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Author: Rayvt Big gold star, 5000 posts Top Favorite Fools Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 75340  
Subject: Re: Invesment strategy: buy & hold? Date: 9/19/2013 4:14 PM
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I want to begin an strategy thinking in my retirement 10 years ahead. I have 70.000 $ now to begin, and I plan to invest 1.000$ per month.
...
Do you think I can built in 10 years a portfolio ... that can allow me to get a good cash flow from dividends when I'll begin my retirement? How much cash flow do you think I can get the day I retire 10 years ahead?


Hate to be the bearer of bad news, but you are in a world of hurt.

Plugging your numbers into a calculator http://www.dinkytown.net/java/CompoundSavings.html if you could get 8%/yr growth -- which you can't -- then in 10 years you'll have about $340,000.
Rule of thumb is you can safely take 4% a year out of that, which is about $1,100/mo.

Ten years is just not enough time for compound growth to work its magic.

Thinking in The Motley Fool information, what strategy do you recommend?
None of them. There is a lot of good information at the Motley Fool, and it is all free. It's all in the message boards, not on their subscription stuff that you have to pay for.

As far as "good cash flow from dividends" --- there's a lot to be said, but the biggest thing to be said is that just the fact that you ask this question and ask it this way is evidence that you are a neophyte and don't understand the Real Truth about returns. To wit: the only thing is "total return". There is no such thing as "dividend returns" or "capital gain returns" -- these are just two components of total return -- two different but financially identical ways of converting returns to cash.

Good luck.
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