Weekend Reading – Dividend income reports, rational decisions, life lessons and more #moneystuff
Welcome to my latest Weekend Reading edition where I share some of my favourite articles from the week that was across the personal finance and investing blogosphere.
So, the golf game progress continues…focusing on this practice drill at the range every week:
I hit balls keeping a golf glove tucked under my left armpit like world #1 golfer Rory McIlory above. Why?
It helps keep my arms, specifically my left arm “connected” to my body. I continue to use this drill with 7-irons at the range for about 30-40 balls. I swing at about 50-75%. I figure if this drill is good enough for world #1 golfer Rory McIlroy then it’s good enough for me…!
In recent weeks, I’ve also started to work on this simple drill at home while watching the odd round of golf on TV, or while stretching at the condo:
This is a “pump drill”.
It’s very simple and you can see the genius behind it here in this short clip:
These drills cost nothing but can be very powerful to improve any golf game.
I think these drills will continue to improve my consistency and scores. There is some evidence it is working…
A more consistent and therefore connected golf swing allowed me to start my last men’s night round this week with 11 pars in a row – something I haven’t done since I was a junior. Unfortunately, I ran out of gas and energy coming down the stretch. I made a number of bad decisions and poor swings but I still had a great round for me: shooting 35-41 for +5 76.
Let’s hope my continued work on the range can translate into lower scores…
Got any simple golf tips or drills you’re working on? Do share!
I shared my most recent monthly dividend income update here:
I anticipate the dividend income should rise again this month (July) since I’ll be receiving and reinvesting dividends paid from Algonquin Power, Bell Canada, and a few more. Stay tuned for that update.
The Dividend Guy shares some reasons why he keeps a diverse list of low-volatility stocks and growth stocks in his portfolio that are not limited to:
Alimentation Couche-Tard, National Bank, Royal Bank, Fortis and Magna. On the U.S. side Mike enjoys holding Apple, BlackRock, Disney (although they cut their dividend drastically), Microsoft and Visa to name a few.
Robb Engen wondered if you’re making rational financial decisions. Probably not, at least not all the time Robb! But trying to be rational all the time and constantly adjusting for calculated risks makes for a very boring life I believe.
In fact, I read something on Twitter recently that suggested if you don’t drink any beer or alcohol, you instead save that money for 40 years straight, earn 7% annualized returns on that money, you could have a few hundred thousand dollars in 40 years without any inflation adjustment. That sounds very rational but also an extremely boring life.
That’s something I’m thinking about and talking about with my wife much more – as soon as our mortgage is paid off. I figure that’s going to open up a whole world of opportunities for us.
Mixed Up Money opened up on some money life lessons after turning 30.
This was well put: “IT’S OKAY TO SPEND MONEY ON THE THINGS THAT YOU LOVE”
Yes. It. Absolutely. Is. Just be sure those spending habits align to your values more often than not. Otherwise, too much spending and debt can be crippling.
Freedom Thirty Five Blog told us low interest rates are here to stay.
Tawcan shared his dividend income update. Impressive. His “top five dividend payers for June 2020 were Enbridge, XAW, Brookfield Property Partners, Manulife, and Brookfield Renewable (not in order).
Dale Roberts wrote about the COVID-effect and more specifically, how this pandemic might have “knocked some sense into those (millennials) poised to become the dominant economic driver of the country in the coming years.” I remain skeptical Dale but you never know. Some certainly have their financial act together but many don’t!
Reader question/email of the week
A younger reader recently told me he “doesn’t care about buying new cars..I’m going to do it because I’ve earned it” after he read this post:
He went on to say “it doesn’t cost me that much…I make good money.”
I replied and told him, fine, that’s your decision and that decision is not right or wrong (should he value car payments and enjoy nice cars that go along with them). You need to live your life. That said, I did also remind him there is an opportunity cost of having car payments vs. buying appreciating assets over the coming decades. He could always buy a gently used but nice car.
Our young reader was absolutely floored and dumbfounded when I shared this graph, suggesting he could consider buying used cars over time, and instead, siphon that $500+ monthly car payment into his Tax Free Savings Account (TFSA) for the next 35 years:
Something to consider millennials…
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