The biggest and most reliable returns in the market come from the safest and most mature companies. These high-quality companies pay dividends. And they raise those dividends year after year.
Buy their shares when they are cheap. Then reinvest the dividends. And Coca-Cola is the perfect example of how this strategy pays off:
“Did you know that Coca-Cola has raised its dividend every quarter for the last 25 years?
Had you bought just $5,000 worth of Coca-Cola stock in 1985 (about 80 shares) and re-invested the dividends, you would have over 3,100 shares today. They would be worth more than $159,000.
“And those 3,100 shares would provide you with nearly $5,000 in annual dividends. That’s a 100 percent yield on your original investment.”
Andy is building a portfolio of solid companies like Coca-Cola right now – companies that can weather the economic storm and come out stronger on the other side. These companies can compound your wealth faster than any others, because they should continue to raise their dividends for many years to come.
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