Wednesday, June 29, 2011

Covered call income ACI & DOW

          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.

Monday, June 27, 2011

McGrath rents, symbol MGRC dividend machine for June 27, 2011

Rents are a common source of income for we investors who depend not on our work for income but who depend on the cash our investments create.  With McGrath rents, symbol MGRC, we are talking about renting classrooms, tanks for hazardous materials, even rentals of environmental testing equipment.

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

WSO – covered call for more income

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

Molex, symbol MOLX Dividend Machine June 20, 2011

Molex, symbol MOLX is a company that income investors have probably never heard of but MOLX is my dividend machine profile for June 20, 2011. 

Friday, June 17, 2011

Secure Retirement Income - multiple income streams

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

Dividend Machine Xcel Energy Inc., symbol XEL for 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

Dividend Machine for June 6, 2011 National Health Investors, Inc., symbol NHI

                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

Texas Municipal Bond - income & profit

          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)

Friday, June 3, 2011

Dow down 700 points in 5 weeks; should the income investor care?

                Income investors care about the Dow Jones Industrial Average because many of the quality, dividend producing companies we own are in this average.