My favorite kind of money does three things.
First, it grows. And it keeps growing every single year - by double digits.
Second, and unlike most corporate profits, it only gets taxed once.
And third, it's "lean." The businesses paying my favorite kind of money are very sensitive to cost, while retaining virtually no earnings. After all, they have to pass through nearly all their income to investors.
Few investments give you all three of these benefits, of course. That's what makes the shares below so attractive.First, let's look at each of my "favorite money factors" more closely...
The (Simple) Secret to an Early Retirement
In my early career, I was fortunate to do well financially while working at Goldman Sachs. I also made the decision to live below my means, and to invest intelligently. By my late twenties, I had amassed a seven-figure nest egg, and in my early thirties, I actually took an extended vacation for about five years.
What I came to learn, however, is that you don't have to work for Goldman Sachs - or be a multi-millionaire - to be able to retire comfortably or early.You don't even have to figure out your "number"...
The Secret to Superior Returns
From the Editor: You're going to hear plenty of analysts telling you where to put your money today. But tomorrow you're going to hear them telling you to put it somewhere else. That's because mainstream advice is reactive, driven by headlines. Results, on the other hand, are driven by time-tested strategy... like the one you'll find in this excerpt from Keith's book, "The Money Map Method."
Many people are surprised to learn that dividend income and reinvestment can account for nearly 90% of total stock market returns over time.
That's right. Not a quarter... Not half... But 90%.
That's why placing a high priority on dividends in the [Money Map's proprietary] 50-40-10 Strategy is paramount to its success.
Unfortunately, this goes counter to the inclinations of far too many investors. They spend the bulk of their time chasing "the next hot stock" or searching for the next "sure thing."Here's where it gets really interesting...
Three "Dead Money" Investments, Plus One "Living Large" (Part II)
Yesterday we looked at what may now be the single greatest risk to your retirement dreams - a seemingly benign 1% move in the 10-year Treasury yield. (See Part I.)
So now I'm going to show you what to do about it...
Remember, if we're going to keep increasing our wealth at a significant pace, we need to make a big adjustment.
Only a handful of companies can grow your money by 10% or more a year now. I'm going to show you three of them.
But please, before you buy these shares...
Sell your "dead money."
There are three brand-new forms of it.
The first one is obvious, but I'm going to cover it anyway. Any cash you have tied up in this asset will be in "zombie zone" far longer than anyone thinks. And millions of American investors own the other two investments.
Perhaps you own some of these companies, too.
Either way, beware...
To continue reading, click here
This Is the Perfect Trade for a 14-Day Market
This is a great way to make some extra money right now.
Over the next 14 days, I expect stocks to remain mired in a relatively tight trading range, as nobody wants to place any really big bets on what's going to happen before the Federal Reserve makes its Sept. 18th announcement on if and/or how it will "taper" its QE bond-buying program.
And you can make money from this range-bound activity with one simple trade.
It takes about 10 minutes to place. It'll last just 10 days. And it'll give you the perfect blend of low risk and high probability.
So here's what to do...
How to Succeed in the Low-Yield Inflationary Matrix
In the 1999 sci-fi film, "The Matrix," the mentor Morpheus turns to the protagonist Neo and says, "Do you think that's air you're breathing now?"
The quote has become somewhat of a modern classic movie line, as the words serve to enlighten Neo that all is not what it seems in the world he perceives.
For income investors, there's a new matrix of sorts, and it's a world dominated by the very real toxic cocktail of low yields and rising inflation.
Income investors-most of whom are near or already in retirement-now are forced to breathe the thick air of dwindling income from traditional sources, and the rising costs of all sorts of goods and services.
On the yield front, we've seen the pernicious effects of the Federal Reserve's easy money policies on traditional yield-generating securities such as Treasury bonds.
Money Morning's Fitz-Gerald Talks Market Volatility and Key Factors of a Winning Stock
March 9 marks the second birthday of the bear-market low reached in 2009. The Standard & Poor's 500 Index has surged 95% since then, and the Dow Jones Industrial Average has climbed 87%. But many investors have missed these big gains. They're still parked on the sidelines afraid of losing money to market volatility. A recent study showed 73% of Americans find it impossible to plan for retirement because of wild markets.