I have built a Dividend Payment Radar that helps me track every single payment from the moment it shows up on the radar (via company dividend announcement) till the time it lands into my account.
|My Dividend Radar showing high dividend traffic in September|
All these dividends are on auto-pilot, in other words I don't have to do anything to land them in my account. Once they are declared by a company, they show up on my radar at the right date and then all I have to do is watch them land as cold hard cash in my account.
As the dividends land, they eventually disappear from the radar and get replaced with new dividends on the horizon.
In September alone, I have 29 dividends coming in for a landing, half of them have already landed and half have yet to land. That's almost one dividend payment a day.
I get especially excited when my high flying dividends show up on the radar. They pay the most cash. I don't mind the low flying ones either, sometimes they come in a bunch, like a flock of birds.
That's the beauty of dividends. Most of the work is upfront, and then you just watch them come and land into your account as cold hard cash.
Though, I do track them very closely to make sure they don't get reduced in size or worse, just disappear (never happened to me as I watch them like a hawk).
I don't mess around when it comes to investing, meaning I don't speculate.
I do lots of work up front to make sure my investment thesis is solid and I'm only investing in stocks with high quality dividends that will continue to fly higher and higher in years to come with the least amount of risk of getting reduced or lost.
My dividend radar is hooked into my spreadsheet with numerous parameters that I can adjust to look at various financial metrics for all the companies that I own the stock in. I have flags setup that light-up when any of the metrics get out of the normal range and warn me of any impending danger.
I have a separate radar for watch list, which tells me when a prospective stock or dividend is getting close to my valuation and dividend targets. I'm a very patient investor, I will wait as long as it takes to get the stock at the right target price. Sometimes, I may have to wait for a very long time, but it is okay as I got plenty of time and there is no hurry to invest.
As you can probably guess, I have too much free time in my hands. Well, that's the beauty of retiring early, you can do whatever you want with your time in retirement. I choose to spend most of my time tweaking and building different investment tools and strategies while making an investing lot of fun for myself. After all, investing is now my full time job and my new passion.
How does your dividend radar look like? Or do you even have one?