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 Passive Income from Dividend

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danmooncake
post Jan 19 2013, 12:58 AM

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QUOTE(Agent 592 @ Jan 18 2013, 05:22 PM)
Yea, that's how I calculate, that's why I am wondering about the feasibility of generating passive income through stock in Malaysia. Thought I missed out something
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There is no 100% guarantee that you'll get 6% divi all the time. It depends on the companies performance and discretion.
Also, don't freak out if the market goes into correction and your capital shrinks -20%. 6% divi also cannot cover.
If the company bankrupt, not only no more divi, capital can go to zero. brows.gif
danmooncake
post Jan 19 2013, 07:49 AM

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QUOTE(yamatotrading @ Jan 19 2013, 02:40 AM)
let me share with you what i have in mind.
Example : IGBreit 1.39 with dividend 6cents a year = RM60 a year.
average per month is +RM5.
Im going to buy 1000 shares a month so that every month my income +RM5. My monthly passive income will increase as below :
Jan +5, Feb +10, Mac +15, Apr +20... and it goes on.
After 20 years, you should be enjoying about RM1200 a month.

Im just an employed fixed income earner, i wont look forward for 2million capital with passive income RM10000 a month.
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Don't forget to project inflation for 20 years from today. RM1200/month won't actually be worth RM1200 you know. wink.gif




danmooncake
post Feb 13 2013, 11:36 PM

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QUOTE(Dividend Warrior @ Feb 13 2013, 10:47 AM)
I save around 70% - 80% of my salary.  shocking.gif

If there are opportunities, I will add more stocks.

But nowadays, the Singapore stock market is really high.....so I dun see any good opportunities.... cry.gif
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Fantastic! You can definitely retire early! thumbup.gif

danmooncake
post Feb 14 2013, 10:48 PM

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QUOTE(H86 @ Feb 14 2013, 06:56 PM)
70-80% savings probably means no house and car loan. Without gf/bf too. Too early for u to conclude can retire early because when he gets house loan, his savings probably same with other people.
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Everything except house(home) is a LIABILITY including GF/BF!

So, I stick by my conclusion. Divi Warrior is an EXCELLENT SAVER and he can RETIRE EARLY than most of us.
Good job, stick with the plan!
danmooncake
post Feb 14 2013, 11:46 PM

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QUOTE(netmask8 @ Feb 14 2013, 11:24 PM)
E.g of Real Life are Family, Excitement/Entertainment, Vacation, Luxury Gadgets/Exercise tools/Car,  ..etc..etc

Hope ppls understand what is life about ..

Have a great day.
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Hope ppls also understand what is DEBT is about too.

Some people have no concept of saving, goes on spending spree thinking short term only.. so spent all their cash, living in style, goes heavily in debt, save nothing for retirement, in the end, ends up BROKE! shakehead.gif


danmooncake
post Feb 15 2013, 08:53 PM

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QUOTE(Pink Spider @ Feb 15 2013, 10:14 AM)
If I'm earning 10K I also can save 70% tongue.gif
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Really?

Do you know that the higher the earnings, the more likely the average person will spend EVEN more!
The savers are actually the ones are average income or below. nod.gif

IMO, it doesn't matter how much you earn.. if one can save 20% or higher.. that's person is going to do well during retirement years.



danmooncake
post Feb 15 2013, 08:55 PM

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QUOTE(Pink Spider @ Feb 15 2013, 10:38 AM)
I have no loans but I pay all the bills and my 99% of my dad's pocket money doh.gif
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Interesting.. you and your dad have reverse roles. Does he not have his own job or retirement income? hmm.gif
danmooncake
post Feb 15 2013, 10:58 PM

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QUOTE(Pink Spider @ Feb 15 2013, 10:35 PM)
FYI, my personal spending pattern (but has taken up the responsibility of paying household bills and buying all the groceries doh.gif ) has not changed for the past few years while my income has risen during the same period. wink.gif
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QUOTE(Pink Spider @ Feb 15 2013, 10:35 PM)
He's retired and has exhausted his EPF and savings
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While I'm not sure about your dad situation, but I can understand, that typical of many Malaysians parents since quite a large number of them have blown away their EPF savings early and now have to rely on their kids for support. Lucky for me, I don't have that problem nor will I get into this situation later on when I retire.

If your responsibilities are household bills/groceries, those are probably mandatory spending that you can't avoid,
but the important thing is, did you increase your saving rate? If not, your income must increase otherwise inflation will kill it over time.

Get into those high quality investment and divi incomes like Divi Warriors..
Little by little, it will definitely pay off over time. wink.gif








danmooncake
post Mar 13 2013, 09:09 PM

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QUOTE(foofoosasa @ Mar 13 2013, 08:33 PM)
If something big really happen,
Go to your broker house, and ask your broker representative whether got customer or not. Usually very little dare to buy.

See newspaper, is it like a "doom" day everyday.

From psychological point of view,some of the "long term holder"  don't have holding power and start selling.

Let the market absorb the downturn at least 5-8 months ( Very big crisis). Open the chart and check whether the graph appear like Zig zag , especially no clear direction for 2 months.

If dun dare to but shot at once, buy every week according to your ammo.

All will work providing you choose the right stock.But this require some time to understand specific stock. During really bad downturn, it is pointless to watch the share price every single hour, instead use your time to keep finding gem before your sixth sense feel the bottom.After studied specific stock, you felt more confident to buy and buy more.So you won't miss the anticipation

Holding power, dare to oppose market is not something can be taught by others, it need some experience.

If the market can take short position for example in oversea ( you can found 1-2 weeks very bull, another 1-2 weeks drop like hell).

This is the advice from some old sifu, not from me  biggrin.gif . I just share what I know which may or may not apply to you all.

But personally expect nothing really big will come after general election, probably just a bit shaky in market. Let us see how things will be like for the coming GE  biggrin.gif
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Too add to that, market IS ALWAYS forward looking. Looks to me that FBMKLCI already discounted the GE and after GE, it'll go up even more or perhaps new highs here.

Agree, stock picking is not really everyone cup of tea. It is both arts and science. It takes time to learn and trial and error and pay your tuition fee (often become smarter after HUGE tuition fee - if you know what I mean. whistling.gif ). For those newbies who wanted to invest, better seek pros help from financial advisors - getting into unit trusts or something like that, which offers better diversification, than listening to your friends or buddies that a stock is good to buy.


QUOTE(Kamen Rider)
wait a minute.... how do u sure you buy at the low price during past crisis..... are we catching a falling knife...
currently all dividend counters stock price are sky high BAT, D Lady, Nestle, Digi, Maxis, Carlsberg, GAB, Amway, Aeon, Public Bank, Maybank etc.....
That's why no one can ultimately buy the bottom or sell the top. Yes, you could be catching a falling knife when you put money in and thought it is good buy. The thing about investment (or trading laugh.gif ) is learn how to manage RISKS. Learn to become a good RISK manager first, then ultimately you'll become a better investor. wink.gif

This post has been edited by danmooncake: Mar 13 2013, 09:12 PM
danmooncake
post Mar 13 2013, 11:55 PM

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QUOTE(prophetjul @ Mar 13 2013, 10:36 PM)
Twas my first stock. i bought it during Tiananmen massacre when HK mkt dropped to oblivion.
That time was HKD4.50.  When i sold in 2009, TWAS converted to sterling pounds 9 @ exchange of Rm7.50    biggrin.gif
saw the financial crsis coming in US.....reason i invested in gold in 2002!    biggrin.gif
i converted all my HSBC sale to GOLD
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Prophetjul,

Bought during Tiananmen? That's 1989 though.. hmm.gif

If that's the case, looks like you have survived '97 Asian Financial crisis, US dot com bubble ('00-01)
and sold twenty years later in '09 (US housing/financial crisis). rclxms.gif

Back in those days (88-89-early 90).. I remember everything has to go through remisier and over the counter trading.
Stock prices have to checked next day in financial section of news paper. laugh.gif

This post has been edited by danmooncake: Mar 13 2013, 11:56 PM
danmooncake
post Mar 14 2013, 10:12 PM

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QUOTE(prophetjul @ Mar 14 2013, 04:33 PM)
I was waiting for the impending financial disaster in the U.S.........same reason i bought gold in 2002.......i sold financials including HSBC.
i was trying to convince me wife to sell way back in 2006. She refused then.....thanks God she agreed in 2008 before the BIG slide!    biggrin.gif

But what i was trying to point out was someone was discussing holding stocks for years.......
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QUOTE(prophetjul @ Mar 14 2013, 04:36 PM)
Hi guys

i aint no sifu......just an old Fud.....
IF i was a SIFU, i would have bought Public bank back then    nod.gif

My recent FAILURES.........mining stocks..........BIG BIG fails! 

Although my SLW was success, i have recent fails as well.......my precious metal miners swings can be Rm200k
gains/losses in a DAY.......    shocking.gif
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Look, it is difficult to time things correctly, even for the pros. But, I think you did very well!

Just like my dad.. back in 1980, he didn't have much but was lucky enough he went thru with a company sponsored financial advisor to advise him on investing in US market since he was working overseas (US based company). There were 3 primary stocks that he picked after months of studying and discussing with his financial planner. IBM (Tech), PhilipMorris (Tobacco), Walmart (Retail). He got real stock certificates with just little few hundred shares.

Then... came 1987 black monday, Kaboom! Everything just went to the toilet.. clock almost reset back to zero.
But, he continues to stay invested, buy little by little with his paycheck deduction and matching retirement plan.
Before he retires, he finally able to cash out some shares to pay for my siblings and my education.

He's not a trader but real 'sock the money and put away' for rainy day.

Since retirement in 1999, he still got enough with nice monthly dividends enough to survive, nice home and car and he
got no debt. biggrin.gif








danmooncake
post Mar 15 2013, 08:47 AM

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QUOTE(prophetjul @ Mar 15 2013, 08:33 AM)
Nice Nice.............lots of good stories of long bagholders.........

Imagine only imagine is one held Public bank shares since 1967

written in 2011!    thumbup.gif
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If you hold those shares and they've gained substantially and multiple folds, that's not bag holder anymore,
that's like finding GOLD at the end of rainbow.

Now, if you're like yours truly. who survived dot com bubble.. went in and bought Cisco Systems for $60 in year 2000.
Now, that's like a huge BAGHOLDER. wacko.gif
danmooncake
post Mar 17 2013, 10:01 AM

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QUOTE(prophetjul @ Mar 15 2013, 11:29 AM)
Methinks we SHOULD learn from failures...........but its not usual........

we probably tend to analyse success more than failures.

many have not learnt from their failures because of various reasons, one of them being GREED and impatience IMO.
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Don't call 'em Failures.. call 'em ETF (Expensive Tuition Fees). tongue.gif

Mine was really expensive during Dot Com days.. six figures USD.
Can anyone top that? Took years to recover. laugh.gif


danmooncake
post Apr 22 2013, 02:05 AM

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Remember, "Long Term" is also relative... wink.gif



 

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