Want Thousands in Monthly Retirement Income? Focus on These Investments
The two primary ways to make money from stocks are selling them for more than you paid and dividends. The first one is straightforward, but the role dividends can play in an investor's total returns is often underrated. Dividends, paid out quarterly from a company's profits, are a way for companies to reward shareholders for simply holding onto their shares.
A well-rounded portfolio shouldn't only have dividend stocks, but it should have its fair share. When done correctly, dividends can provide thousands in monthly retirement income. Let me show you how.
There are exchange-traded funds (ETFs) that pay out dividends simply as a byproduct of some of the companies within it paying dividends. And then, there are ETFs that focus specifically on dividend-paying stocks that have to meet specific qualifications. If you're looking to invest in dividend stocks, focusing on dividend-paying ETFs can help you accomplish multiple things at once: dividends, diversification, and less risk.
Source Fool.com
