receive a minimal 10% gain from covered calls particularly if we are committing additional capital.
Wednesday, June 29, 2011
Covered call income ACI & DOW
Monday, June 27, 2011
Chevron, symbol CVX
Income investors have to find Chevron, symbol CVX an interesting study in dividend investing. In January I profiled Chevron as one of my 52 dividend machines with some trepidation. CVX's price of $92.37 was near its high and the dividend yield was only 3.08% which just met our criteria for a dividend machine. See Original Post
Tuesday, June 21, 2011
Milking money out of our dividend machines is a two edged sword. You get more income but you could lose your stock. How do we milk more money out of our dividend machines?
Monday, June 20, 2011
Friday, June 17, 2011
Multiple income streams are very important in retirement. Think of multiple income streams as income diversification. Just as investment diversification among industries is important to protect against capital loss should one industry have trouble, having multiple income streams helps to protect against loss of income.
Monday, June 13, 2011
Income investors, we have returned to the concept of stocks for widows and orphans. The economy is going nowhere. We cannot buy bonds or certificates of deposit for income, as they pay nothing and cost way too much. So we are back to investing as if we are widows and orphans.
Wednesday, June 8, 2011
It has been said the three most important inventions were the lever, the wheel and fire. In personal finance, use of the lever provides significant advantage.
Monday, June 6, 2011
Real estate is part of many income investors’ cash flow strategy; including me. Those investments were very problematic in recent years. While I do not include individual ownership of real estate as a subject in this blog, I have selected a real estate investment trust for our dividend machine profile for Monday, June 6, 2011.
Sunday, June 5, 2011
Municipal bonds are essential investments in the taxable accounts of income investors. While all bonds including municipals are expensive; finding a good one requires quite a bit of work; opportunities for both income and profit do emerge now and then.
I profiled an insured municipal, transportation bond issued by the State of Texas on January 20, 2011. (see Original Post)
I profiled an insured municipal, transportation bond issued by the State of Texas on January 20, 2011. (see Original Post)
Friday, June 3, 2011
Income investors care about the Dow Jones Industrial Average because many of the quality, dividend producing companies we own are in this average.