Why there wasn’t more money in More Dividends during 2017
Some of you may be wondering why there wasn’t more money flowing into More Dividends during 2017. There were actually several factors that weighed on this. Some I have discussed previously but some I have not really spoken on very much. So I want to discuss them here and explain why I think they are good decisions for my strategy to acquire financial independence.
If you are a frequent visitor of my site then you probably read my last article about cryptocurrency. I initially put capital in this space during 2017 but currently my investment in this space is compounding growth by itself. That’s not to say that I won’t add more capital in the future. I have been using Bitconnect to grow my capital in this space. I have been taking that interest and reinvesting it back into the space. So I have created a portfolio that will grow through appreciation as well as the compounding factor.
If you have been following my site for a while you may remember back in 2016 I first wrote about an Employee Stock Purchase Plan. I have been taking advantage of the ESPP but I increased my contributions during 2017. I will continue to acquire stock this way but I always have the option to sell and then I can put that money to work at More Dividends. My plan though is to hold the shares for the full 2 year period so that I get the maximum benefits on the taxes. While these contributions do show up in my net worth, they are not reflected here on More Dividends. So even though they do not show up here on More Dividends they are helping me strive for my goal of financial independence.
This last factor I have not spoken about very much. As you will learn in the near future, I have been reading some books that have opened up my eyes to a more macroeconomic point of view. So in doing this it has expanded my thought process beyond just the stock market. Although I am still a big fan of buy and hold dividend growth stocks, I have been reaching out into other areas to help shore up my overall investment portfolio. So I have started acquiring gold and silver bullion. As the dollar weakens, I think the price of these commodities will continue to go up. So I have started slowly adding to these positions. Some people are preparing the same way by acquiring stock of companies that operate in these ares but I am choosing to acquire the hard asset instead. I feel as though there is too much financial manipulation that can happen if you are only owning stock in these sectors.
These 3 factors all coupled together led to not as much money being put to work in the More Dividends portfolio. I do think in time that these strategies will pay off and help me as a reach for financial independence. There are other investment vehicles that I think would help as well but I haven’t found the right opportunities yet. I always try to keep in mind that my whole goal for More Dividends is to help me reach financial independence so I have to stay open to other opportunities that will help me get there.
I am very interested to hear about your other investing vehicles that you may be using as you strive for financial independence as well. Just let me know in the comments below because I always enjoy good conversation of ideas!
As always I look forward to reading all of your comments and questions, until then….. happy investing!
-Jason from MoreDividends.com
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Nice diversification strategy. I am too early in DGI to look for alternative strategies. My current capital is just about sufficient to fund my DGI portfolio. I am tempted to invest in a rental . But, its going to take time.
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I am still early in it as well. I just feel like I have to move on the best opporunity that I can find based on my knowledge and my capital. Remember there are ways to get into real estate deals with no money down š Thanks for stopping by!
Jason, definitely more than one ways to skin a cat and so more than one way to invest. I like DGI a lot, but also recognize that it’s not the only way. So, to that extent, I also invest in real estate. I currently own one home that I’m renting out and will hope to buy a second home later this year or early next. I also contribute to my Roth 401k and Roth IRA. Finally, I dabble in the crypto currency market. Multiple streams of passive income is the name of the game.
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I currently am investing in all of the ways that you mentioned except real estate but I have been doing my homework and trying to find some good deals. I am curious to know, what market is your rental property in?
I remember you writing about ESPP! It’s been a long time.