What would you do with $80,000?

What would you do with $80,000?

What Would you do With $80,000? I talked recently about how I have quite a large amount of money coming my way soon as I’m finishing up my time teaching abroad in Korea. Pension payouts, housing deposit, etc, combined with the best exchange rate for Korean Won—>Canadian Dollars in a decade means that I’ll have roughly $90,000 come March 2016. Since I’m ridiculously frugal, and am living for free on a farm when I move…

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ETFs and Dividend Paying Stocks in a Single Portfolio

etf stock

Another reader question today: “Do you combine the 70:30 approach with dividend stocks (I mention a 70-30 approach for investing in my book, The Wealthy English Teacher, where I refer to something like having 70% of your portfolio in stocks and 30% in bonds)? Is it sensible to have a portfolio like the following: 10% HXT Horisons S&P/TSX 60 index 25% Vanguard FTSE Developed Index ETF 30% S&P 500 index 30% Horison’s Canadian Select Bond…

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High-yield = High-quality?

A mistake that beginning investors often make is going to a stock screener like Finviz and then simply searching for the stocks with the highest dividend yields, which in some cases are 10 or even 20%. If you buy shares of a certain stock worth $2000, it seems pretty fabulous to get dividends worth $200 (10% yield) or $400 (20% yield) every year. It seems like you’re make our original money back in 5 or…

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Stocks are at record highs: what I’m doing about it

The stock market indices such as the Dow Jones Industrial Average and the S&P 500 are at some record breaking highs. At times like this, people often get into a frenzied like state and throw money around trying to get in on the action. What am I doing about it? Basically nothing. Although I do have a good amount of cash sitting in my bank account here in Korea earning 2% interest or so, it…

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How much income?

One of my friends recently asked me about how much money I would need to invest to earn a certain amount of money each month. It’s actually quite easy to explain, but the actual calculations are a little bit complicated. I invest in dividend paying stocks and ETFs that pay a certain amount of money out in dividends/year. I hold some things on the lower end, such as VWO (Vanguard Emerging Markets ETF) at 1.2%…

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Dividend Champions and Aristocrats

I had a reader send me a question asking me how I decide which stocks to invest in. I have a few rules that I follow, but a good place to start your initial screening process is a list like this listing the US companies that have a consistent history of raising dividends over the long-term. There’s a lot of lingo, but this article from the Dividend Ninja does a good job of explaining what…

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