If you are looking to build a portfolio of dividend stocks that can help you earn passive income to beat inflation or grow your wealth, the video below will show you the step-by-step guide.
Basically, you need to open an account with a brokerage, e.g. DBS Vickers, UOB kay Hian, that allows you to buy shares using their platform. You will also need open a Central Depository (CDP) account, that helps to safeguard your shares. Lastly, you need to have a bank account linked to your investment account so that your dividends will be credited there. A representative from your brokerage can guide you through the process and paperwork required to set things up.
I am using DBS Vickers as it is linked to my POSB/DBS ibanking account. The cash upfront account charges less commission when purchasing shares but will require you to top up into the account first before making any purchase. I do not recommend using DBS Vickers for buying US shares as there are other brokerages such as Interactive Brokers that charge much lower commission.
Earning dividends is a great way to make your money work harder for you, without doing much work, and is a classic example of passive income. However, do note that you are buying dividend stocks that have good fundamentals as you do not want to be losing your capital while earning dividends.
Some companies can promise high dividends and are unable to sustain them due to poor balance sheets and in the end, stock price drops together with the dividend yield. I made some of these mistakes in the early years of my investing journey and incurred a 6-figure loss that I share here.
Keen to learn about options trading but do not wish to pay for expensive courses, this newbie guide will help gain the knowledge and fundamentals to understand options better. And it’s totally free!
The Newbie’s Guide To Options Trading
The LEAPS Strategy has helped me make more than USD120,000 in 2021. Here’s all you need to know about this strategy that can help you increase your wealth exponentially:
The Ultimate LEAPS Options Thread
Looking for ideas on what stocks to invest in or which stocks to trade? You can take reference from what I have been buying or selling. I try to update them as soon as I can in this section, as well as share my thoughts behind executing these trades:
Excited to start your trading journey or perhaps try out with a paper trading account to build your confidence in trading? Check out this step-by-step to help you get started:
How To Buy Options on Interactive Brokers (Step-By-Step)
I watched tons of videos on YouTube since 2020 and if you are wondering if there are any useful channels that you can subscribe to for learning market trends, TA, FA, check out this compilation here:
My Secret Weapons For Options Trading: I Watch These YouTube Financial Channels Every Day
I concluded my first year of options trading with more than USD160k of gain, see how I do it and the capital I use for every month to give you a sensing of the percentage yield I get out of my gains:
1st Year Options Trading Recap: The Journey Towards SGD$217,509 Profits In 2021
This blog is as authentic and as transparent as I can share, I do not just show the wins and hide the loss. I have made some very bad decisions in the first 8 years of investing and paid a huge price for them. Here is the loss I have accumulated during these years. I hope you learn some lessons from my mistakes.
I Cut $135,715 Worth Of Losses In The Last 1.5 Months