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Author: 0x6a74 Big funky green star, 20000 posts Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 81640  
Subject: Re: Drop Stocks, Buy an Annuity? Date: 7/15/2011 3:15 PM
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The only way you could get "stable" would be to sit there and by 30 year bonds each year.

but if rates go up and down, even that won't be Stable

As far as stocks, yes dividends can go down. But if you choose from Dividend Champions (Google the term), these are stocks that have a very long history of INCREASING their dividends. Still no guarantee (GM, BAC) but it cuts down the chances.

Plus, I'm not worried about the stock price going down. I'm buying the stock for the dividend. I kind of think about it like a bond/CD, I buy for the yield. I'm getting $x reguardless of price. If I'm not selling the stock, I don't care the price.

yes .. i completely agree you have a better plan ... very little down-side risk, some upside.

just askin' --OP seemed to value Stability overall ( wasn't $X per month GUARANTEED ) with as little down-side risk as possible -- there's no upside to annuities, but is there less down-side risk than a basket of dividend stocks and CDs/bonds?

(also Much higher fees with the annuities)
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