Another great feature of tax-advantaged is to buy stocks by writing puts- if you buy the stock, fine, if you don't you still have the income. It's a great way to immunize against FOMO: "I do not mind owning this stock, but I'm happy whether or not the PUT is exercised against me".
The important thing is to invest, doing so in dividend companies can be as good as investing in companies whose name begins with a vowel, it is not decisive. The dividend is only an allocation of capital, therefore the important thing is that the company makes the best allocation of capital, whether via dividend or another form. But if it serves as a placebo, it is welcome.
For sure. The point I am making is in reference to how your dividend returns get taxed and therefore lead to diminishing returns unless in a tax advantaged account!
This is brilliant...Thanks!
Regarding point 5....Thoughts on Nvidia?
Nvidia is not my cup of tea. :)
You publish my favorite investment newsletter now
It's a true honor to have you, Andrei!
👌
I appreciate you, Herman!
Love it! Curious to know why is Netflix shown in Red?
The data are taken at the end of 2022. Netflix was down heavily back then
Great summary in images
Thank you, Daniel!
Thanks!!
Very good article, it is like the basics of the gym but in the investment.
Love the gym analogy!
Another great feature of tax-advantaged is to buy stocks by writing puts- if you buy the stock, fine, if you don't you still have the income. It's a great way to immunize against FOMO: "I do not mind owning this stock, but I'm happy whether or not the PUT is exercised against me".
True!
Muy interesante y didáctico
It's an honor!
I’ve always said invest in dividend stocks in tax advantaged accounts
The important thing is to invest, doing so in dividend companies can be as good as investing in companies whose name begins with a vowel, it is not decisive. The dividend is only an allocation of capital, therefore the important thing is that the company makes the best allocation of capital, whether via dividend or another form. But if it serves as a placebo, it is welcome.
For sure. The point I am making is in reference to how your dividend returns get taxed and therefore lead to diminishing returns unless in a tax advantaged account!
You can write some more interesting stuff about dividend investing here: https://compoundingdividends.substack.com/