On a recent visit to a family member, it was noticed there was a little sticker in their windshield as a reminder to come in for a tune up upon reaching the required mileage. A tune up on a regular basis is a good thing to do for all vehicles in order to achieve the needed efficiencies. It is also good for the car company to encourage their customers to come back for service (helps pay the bills) as well, when it is time for a new vehicle the customer should be more willing to buy from the service provider. An added attraction is new vehicles come loaded with features which are great for driving, the servicing of these vehicles may be better at the dealer. The sticker represents regular on going income for the dealer.
Linking to dividend producing stocks, similar to the regular income the dealer receives you can receive regular dividend income from stocks. If you buy stocks for their dividend, the money comes regularly. If it does not, you know it is time to move on. While capital appreciation or the increase in stock price happens over the long term, the short term is to ensure the bulk of your investments has a continuing cash flow.
There are more questions than answers, till the next time – to raising questions