This Time IS Different – and Income is More Important than Ever

Dividend Investing, High-Yield Investing, Volatility
Golden coins and hourglass clock.

Dear Reader,

“It’s different this time” might be the four of the most dangerous words in investing. Market crashes occur when investors believe that traditional valuation metrics no longer apply. Another way to put it is that grossly overvalued investments eventually come back to earth, often violently.

Yet, I am going to go out on a limb and say things are different this time.

My reasoning: the pandemic produced unforeseen effects on the economy and investing over the last two years. The two most visible results are the supply chain issues and inflation like we haven’t experienced in 30 years.

These changes were caused by an unpredictable and unpredicted event: A pandemic. These types of significant events can change how humans operate.

Consider the long-term effects of the 9-11 attack. Before that attack, you could go to the airport 15 minutes before a flight and just walk to the boarding gate. Now you have to show up two hours (or more) early to make sure you can get through multiple security checks. September 11, 2001 was 20 years ago, and our lives still are significantly affected by that day.

Reflecting on this example, I suspect that the pandemic will produce long-term business and investing changes. Because this is a new paradigm, it is impossible to predict the changes and how we will be affected.

But here’s what I do know: high-yield income investing will continue to work for investors. Cash dividends are real returns on investment that won’t disappear in a market crash. Investors who have a stable cash income stream from their portfolios will be able to weather whatever the new “different this time” throws at them.

It’s why my premium Dividend Hunter members have outperformed and will continue to outperform the market. With access to my portfolio of more than 30 high-yield, low-risk dividend stocks as well as my 36-month plan for using those stocks to create a lifelong income stream, my members don’t have to worry about what the market will do. 

They know their extra dividend income can help them overcome any surprise bills, market crashes, or whatever else the economy will throw at us. Don’t take my word for it – see what they say for yourself by clicking here.

Covered call ETFs are an investment category that I believe will serve investors well over the next several years. These funds pay big monthly dividends paid for by short-term investors making their bets with call options.

Take a look at Global X NASDAQ 100 Covered Call ETF (QYLD), for instance. This ETF sells calls against the Nasdaq 100 stock index. Put the monthly dividends with the 10% yield on automatic reinvest, and you will be happy you did a few years down the road.For more income-generating stocks like QYLD, research, live webinars on how to best manage your portfolio, and much more – join me in The Dividend Hunter by clicking here.