3 Easy Ways to Turn Your Portfolio Into an Income Machine

Investment income matters, especially in the age of inflation [View in browser]( BROUGHT TO YOU BY: Proprietary Data Insights Top Retail REIT Searches This Month Rank Name Searches #1 Realty Income 38,021 #2 Simon Property Group 19,166 #3 Wheeler Real Estate 11,566 #4 The Macerich Company 6,627 #5 Entertainment Properties Trust 4,951 #ad [Millionaire Trader Drops Bombshell.]( Would You Rather Have $8,100 or $11,999? The Juice loves real estate investment trusts (REITs). REITs own and (usually) operate real estate. They tend to specialize in specific sectors. The SEC requires REITs to distribute a minimum of 90% of their taxable income to shareholders via dividends. Some REITs pay dividends monthly. The monthly dividend payer that holds the top spot in our proprietary Trackstar database of the tickers generating the most investor interest is Realty Income (O), a retail REIT. In a minute, The Juice details how to maximize the income you generate from Realty Income. You can apply these methods to thousands of stocks. O is merely a prolific example. To set the stage… You purchased 100 shares of O this week when it traded for $60.34. A $6,034 investment. You intend to hold the stock for 10 years. However, you don’t plan to reinvest the monthly dividend payments. You’ll take that money as cash each month. Based on its history, we assign O an annual average dividend increase of 2.54%. O has increased its dividend 26 years in a row, making it a [dividend aristocrat](. Based on O’s $2.98 current annual dividend, you’ll collect roughly $24.80 each month. In this scenario, your $6,034 investment becomes $8,109 after 10 years, assuming O’s stock increases 3%, on average, every year. Let’s run the same numbers, this time assuming you reinvest O’s monthly dividend into new shares of the stock. In this scenario, your $6,034 investment becomes $11,999 after 10 years. Big diff. Now, let’s expand on this along with two additional monthly income-producing strategies. Brought to you by [Banyan Hill]( [AI to Disrupt Energy Market (Huge Potential Gains!)]( This orb represents the largest untapped energy source in the world… And although 99% of the public doesn't know about this energy resource… It makes gas, coal, oil, wind, hydropower, solar, and fusion all look like small fries. In fact, just one year of this untapped resource in the USA alone provides 5X as much power as the largest oil field on Earth… And one tiny Silicon Valley company is about to unleash this resource on the world like never before… [Click here for all the details.]( Income Investing 3 Easy Ways to Turn Your Portfolio Into an Income Machine Key Takeaways: - You can generate consistent income from your stock portfolio. - Consider constructing a portfolio that pays dividends monthly. - A mix of dividend reinvestment and covered call writing maximizes this strategy. Here are three of The Juice’s favorite ways to squeeze income out of stocks. 1. Buy monthly dividend stocks. Our O example highlights the power of compounding with the difference in the growth of your investment when you collect dividends in cash versus reinvesting them to add to your position. Here’s a visualization of the difference: [Dividends ] Source: [MarketBeat]( As you reinvest dividends – $298 for the first year – they increase your position size (from 100 shares in year one to 104.08 shares in year two, and so on). As your position size increases and the company increases its dividend, the amount of the dividend you reinvest increases even more (from $298.08 in year one to $318.11 in year two, and so on). This is compounding. 2. Create a dividend portfolio that pays monthly. Most stocks pay quarterly dividends. But you can construct a portfolio of dividend stocks that pays monthly. Because not all companies pay out their dividends in the same four months. Simply visit a company’s investor relations page and search for its dividend history or payment schedule. Use this information to select a basket of stocks whose dividend payments cover all 12 months of the year. Here’s a fine example via a handy Instagram account we found the other day: [Income] Source: [financial_tips_motivation on Instagram]( 3. Write covered calls against dividend stocks. Last month, The Juice [reviewed basics on covered call writing](, using options on Exxon Mobil (XOM) and Apple (AAPL) as examples. What we didn’t point out is that by writing covered calls on dividend stocks, you’re effectively double-dipping on income. Let’s use O as an example again. You own 100 shares. You reinvest your $24.80 dividend payment this month. Around the same time, you sell the O October 2022 $62.50 call option and collect about $45 in premium income. You can keep this as cash in your account or, better yet, buy more shares of O (or another stock). Double. Dipping. - Collect and reinvest your dividend payment. - Collect and reinvest your covered call premium income. Repeat, repeatedly! We’ll leave it there for now. But, going forward, The Juice will expand on this strategy. We’ll focus on taxes, finding the right calls to sell, and the risk of your stock getting called away. [Caught on camera – Florida man leaves crypto crowd speechless…]( True story. Florida man walks into a packed crypto conference… Executes weird 3-second Bitcoin “trick”… And then this amazing thing happens… [Click here to watch.]([Ad] The Bottom Line: Generating income from your investments – and reinvesting it – makes sense in almost any market environment. But it can be even more key in down markets. If you’re a long-term investor, you’re not going to dump a stock just because it goes down if the reasons you bought it in the first place still stand. However, you can mitigate downside and buy more shares while the stock price is relatively low by reinvesting your dividend and covered call income. News & Insights Freshly Squeezed - [11 Best American Dividend Stocks To Buy Now]( - [Florida man leaves crypto crowd speechless…(Ad)]( - [Microsoft’s Metrics And Option Income Plays Are Appealing To Value Buyers]( - [This Psychedelics Company Is Patenting Its Psilocin And Psilocybin Delivery Route]( [We want to hear from you! Let us know your thoughts by clicking here]( # [submit to reddit]( [submit to reddit]( [submit to reddit]( [submit to reddit]( To ensure delivery of all emails, [allow us on your list](. Update your email preferences or unsubscribe [here](. View our privacy policy [here](. Copyright ©2022 InvestingChannel. All rights reserved. 1325 Avenue of the Americas, Floor 27 & 28 New York, New York 10019 Disclaimer: This is not investment advice. This InvestingChannel, Inc. newsletter is for information purposes only and opinion-based. Futures, forex, stock, and options trading are not appropriate for all investors. There is a substantial risk of loss associated with trading these markets. Losses can and will occur. No system or methodology has ever been developed that can ensure returns or against losses. No representation or implication is being made that using any of these methodologies or systems will generate returns or ensure against losses. Investors should be cautious about any and all investments and are advised to conduct their own due diligence prior to making any investment decisions. [Link](