Shares - - MONEY MATTERS -

ONE OF THE at­trac­tions of mid-caps is that they should have reached a point of ma­tu­rity where they are gen­er­at­ing suf­fi­cient cash flow to fund div­i­dend pay­ments to their share­hold­ers.

If you’re look­ing for in­come, don’t sim­ply go for the stocks with the high­est yield. A fall­ing share price can result in a yield look­ing at­trac­tive, but a fall­ing share price is also a warn­ing that some­thing might be wrong with the busi­ness and the div­i­dend could be in dan­ger.

Fo­cus on com­pa­nies which are gen­er­at­ing plenty of cash flow which will al­low them to pay a con­sis­tent and ris­ing div­i­dend over time. All three of the names which fol­low fall into this cat­e­gory.

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