Money Dividend

  Disclosure : I own shares in Freetrade. Freetrade is a relatively new trading app that started in the UK and has now opened up across Europe, the app essentially allows you to do as the name implies, purchase and sell shares without a commission fee. Of-course there's still a currency conversion when buying stocks in currencies other than your home currency, however compared to many other investment services, this is very cheep when taking into account the cost of buying and selling shares. The Interface Having used Feetrade for almost 4 years now I've found the interface of the app to posses a beautiful and simplified design. When opened you are presented with a clear list presenting all of your positions, the number of shares, and the amount of money those shares represent, as well as the percentage that those positions are in the green or the red. Scrolling down you are presented with a watch list that clearly shows how each ticker you'r watching has done over a month ...

Investing in Shares For Dummies The very basics! Buy Here:  Investing In Shares For Dummies. When i first started doing research into purchasing shares in companies i purchased several books, however one book a friend had purchased for me stuck out above the rest when it came to providing information on all the basic concepts of investing.  Investing in Shares For Dummies sets out not only to give you all the details you need on purchasing shares and what the concept of share ownership means for you and your personal finances, but it also makes an extremely handy reference book to keep coming back to. For instance if you want a quick recap on how interest rates could effect shares and bond prices, they have a chapter for that where they lay it out clearly over several easy to understand pages. The same goes for Analyzing Industries and ways to price companies. There are sections for understanding CFD's and going short on shares, using leverage to buy shares on margin and so on...

Portfolio Breakdown In this post i'd like to go through a basic portfolio and breakdown the assets that come together to form it. In this first image we can see a basic portfolio containing only stocks.  This is a fairly basic portfolio were we can see our fund, this makes up the cash money part of our portfolio, and it is from here that we purchase the shares and assets that make up our portfolio. As we can see from the diagram above, our fund is used to purchase companies that then go on to take up holding in our portfolio.  From here money returns made by these companies, be this from realized capital gains or dividends is then funneled back into the funds portion of our portfolio, ready to be used to purchase even more companies. The longer this goes on the more your companies will be contributing to your fund, and eventually your companies contributions may even outgrow your own. The Portfolio Effect Bigger portfolios may have more assets that make up the whole, thes...

The Goals of a portfolio People have many different ways they view and setup their portfolios to accomplish the goals they set out for it. Some people concentrate on capital gains, allowing their shares to appreciate in value over time, and then selling them as needed, this can be done for income or re-balancing purposes.  The goal I set out for my portfolio is to grow itself at a steady pace alongside growing its cashflow. Cashflow in a portfolio can be generated a number of ways including interest, dividends and realized capitals gains. For the cashflow in my portfolio i rely on dividend paying stocks. Why Portfolio Cashflow Is Important To Me Cashflow is important to my portfolio as it allows it to grow and expand into new companies on its own. For example, if Unilever pays me £200 in the form of a dividend, a portion of that will be re-invested into buying more shares of Unilever, therefore increasing my holding in the company and increasing the future dividends they pay me. Wh...

Why I Love Pepsico. Ticker: $PEP Pepsico is a brands business despite its name and prime product, Pepsico unlike Coca Cola, has expanded its portfolio beyond drinks, and now have a considerable portion of their cash flow generated through their food and snacks brands.  The Company Pepsico has a wide range of brands within its portfolio giving it access to much needed diversification, which is its key advantage over Coca Cola. In fact Pepsico's food and snacks portion of its brand portfolio now make up over %50 of its earnings. This allows it to compete with a much larger pool of competitors and offers much more room for growth. The brands Pepsi owns are well pruned and advertised, allowing them each to fight for dominance in their respected markets. Who hasn't heard of Mountain dew or Lay's? This portfolio of well known brands is continuing to expand with its recent acquisition's of Rock-star Energy and BFY Brands. These new business allow Pepsico to enter the energy dr...

Why I Love Unilever. Ticker: £ULVR I love companies with big brand portfolios and the know how to manage their brands effectively. Unilever Owns over 29 active global brands and more interestingly over 169 active independent brands around the world.These brands are spread across different divisions including home care, food and refreshments and lastly beauty and personal care. The Company Unilever is a holdings company with many acquisition under its belt, it buys manages and sells brands around many different sectors, within many different industries over many different countries, this naturally gives it a layer of protection during hard times effecting individual industries or countries. If a portion of Unilever's portfolio falls, it can always re-balance and strengthen its other brands while making strategic decisions on what to do with the under performers. We can see this happening now with Unilever spinning off some of its Tea brands as a separate entity in order to push its ...