The Motley Fool Discussion Boards

Previous Page

Investing/Strategies / Retirement Investing

URL:  http://boards.fool.com/since-you-are-interested-mostly-in-income-you-may-28114080.aspx

Subject:  Re: income generating strategies help Date:  11/20/2009  2:09 PM
Author:  aj485 Number:  66495 of 75335

Since you are interested mostly in income, you may want to look at preferred stocks and/or capital trust preferred stocks. They generally trade around a par value (often $10, $25 or $1000), but have pretty reliable dividends that are usually higher than the dividends on common stock, since there is usually not as much growth opportunity.

There are risks that the dividends can be suspended (just like with common stock dividends), but some of the issues accumulate suspended dividends to be paid later, assuming that the company works through the issues that caused it to suspend the dividends.

A good starting point for research into these stocks is www.quantumonline.com You will need to register for access. The "Income Tables" link on that site is a good starting point.

AJ
Copyright 1996-2014 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us