There’s a secret to how rich people remain rich and steadily grow their wealth.
A reason they can enjoy a U.S. prime beef burger with foie Gras, Givenchy slippers, and $120 per cup Jamaican Blue Mountain coffee – all from an airplane (as passengers in Singapore Airline’s suite class, to be precise)…
And it’s simply that money makes money. So you can spend freely… all on house money. Those who can harness that secret see their wealth snowball into a mountain over time.
Now, we can’t all be heirs to the Walton fortune (the family of Walmart’s founder, which owns half the company today), who passively make $3 billion per year from their shares.
But we can do the next best thing.
Today, I’ll show you how dividend blue chips can help you harness this secret of the wealthy. Even better, right now – in the midst of a bear market – is the best time to get started. I’ll also give you an example of one blue-chip stock that has delivered these kinds of results over the past few decades.
By replicating the moves of the ultra-wealthy, you can set yourself up for the luxury retirement of your dreams.
Dividend Blue-Chips Are the Secret to Living Like a King
For the last 200 years, the U.S. stock market has delivered about 10% annual returns, or 7% adjusted for inflation. That’s roughly doubling your money every decade.
That period spans depressions, recessions, world wars, pandemics, the Great Depression, and inflation as high as 22%.
But while U.S. stocks are the best-performing asset class in history, dividend growth blue-chips are even better.
Over the last 50 years, dividend growth blue chips have delivered about 4.1% better annual returns than non-dividend stocks. That means dividend investors became 7X richer, adjusted for inflation, than non-dividend investors over the last half-decade.
One example of this incredible performance is Altria, the greatest stock in history.
Altria has been delivering 20% annual returns for the last 90 years. $1 invested in Altria 90 years ago is now worth over $130,000 today.
For context, Warren Buffett became the greatest investor in history by delivering 20% annual returns for 55 years. Altria has delivered similar returns for nearly twice as long.
Today, Altria yields 8.1%. It’s raised its dividend for 53 consecutive years. That makes it one of the best high-yield blue chips you can buy today. One that could potentially deliver Nasdaq-beating 13.1% returns for years, if not decades, to come.
At Wide Moat Research, we combine blue chips like Altria with the world’s best dividend growth stocks to generate up to 6X higher long-term retirement income.
The Secret to a Rich Retirement Is Letting Dividends Pay for Everything
When combined with best-in-class dividend growth blue chips, high-yield companies like Altria can create safe 4-6% yielding retirement portfolios. And those portfolios have historically been proven to deliver double-digit income growth in all economic and market conditions.
And when your portfolio yields 4% to 6%, you can fund a comfortable retirement without having to sell a single share… ever.
Even if the market crashes 9% again like it did in September 2022, you can rest at ease. Your dividends are safe and growing.
If the market collapses by 17% like it did in October 2008, your income and standard of living are 100% unaffected.
And if we get a recession in 2023 or 5% inflation for up to a decade (as some analysts think might happen)… Your companies pass on that inflation to their customers and raise their dividends even faster.
The top 10% of Americans own 90% of U.S. stocks. They rarely sell their shares and pay capital gains on them. Instead, they live off the rivers of passive income their companies generate.
That’s how the rich keep getting richer.
But you don’t have to be a Walton or one of the other 3,111 billionaires in the world to live comfortably off passive income.
Anyone willing to save and invest for the long-term in a blue-chip dividend growth portfolio can recreate the “secret” of the rich.
If you’ve worked hard and have built a small nest egg, make sure your money is now working hard for you by targeting the best dividend growth stocks you can find.
Many analysts are expecting the next bull market to begin in the second half of 2023. And if you wait for the “dust to settle,” you’ll have missed much of the best gains of the next decade.
That’s why you should take advantage of any price weakness in your favorite dividend stocks today… and lock in the potential to make stress-free income at bargain prices.
For the best place to get started, Intelligent Income Daily editor Brad Thomas and I are excited to be bringing a brand-new project to you this week. We’ll lay out all the steps you need to take for a profitable 2023.
Not only will it help you beat the markets with a fraction of the forecasted volatility, it can also help rescue your retirement – just like it did for many of my closest friends and family members.
I can’t wait to tell you more about it. Click here to add your name to the waitlist for free, and you’ll be the first to hear about this strategy that took me five years to refine.
Safe Investing,
Adam Galas
Analyst, Intelligent Income Daily