Securities and shares to live on income: which to buy

How to live on income?

Why live on income? The answer is too obvious to mention. But if many, rightly, dream of live without working, not all of them are clear examples for how to live on income. Or better to say, examples of stocks and shares to buy for annuity living. The first step to succeed in living on an income is to create a capital that works for us. Easy? It depends. The top markets have been excellent so far investment idea. And in view of the next and now certain Christmas rally could be transformed into a example to live on income. Provided that, of course, we know how to choose the right actions to earn and return.

How to choose the right actions to earn

To understand how to choose the right actions to earn is in turn the first step in knowing how to build a capital. From here, then, the next step will be to create an investment strategy and with that invest in the stock market. But let's proceed with order. How to choose the right actions to earn? Technically it is not difficult. To know how to live on income it is good to know that the actions to be chosen must be actions on which to invest in the long term.

How to understand the value of an action?

For this reason it will be necessary to find titles that make you earn long. That is with good fundamentals, good returns, low valuations and, above all, sustainable dividends. In other words: valuable actions. But how to understand the value of an action?

Beyond the technical data (price / profit ratio etc.) learn to understand the value of an action depends on the needs of the individual investor. In the case of those who would like to know how to live on income, le actions to choose to stop working, are those, preferably, that release reliable dividends. Or actions of sectors that will surely grow or that, however, will receive funding.

Securities and shares to live on income

Therefore, starting from what has been said, one can easily understand which are the specific ones shares to buy for annuity living. An example can be Lockheed Martin. The military and aerospace technology company occupies a sector, that of defense, which has had many benefits. In fact, in the last three years US president Donald Trump has not hidden his support for the defense sector and, more generally, the army. Moreover, its dividend yield of 2.44% appears interesting on a payout that does not reach 44%.