Our passive income ideas & rules of thumb for passive investing should help, BUT, do your own due diligence. Keep an eye on your selection and on the company’s news feed.
Click the ticker at left to see each company’s profile on Yahoo Finance. If you are lost or confused, you should take an introductory class on investments at your local college or hire a competent financial advisor with references you trust. An * indicates I own the investment. Rules of thumb for passive income investing follows this list.
IEP – Icahn Enterprises 16.34%
GZPFY – Gazprom 13.69%
CG – The Carlyle Group 5.54%
CLM – Cornerstone Strategic Value Fund 19.63%
SPYD – S&P 500 High Dividend ETF 6.12%
VNQ – Vanguard REIT 3.96%
VNQI – Vanguard Int’l Real Estate 8.68%
SBRA – Health Care REIT 7.76%
KMB – Kimberly Clark Corp 3.22%
MLPGX – Oppenheimer SteelPath MLP 20.45%
MFBP – M & F Bankcorp 19.6%
ARR – Armour Residential REIT 13.5%
GIM – Templeton Global Income Fund 3.25% yield (GIM invests in government bonds.)
GGN – Gabelli Gold & Nat Res Trust 16.55% (Options income from gold & gold related investments.)
AGD – Alpine Global Dynamic Dividend Fund 10% yield
AOD – Alpine Dynamic Dividend Fund 14.22% yield
BGY – Black Rock Int’l Growth and Income 15.5% yield
SGL – Strategic Global Income 15% yield
BOE – Black Rock Global 14.8% yield
CII – Black Rock Enhanced Capital and Income Fund 14.7% yield
EXG – Eaton Vance Tax Managed Global 14.1% yield
IVR – Invesco Mortgage 11.31% yield
AGNC – American Capital 12% yield
CYS – CYS Investments 12% yield
EONGY.PK – E.ON AG 9% yield
MMM – 3M Corp 3.61% yield
BCA – Corp Banca SA 7.8% yield
KMP – Kinder Morgan 5% yield
T – AT&T 5.47% yield. (I believe telecom is a good place to be.)
TICC – TICC Capital 10.40% yield
HTGC – Hercules Technology Growth Capital 8.45% yield
PFF – IShares S&P Preferred Stock Index 5.72% yield
FAX – Aberdeen Asia Pacific Income 8.15% yield
AB – Alliance Berstein 9.7% yield
AWF – Alliance Bernstein Global Income 8% yield
VIV – Telefonica Brazil 4.8% yield
TWO – Two Harbors Investment Group 19.15% yield
PSEC – Prospect Capital 14.34% yield
FGD – First Trust Dow Jones Global Select Dividend 7.02% yield
SPFF – Global Preferred ETF 5.88% yield
VYM – Vanguard High Dividend ETF 3.75% yield
VZ – Verizon 4.22% yield
SDIV – Global X Super Dividend ETF 12.25% yield
HYG – iShares iBoxx High Yield Corporate Bond ETF 4.94% yield
DEM – Wisdom Tree Emerging Markets Dividend ETF 4.91% yield
MIC – Macquarie Infrastructure 6.8% yield
RY – Royal Bank of Canada 4.05% yield
VOD – Vodafone Group 4.87% yield
- You may also want to consider municipal bonds.
- If you want a cash investment, investigate foreign currencies that pay much higher interest.
- Another idea (a risky one) is to buy shares on margin, collect the dividend, and sell. Look up the ex-dividend date (the day you need to buy shares by to receive the dividend) and line up a bunch of trades.
- You can hedge (insure) large stock positions with “long puts.” Keep in mind you can’t insure closed end funds (CEF’s) and mutual funds with puts.
- You can learn about options trading at the CBOE.
- You might consider covered calls for higher income.
- Preferred stocks and preferred ETF’s could be an idea, as well.
- Remember, you can get capital gains (appreciation of share price) and increasing dividends.
- Remember, wait for closed end fund’s (CEF) price to drop below their NAV before you buy.
- Look into “the dogs of the Dow” strategy.
- Look into the “Iron Condor” options strategy. Iron Condors can yield up to 20% per month.
- Don’t expect to hold many of the above investments forever. Stay on top of the ones you choose.
- You will find it helpful to run stock screen tools on Yahoo Finance, CNBC, or Guru Focus to find big yields.
- Be sure to read the last three years 10K and 10Q reports for prospective investments. Make sure the companies you’re researching are not using debt to pay dividends.
- As a rule of thumb, buy investments with a P/E ratio between 20 and 40. Too low of a price/earnings could be a value trap. You could find a winner with a P/E under 20.
- Marcus by Goldman Sachs offers a savings account that pays 2.25% (variable) in interest currently.
- Consider tax lien certificates.
- You can earn interest on your bitcoin and other cryptos by loaning your coin through a company like Blockfi, Binance, sushi, or many other places.
- Be careful with high yield bonds. Bonds are debt. Interest rates are low. What does a high yielding bond suggest its risk level is? How about the reward?
- I’d say people with little cash shouldn’t invest exclusively for dividends. You’d need a tech stock, right? 🙂
- I’d park cash for the short-term in a simple money market.
- Check out our “Wealth Calculators” page.
- Read materials that the pros read, like: Capitalist Exploits Blog.