re: Dividend stocks and DRIPs as a long term investment vehicle

Nice, so, money and dividends tax free. Only downside is not lowering taxable income, but seems like a good deal if the gov doesn't screw things up later.

I have about 12% of my investments in dividend paying stocks( pep, xom, clx,etc.) but because I have a 401k, I cant routinely invest in stocks.

Are there any dividend paying funds with fidelity that you know of that pay out, increase dividend and generally perform like an xom, mcd, pm?


I have fkinx with a 6% yield outside of my 401k. Will that perform like a dividend paying blue chip? Thanks.

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Are there any dividend paying funds with fidelity that you know of that pay out, increase dividend and generally perform like an xom, mcd, pm?

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Look into each fund. They do break it down on what they own. You can do this on Fidelity's web site or other web sites.

Well, The "pros" don't work for free. Look at the cost of the fund you are looking at. That comes off the top before paying dividends. Each fund that holds X stock that pays dividends is split to how many outstanding shares is said fund.

Oh, I forgot. The more X fund takes in moneys, the more X fund shares there are. At the same time, X fund will be buying more stocks.

Hope this helps.

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I've noticed alot of the funds people have mentioned in this thread hold 1 common denominator.....PM

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That makes sense for both "big brain" economics, plus your very commonsense analysis. You can't easily stop people from smoking. Outside the US and a select few other places, cigarette marketing is relatively unfettered. Outside of the U.S., I've noticed 70 to 90 percent adult smoking rates - in some cultures/communities it approaches 100 percent.

PM has not nearly reached market saturation in the developing world, and won't for 15 to 20 years. Also, as you've pointed out, it trades in every currency, not just dollars. (Visa is another example of this - Visa doesn't care about currency, it just converts on the fly, charges you a premium, and sends you the bill ).

Sure there's risk - the world's smokers could just quit tomorrow.

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to fund retirement we need people to smoke, drink a lot of Cokes, eat McDonalds, and charge for things they can't pay for

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and gamble

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So basically, to fund retirement we need people to smoke, drink a lot of Cokes, eat McDonalds, and charge for things they can't pay for. What a crazy world. The things you don't learn in school.

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Only in America. Now the rest of the world wants what we have.

there's a pro and con to everything.

unfortunately most people are on the con side, and those on the pro are looking to prosper to who knows what limit

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ThaBigFella

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Thoughts on where I should put my remaining $1500 in?

I have about $7,500 in PM at 91 and change.

Get PM at a lower price?

Buy V, KO, COP, or MCD instead? Long-term I think nat gas would be a great play? Any good companies there? I think COP is pretty big as others are in nat gas.

FWIW, I'm 24, wife 28 and we'll gross about 80 to 85. So, net of around 60k with 1 kid on the way.