As from April 2013 my Journey in Investing is to create Retirement Income for Life till 80 years old for two over market cycles of Bull and Bear.

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This blog is authored by an old multi-bagger blue chips stock picker uncle from HDB heartland!

"The market is not your mother. It consists of tough men and women who look for ways to take money away from you instead of pouring milk into your mouth." - Dr. Alexander Elder

"For the things we have to learn before we can do them, we learn by doing them." - Aristotle

It is here where I share with you how I did it! FREE Education in stock market wisdom.

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Value Investing
Dividend/Income Investing
Technical Analysis and Charting
Stock Tips

Tuesday, 13 October 2015

Dividends As Passive Income???


Tell it to those are sitting on large paper losses whether they are anguish or not.

Come on! Put XIRR on paper loss + dividends and see whether you will see negative number or not! Still passive income when XIRR is negative? Chun bo?
 

When sitting on paper losses, dividends are just Panadol to ease heartache and practicing the art of self-consoling that dividends are coming soon!

When sitting on paper gains, the larger paper gains and higher dividend yield on investment will earn the right to shout loud in the Cyber World about their Money Tree and Passive Income.


















15 comments:

  1. Hi cw8888, when one just started investing maybe will see paper losses during bear times but over a long time each trough will be higher than the previous or next previous peak so there really wont be paper losses over the long run.
    Unless of cos one takes a trading stance
    My 2 sen

    ReplyDelete
  2. i think in the long run it's when you need to sell.
    But why someone says, "We are all dead in the long run in stock market'?
    Of course, we will in real life.

    ReplyDelete
  3. haha,
    uncle

    if overall net net, no earn no lose. already considered good enough

    ReplyDelete
    Replies
    1. May be. May be
      You still have your capital intact.
      But what's the motive for us to risk our money in the stock market?
      Stock can go to zero, you know.

      i know.
      i have had a few if not more than I want to admit.
      Don't play, don't play my friend.

      Delete
    2. so uncle temperament

      u still investing? or quit liao?

      Delete
    3. i believe in money matters is for a lifetime.
      The difference is I have lowered my huddle's mark very much now.
      When I first started I had thrown into the stock market the so call 'lock, stock & barrel'.
      We dared to do that because we were 'DINK' & debt free, then.

      Delete
    4. Jason Zweig 10 word investment philosophy:

      Delete
    5. In long term, either you win or bang your head as you are better off becoming saver

      Delete
    6. Actually in terms of 20 to 30 years, not necessary you will win.
      Real investment of HP (still holding after 25 years) under "DRIP" .... from 73 units ....bonus issue till now 684 units.
      And HP spin off companies Agilent, Keystone, still don't really make money.
      Lost on exchange rate from SGP $3 to now $1.4 for 1 US $.
      How % have i lost on exchange rate alone.

      And if you are a Japanese investing in Nikkei market 20 years ago or more, till today you will lose money.

      Delete
    7. then why we are still here to losing?

      money too much??

      Delete
    8. Yes money too much also don't known where to invest after one or two rental properties.
      That is my wife's nephew--a surgeon in private practice.
      Easily earning a million dollar per annum.
      Now starting to "tikam, tikam in SGX. too.

      Delete
    9. Tikam tikam is bad. I know quite a lot of high earners >300kpa. Tikam till burn.
      The smart ones will buy blue chips n hold.

      Delete
    10. Ha! Ha!
      Not so stupid (like me lah) unless becomes too greedy.
      Multi-millionaire by annual income can afford to tikam one.
      Tikam only like SGX leh!

      Delete
  4. Haha..very true. we r all dead in long run.
    So maybe no need to sell anyway...

    ReplyDelete

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