Becoming A Dividend Hunter - Investors Alley

[Pages:9]U.S. Dividend Stock Investing for Canadian Investors

Becoming A Dividend Hunter

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Becoming A Dividend Hunter

Let me make a bold statement. It is likely that The Dividend Hunter is different than any other stock market service or advice that you have read. You'll see why as you begin to explore my newsletter issues, the Endless Income components, and the buy of the week emails you'll receive every Tuesday. So welcome to the club! It's going to be a fun ride. As you'll see in all of the Endless Income reports that you now have access to, I'm all about earning an income from the stock market. Stock prices will swing up and down, but with my investing strategy, the income will keep flowing. Dividends can be relied upon. It's cash in your pocket that you choose how to spend. Capital gains, on the other hand, can be here one day and gone the next. All your hard-earned savings do nothing if you have to sell them to realize any of the returns! Dividends are the opposite. Think of dividends like investing in your neighbor's business. Where every week he drops a check in your mailbox. You participate in the success of the business with real cash payments. As you become acquainted with the investing strategy of The Dividend Hunter, you will have all of the resources to create multiple cash income streams from high-quality businesses. The businesses I recommend and analyze in The Dividend Hunter are long-term, cash flow businesses.

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Becoming A Dividend Hunter

We're not investing in pie-in-the-sky businesses that could be here today and gone tomorrow. We're investing in the backbone of America's economy, and getting paid cash to do it! There's one thing you must do to become a Dividend Hunter. You have to change your mind set on what investing success looks like. Not doing this is one of the major roadblocks I see preventing my readers from becoming successful income investors.

The Dividend Hunter Strategy and Mindset

I can go on for hours about this (and you'll get plenty of content inside of my newsletters on this topic as well) but let me share the foundations in 400 words. I'm sure you're antsy to see the portfolio and purchase your first stocks (if you haven't already!) I have decades of experience with investments, both my own and as a financial advisor. And with all of that experience, two major factors pushed me to develop the Dividend Hunter strategy. First, in a world of ultra-low interest rates there are no safe investments, such as CD's or government bonds, that will provide a reasonable return on your capital. And by "reasonable return" I mean enough to live on while still outpacing inflation. Earning 2% to 2.5% just won't work to generate compound growth or provide an acceptable retirement income. Second, I have discovered it is much easier for individual investors to lose money in the stock market than it is for them to make it.

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Becoming A Dividend Hunter

And if you do have a winning year, it's almost impossible for individuals to repeat that and produce attractive returns over time.

Fear and greed are powerful forces that push investors to do the wrong thing at the precise wrong times.

This is the most important part, so I'll repeat this.

Most individual investors (people managing their own accounts and non-institutional investors) are skilled when it comes to "buying high and selling low".

I've created The Dividend Hunter to solve both of these issues.

The Dividend Hunter is a simple strategy that you can stick to through bull and bear markets.

In the traditional sense, it's not a stock picking service or a trading service.

And when you follow The Dividend Hunter's system, you will avoid the self-destructive path most investors end up on.

The Dividend Hunter strategy takes a contrarian approach to investing in the stock market.

The Dividend Hunter will guide you on how to build a portfolio that will provide an attractive dividend income stream.

The average yield from the stocks on the Dividend Hunter recommendations list is about 8%.

History shows that over a long-term investing horizon (the kind of time frame every investor needs to take), your total returns will be about the average yield.

You can even add a percent or two each year to keep up with dividend increases from the individual stocks.

And the best part is that the 8% income stream flows into your brokerage account no matter what stock prices are doing.

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Becoming A Dividend Hunter

If stocks are falling and, in a correction, or even bear market, you still earn the dividend income which can be reinvested (Dividend Hunters love buying shares on sale). And you can still provide an income for your retirement without forcing you to sell your investments at a loss. This last point is a major benefit why I urge everyone I meet to adopt an income investing strategy. When you retire, you must replace your income. And you really have two choices:

1. Sell off your hard-earned assets to fund your retirement 2. Invest in dividend stocks and collect an income on your assets to fund your

retirement I will always choose #2. And as we build our relationship together, I will show you why #2 is a safe, reliable, and simple way to manage your finances. A couple of final thoughts. You can't earn dividends unless you own shares of dividend paying stocks. It's a simple idea but it prevents you from trying to jump in and out of the market (another great way to lose money). Dividend Hunters own shares of stocks at all times. Our buying and selling moves will be more subtle and not based on metrics you might be used to. I like to take profits on the stocks when the yields have gone down (prices up) and do the opposite when yields have gone higher (prices down). So be on the lookout for my "Buy of the Week" emails every Tuesday. I always send out a great stock that represents solid-value at its price at the time.

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Becoming A Dividend Hunter

One final note, in the stock market we have no control on a stock's price. It's near impossible to predict what share prices will do in the short to intermediate time frame. But, and this is why I am an income investor, we have a lot of control on how much we earn in dividends. And, now that you're a Dividend Hunter, you will exercise that control over your portfolio results.

Getting Started Guide for You, the New Dividend Hunter

Step 1: Set aside all of what you have learned about investing in the stock market. The Dividend Hunter approach strives for income stability through the up and down stock market cycles. Being a Dividend Hunter means creating an income that you can live on. So, all new Dividend Hunters must learn to forget about what share prices are doing. Is your income increasing quarter over quarter and year over year? You're doing it right! Forget about share prices. Step 2: Take a stroll through your Member Area on the website. I have posted a lot of good material all designed to help you become a smart income stock investor. There is a Special Reports section and every back issue of the Dividend Hunter newsletter. There is an education section in each issue with my advice and guidance on how to manage a stock portfolio to produce attractive, stable, growing income.

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Becoming A Dividend Hunter

Step 3: Buy your first Dividend Hunter recommended stocks. Head over to the Start Out Portfolio page in your member area. The Start Out portfolio can be your foundational income stock holdings. These are steady, sleep-well-at-night income stocks that I also hold as well. Step 4: Now that you own some income stocks, you need to think about your income stock portfolio strategy. Don't worry about putting everything together into a detailed mission plan right now. I provide a lot of planning advice as we go along. Your first priorities are to decide whether you will draw an income from your income stock portfolio or plan to reinvest earned dividends to produce some compound growth. I have a detailed report on the power of dividend reinvestment and a strategy that will show you how to rapidly compound your investment income. You can check out that report HERE. Step 5: Set up your dividend income tracking system. As Dividend Hunters, we measure investment success by tracking dividend income and the growth of that income stream. Your brokerage account will not do an adequate job of income tracking. You can use a notebook, spreadsheet or try out Investors Alley's Divcaster online tracking tool. This tool will automate your dividend investment tracking, send you notifications on your holdings (like when you get paid and how much!) and simplify the entire dividend tracking process.

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Becoming A Dividend Hunter

You can sign up for an account using this link: signup it comes with a 60-Day money back guarantee. I can't stress how important it is to have a dividend income tracking system to become a successful income stock investor. Step 6: Set a goal of owning every stock on the Dividend Hunter recommendations list. Step 7: Don't rush into Step 6. I send out a Stock of the Week email every Tuesday. Following this recommendation will allow you to build up your portfolio over time, picking up shares when the values are attractive. Step 8: Fix in your mind that the Dividend Hunter system will work for you through those periods when stock prices are down. Write this down on a post-it note and put it on your fridge, get a tattoo, do whatever you need to do to remind yourself that our strategy will sustain your income through the next bear market! The great failure of many investors is to panic and sell their stocks when prices fall. All this does is ensure they lose money in the stock market. As you develop your own Dividend Hunter mindset, you will become ready to buy quality dividend paying shares when they go on sale.

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