Building a Share Portfolio for Income

Discussion in 'Share Investing Strategies, Theories & Education' started by sash, 28th Mar, 2016.

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  1. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    I think you are conflating borrowing money with debt recycling. These are really 2 different things.

    Debt recycling involves paying down bad debt and then borrowing to invest.
     
    Terry_w, 22nd Jul, 2016
    #141
  2. Excalibur1

    Excalibur1 Well-Known Member

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    Sorry I was not clear on that. So it would be borrowing money.
     
    Excalibur1, 22nd Jul, 2016
    #142
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  3. AgentOrangeGuice

    AgentOrangeGuice New Member

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    @ETFs

    Dividend Yields
    There are dividend-paying ETFs, but the yields may not be as high as owning a high-yielding stock or group of stocks. The risks associated with owning ETFs are usually lower, but if an investor can take on the risk, then the dividend yields can be much higher. For example, you can pick the stock with the highest dividend yield, but ETFs track a broader market, so the overall yield will average out to be lower.

    Bid-Ask Spread Can Be Large
    As more niche ETFs are created you might actually find an investment in a low volume index. This could result in a high bid/ask spread."

    Liquidity
    The biggest factor in any ETF or stock or anything that is traded publicly is liquidity. Liquidity means that when you buy something, there is enough trading interest that you will be able to get out of it relatively quickly without moving the price.

    These negatives aren't so bad in the long run, but ETFs do have their pros and cons. Generally ETFs are not as popular in Australia as they are overseas.

    Advantages And Disadvantages Of ETFs | Investopedia
    5 ETFs Flaws You Shouldn't Overlook | Investopedia
     
    AgentOrangeGuice, 22nd Jul, 2016
    #143
  4. Redwing

    Redwing Well-Known Member

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    upload_2018-3-10_9-10-57.png
     
    Redwing, 10th Mar, 2018
    #144
    sharon, tvadera, pippen and 1 other person like this.
  5. devank

    devank Well-Known Member

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    But looking at the screen through out the day keeps the day interesting :p
     
    devank, 10th Mar, 2018
    #145
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  6. Excalibur1

    Excalibur1 Well-Known Member

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    Only if they keep increasing!
     
    Excalibur1, 12th Mar, 2018
    #146
  7. devank

    devank Well-Known Member

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    Both ways for a trader.
     
    devank, 12th Mar, 2018
    #147
  8. lamecrocs

    lamecrocs Well-Known Member

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    @sash, just curious in how is your portfolio constructed up to now?
     
    lamecrocs, 19th May, 2018
    #148
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