3 Facts About High-Yield Dividend Stocks Every Investor Should Know
Income investing should be one of those activities that allow an investor to sleep at night. A steady return of cash via dividends is a great way to pay for retirement, college education costs, or any other periodic payment. Dividend stocks and fixed income investments are great ways to generate these returns.
But going with an income stock requires one to remember one general rule: common stock dividends are the last in line to get paid. So, when the company runs into financial difficulties, dividends are often the first expenditure to get put on hold. So, it's important to pick the right companies that manage themselves well enough to maintain and/or (even better) improve their dividends each year.
Here are three other tips to remember when navigating the investment seas of income stocks.
Source Fool.com
