Subscribe to Money Morning get daily headlines subscribe now! Money Morning Private Briefing today's private briefing

The Secret to Superior Returns

Editor's Note: Keith's Money Map Report subscribers have enjoyed gains of 272% (and dividend hikes of more than 60%) since he recommended the stock you're about to see. Now he's going to show you a bit more about why he loves stocks like this, especially when used as part of a strategy like the Money Map Method. Here's Keith…

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 Report'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."

No doubt we all love the elation that goes with being up 25%, 50%, 100%, or more.

Don't get me wrong, though. I'll take gains like that too – and we get more than our fair share in the Money Map Report model portfolio.

Yet, when it comes to consistently growing and protecting our money, I'd rather focus on getting the cold, hard cash that dividends kick off. That's because I know those are a much bigger component of overall investment returns over time.

I point this out because what most people fail to realize is that successful investing is a matter of continuous performance – not instantaneous performance.

Here's where it gets really interesting…

The Returns Can Be North of 1,800%

In some cases, the dividends are so steady and increase so much that over time you can actually make more in dividends than you originally paid to buy the stocks that produced them.

Two of the founding fathers of modern investing made that abundantly clear in the 1930s.

Join the conversation. Click here to jump to comments…

About the Author

Keith Fitz-Gerald has been the Chief Investment Strategist for the Money Morning team since 2007. He's a seasoned market analyst with decades of experience, and a highly accurate track record. Keith regularly travels the world in search of investment opportunities others don't yet see or understand. In addition to heading The Money Map Report, Keith runs High Velocity Profits, which aims to get in, target gains, and get out clean. In his weekly Total Wealth, Keith has broken down his 30-plus years of success into three parts: Trends, Risk Assessment, and Tactics – meaning the exact techniques for making money. Sign up is free at totalwealthresearch.com.

Read full bio

  1. Mike Bailey | December 23, 2016

    "The secret of success is constancy to purpose" – Benjamin Disraeli

Leave a Reply

Your email address will not be published. Required fields are marked *

Some HTML is OK