Image source: Getty Images There are few things in this world more enjoyable than earning cash without lifting a finger. That’s the beauty of investing in dividend shares. The regular payments sent to shareholders feel like free money sent from above. That’s why I’m on a life-long mission to build a steady passive income stream from dividends. First, I must build up my portfolio’s value through the miracle of compounding returns. Initially, I can accelerate this process by reinvesting my dividends. I can further optimise my growth with a Stocks and Shares ISA, allowing me to invest up to £20,000…
Author: user
Image source: Getty Images Of all the ways to earn a second income, one that lets other people do the hard work sounds pretty appealing to me. That is exactly what happens in building a portfolio of blue-chip shares that pay dividends. Here is how an investor (even one who is investing for the first time) could put £200 a week into buying shares and aim to build a second income of £9,091 a year only a decade from now. Dividends can add up, especially over time How does that work? Putting the money into dividend shares can start making…
Image source: Getty Images Like getting enough sleep, avoiding social media, and building self-driving cars, buying shares below their intrinsic value is easier said than done. But it doesn’t have to be impossible. For example, shares in Lloyds Banking Group (LSE:LLOY) have climbed 50% over the last year and now trade above the book value of the underlying business. So is the stock still cheap? A results business The Lloyds share price got a boost on Thursday (20 February) when the bank released its latest results. Profits might have been down, but investors were impressed with the wider news. Pre-tax…
Image source: Getty Images When I look back over the last five years, the Glencore (LSE: GLEN) share price has been on a huge roller coaster. Extraordinary market dislocation back in 2022 enabled it to deliver record profits and bumper returns. But since those dizzy highs, the stock has fallen over 40%. But now is not the time for me to panic and sell. Enhanced shareholder returns One fact that I have long liked about the business is its upfront dividend framework. Each year, it returns $1bn from its marketing operation and 25% of cash flows from its industrial sector…
WASHINGTON — The Board of Governors of the U.S. Postal Service is bracing for an attempted takeover by the Trump administration and has retained outside counsel to fight any executive order to that effect, according to two sources with knowledge of the board’s plans.The board’s nine members, who are appointed by the president and confirmed by the Senate, held an emergency meeting after the Senate confirmed Howard Lutnick for commerce secretary on Wednesday, the sources said. In December, Lutnick first discussed his plans with President Donald Trump to dissolve USPS leadership and fold the agency into the Department of Commerce,…
Image source: Getty Images The FTSE 100 has a reputation for being steady, rather than spectacular, when it comes to investment returns. But Compass Group (LSE:CPG) might be an interesting exception. Including the dividend, the stock has returned over 10% per year on average during what has been an unusually challenging last 10 years. I think it’s worth investors taking a closer look. Contract catering Compass Group provides catering services to places like hospitals, sports stadiums, and schools. In other words – places that would rather not be running their own food operations. One obvious benefit to this type of…
Image source: Getty Images High dividend yields need to be treated with caution. On paper, they could be excellent for passive income. But sometimes they’re too good to be true. Let’s explore this by doing some maths. An investment of £10,000 in a stock yielding 16.5%, would generate dividends of £1,650 in year one. Assuming the amount received was reinvested, income of £1,922 would be earned in the second year. Repeat this for another 18 years — a process known as compounding — and the investment pot will have grown to £212,089. At this point, the company will be paying…
MISSOULA — Missoula County has approved the issuance of revenue bonds to reimburse the county for recent improvements to the fairgrounds, including the new rodeo grounds and the Rocky Mountain Gardens and Exploration Center.Andrew Czorny, the county’s chief financial officer, said the two projects were completed for roughly $24.4 million. The work also netted around $5.6 million in contributions.Czorny said he negotiated a decent rate with Stockman Bank and plans to publicly issue the bonds in the coming months.“Any issuance over $10 million, I try to go to a public sale,” he said. “In order the facilitate that this year,…
Image source: Getty Images The UK stock market is popular with passive income investors for a good reason. There are lot of high-yield shares to choose from – and many of them have long track records of generous payouts. As an income investor my portfolio is full of dividend stocks. I don’t buy anything else. But I’m starting to wonder if I’ve got a bit carried away. Looking through my companies, I can see that I own seven stocks with a forecast dividend yield of 9% or more. These are very high-yield stocks. Such high yields can sometimes be a…
Image source: Getty Images As interest rates look set to fall further in the coming year, trying to earn passive income from cash savings seems less attractive. Stocks and Shares ISAs are looking ever better to me. And quite a few FTSE 250 stocks are catching my attention for their attractive dividends. Assura (LSE:AGR) is one, with a 7.9% forecast dividend yield. It’s a real estate investment trust (REIT) with a portfolio of leased-out heathcare properties. Please note that tax treatment depends on the individual circumstances of each client and may be subject to change in future. The content in…