You can have a nice income from stock dividends. However, you have to be prepared for the volatility of the underlying stock. The value of your stock portfolio will to up and down all the time. Sometimes the fall in the market can be a heart stopping 30 to 50%. However, if you have large dividend paying stocks, you generally do not need to worry about this.
What you need to worry about is if your stock cuts their dividends. Then you have to decide if the stock is worth holding or if it is time to sell it and more on. Another thing to worry about is if you stock goes down a lot, but the general market has not. Find out why and decide if the stock is still worth holding or if it is time to sell and more on.
Do not worry about the volatility of the market. If you stock is going up and down with the market or with the sector it is in that is not the time to worry. You only need to seriously review your stock if it is out of line with its sector.
On my other blog I wrote yesterday about Husky Energy Inc. (TSX-HSE, OTC- HUSKF)... learn more. Tomorrow, I will write about Goeasy Ltd (TSX-GSY, OTC-EHMEF)... learn more on Friday, June 2, 2017 around 5 pm.
This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.
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