Not less work unless you want to scan thousands of stocks..... I spend a few hours for the European open a then few more for US and I don't have customers and bosses busting my ass....
I live off dividends, (and interest and rental income), I believe the best way to build that “mega capital” as you call it is to steadily accumulate capital in buy and hold investments and compound your income back into it. Due to the fact that trading increases your costs it’s going to have a net drag on the over all returns of those who attempt it, it’s a classic case of rabbit vs the hare, Traders think they will get where they want to go faster, but often don’t, I have seen it play out here all the time with some of the biggest trading advocates.
not always , if you get into a share early enough , your div. yield off an individual share can be well above 10% return ( often juicy enough for you to bank some cash for the lean years ) having shares in companies in a variety of sectors can help as well ( not every company struggles in synchronicity with the market .. but it might be different this time )
| Balance Date | Dividend Type | Cents per share | Ccy | Franked % | Ex-Dividend Date | Books Close Date | Pay Date |
|---|---|---|---|---|---|---|---|
| 30/06/2022 | Interim | 22.000 | AUD | 100.00 | 02/09/2022 | 05/09/2022 | 23/09/2022 |
| 31/12/2021 | Final | 42.500 | AUD | 100.00 | 31/03/2022 | 01/04/2022 | 20/04/2022 |
| 30/06/2021 | Interim | 20.000 | AUD | 100.00 | 23/09/2021 | 24/09/2021 | 15/10/2021 |
| 30/06/2021 | Special | 8.400 | AUD | 100.00 | 23/09/2021 | 24/09/2021 | 15/10/2021 |
| 31/12/2020 | Final | 25.000 | AUD | 100.00 | 31/03/2021 | 01/04/2021 | 20/04/2021 |
| 31/12/2019 | Final | 11.250 | AUD | 100.00 | 31/03/2020 | 01/04/2020 | 20/04/2020 |
| 30/06/2019 | Interim | 14.000 | AUD | 100.00 | 25/09/2019 | 26/09/2019 | 17/10/2019 |
| 31/12/2018 | Final | 22.500 | AUD | 100.00 | 28/03/2019 | 29/03/2019 | 18/04/2019 |
| 30/06/2018 | Interim | 14.000 | AUD | 100.00 | 13/09/2018 | 14/09/2018 | 05/10/2018 |
| 31/12/2017 | Final | 22.500 | AUD | 100.00 | 28/03/2018 | 29/03/2018 | 18/04/2018 |
| 30/06/2017 | Interim | 13.500 | AUD | 100.00 | 14/09/2017 | 15/09/2017 | 06/10/2017 |
As a practical observation, if there's a thread specifically about the market falling, and it's on a forum which is specifically about the stock market, then I think it's fair to assume most involved will have at least some interest in active trading.
That's not to say there's anything inherently wrong with the idea of long term investing and so on. Just that it's not the only approach and not the one to which short or medium term market direction is most relevant.
It's a bit like saying there's nothing wrong with classical music. Indeed there isn't but it's not really the place you'll find an audience wearing black T-shirts, headbanging, raising their horns and preferring to stand rather than sit. Even less likely you'll see women's underwear thrown at the band.
There's a place for everything and in the context of short to medium term market direction, those interested will be those actively trading.
Personally for my actively traded account it's about 30% in stocks / 70% cash at the moment. Sold very heavily last week - that wasn't an effort to predict the Fed announcement, it was simply that the wheels started coming off the market and hitting my stops. Selling started on the 15th - the market was starting to falter well before the announcement.
Or even for those simply buying into a managed or index fund.
well i am not planning any draw-downs , however over the last two years there have been all-cash takeovers that provided cash injections , and hopefully i can maintain a cash buffer to take the bite out div. disruptions ( and i live a fairly frugal lifestyle , so am partly cushioned from inflation )
If we're at the point where it's not possible to buy shares due to cash accounts being frozen then realistically it's game over for life as we know it.
well we could look at Greece and Cyprus as examples of what MIGHT happen and say minimal amounts of withdrawals ( say below $1000 a day ) for say 4 or 6 weeks , now sure there might be some nice deals four weeks after the crash , but what about those who get margin calls or have option dealsIf we're at the point where it's not possible to buy shares due to cash accounts being frozen then realistically it's game over for life as we know it.
well we have been in 'uncharted territory ' for quite a while , almost anything irrational could happen , IN THEORY Australia could become self-sufficient ( again ) but would we even tryLike @Smurf1976 , I have some cash on the sidelines. But over time cash decays away due to inflation of goods and services as well as appreciating asset prices !
We are feeling it now in the current inflationary environment, so I could only imagine how cash may become trash in a hyper-inflation scenario, as @divs4ever said
if a stock moves up, and at a later stage I find myself with some more capital, as long as the new higher price still represents good value I will buy.
As I said there is nothing wrong with attempting to beat the market average return by trading, but I do think discussing the pros and cons is important.As a practical observation, if there's a thread specifically about the market falling, and it's on a forum which is specifically about the stock market, then I think it's fair to assume most involved will have at least some interest in active trading.
That's not to say there's anything inherently wrong with the idea of long term investing and so on. Just that it's not the only approach and not the one to which short or medium term market direction is most relevant.
It's a bit like saying there's nothing wrong with classical music. Indeed there isn't but it's not really the place you'll find an audience wearing black T-shirts, headbanging, raising their horns and preferring to stand rather than sit. Even less likely you'll see women's underwear thrown at the band.
There's a place for everything and in the context of short to medium term market direction, those interested will be those actively trading.
Personally for my actively traded account it's about 30% in stocks / 70% cash at the moment. Sold very heavily last week - that wasn't an effort to predict the Fed announcement, it was simply that the wheels started coming off the market and hitting my stops. Selling started on the 15th - the market was starting to falter well before the announcement.
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