Salary out
Wish I have RM2mil. Then I can buy dividend stock, earn 5% to 6% dividend. That's RM100k to 120k tax free income. Then I can retire. But I'm still loooooooooooooooong way from my target

Maybe between 5 to 7 stocks and reit.

Maybe.

That's also fine. Then I will reinvest part of my dividend to grow my capital. Then I will receive even more dividend in the future

Instead of measuring the CAGR of the Net Earnings of the Company, what I prefer is to measure the CAGR of the Earnings Per Share. Some companies keep increasing their number of shares and by measuring the Net Earnings of the Company then I would not get the true earnings growth. Measuring the EPS is the better method.

"I want buy....."
Buy what? The stock or the real estate?

girls erect get two antenna.

Today in TheStar obituary got one Raymond Chan. Is he the RC who drives up the stock?

Yes, there is a distinctive difference.

Instead of using stock, let's use property as illustration. Then it will be easier to see the difference.

In property, we have the investors who treat buying properties as investment. The investors buy the properties with the intention to earn returns from rental. This is the primary objective. And if the properties price rise substantially many years later, then they might sell to realise the gain, or continue to keep as rental. Most of the times, the reasons for selling is not to take profit, but could be for getting the funds to buy another property, migration, pay Ah Long, retirement, divorce, death, etc. Profit taking is usually not the primary reason for selling. The investors would rather keep earning the rental instead of killing the golden goose.

On the other side, have flippers who treat buying properties as trading. The flippers buy the properties with the intention to sell in the short term and hence profit from the capital gain in the properties. They are not interested in rental, though sometimes when the flippers could not flip so fast, then they are open to the idea of renting out the properties to get some cashflow. But the primary motive is still to profit by selling, and not profit from rental.

Now coming back to stock, we have investors and traders.

An investor buys the stock with the intention to participate in the growth of the company and profit by receiving all the company's future cashflows as dividend. The trader buys the stock with the intention to profit from the price rise of the stock. The trader is not interested in the dividends because he does not hold the stock long enough to receive the dividends. The only interest the trader has with dividends is, "Will the dividend cause the price of the stock to increase? So I can sell at a higher price?" Whereas the investor would not even be thinking of selling because he wants to continue receiving the dividend from his golden goose.

Because of the nature of the product, I would say it is easy for the participants to lie somewhere between an investor and a trader. Meaning there'd be some investment stock and some trading stock in a person's portfolio. I think a pure investor or a pure trader is a rare occurrence.

A firm that invests in private companies is called private equity firm.
What do you call a firm that invests in public companies?