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Dividends

December 17th, 2008 | Filed under Investing.

pWhen I first started investing in the stock market back in March 2008 I had one simple goal, to make some money. Being a beginner investor and not knowing much I bought some shares here, some shares there thinking than that would be enough but I soon realized that 10 shares were not going to do the trick and that is when I started to think a bit differently. /p pMy strategy changed and I became a fan of volume, I even wrote a post about it that you can read a href=”http://gainsnlosses.com/volume” target=”_blank”here./a The minimum number of shares I would buy from then on would be 40 and it would depend mostly on how much money I had available. Then I read about dividends which are “payments made by a corporation to its shareholder members” according to Wikipedia. I soon had an aha moment and then I went on a sell-off and got rid of some stocks and lost money in the process, different story for a different post. I then decided on two stocks based on how much in dividends they paid and went ahead and bought them. Now you know why I bought Allied Irish Banks PLC (AIB) and Dow Chemical (DOW) and why I didn’t sell Bank of America (BAC) or JP Morgan (JPM). Dividends now become a part of my strategy in future investing decisions I make. If I had only known that from the beginning./p

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