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No. of Recommendations: 5

valuation as a floor conservative value and forget the concept of potential appreciation

The title of this service is Income Investor. The companies on Hold are labeled as such because it is believed they are not good targets for new money to be invested to provide Income at a reasonable price.

Price appreciation is a secondary factor opposed to services such as SA, MDP, RB, Options, etc. II is not a good source to find multi-baggers.

Income Investor is about providing a cash stream. Example: My dividends and interest are sufficient to pay more than 100% of my annual expenses. Only 1 of my dividend payers has reduced it's dividend. Including that reduction, my 12 month dividend increase is 7.87% based upon my current share count. The average increase is 18.24%.

The appreciation of price is very much appreciated, but the plain matter of fact is many of these companies have a tendency to be cyclical. Over long periods of time, they grow but over a shorter term like 5 years they go up and down. Look at the Sell rec for PFE(isn't hind-sight great!) If it had been held, it would have returned about 16% annual. Buying it new at the sell would have a better return.

Don't look at Income Investor picks in the same light as the other services.

Look at them as a Dairy Herd. You want milk to drink, make butter and cheese with and to use to buy other things. If you slaughter the herd, no more milk. However, good herd management dictates that you need a supply of new heifers to replace aging cows that drop in production.

So, Buy the Buys, Hold the Holds and Sell the Sells.

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