But not just any old stock would do. You see, Id learned the difference between a growth stock and an income stock. Since My savings were modest, so the search began for something that would provide some passive income, while preserving my contribution. The words "due diligence" bounced around in my brain as the search began.
Not wanting to rush things, It took about six months to winnow it down to just the right field for me. As a first-time investor, I wasn't looking for something risky. Tech, energy, banking and airline stocks were all tossed aside. I even went and looked back at the great depression to see what sectors survived the best during the worst of times. It had to be something that everyone needed and couldn't do without. and after all of that time of doing research I finally found it.
Drip by drip
Along the way, my readings kept recommending something called a DRIP or dividend reinvestment plan. This was where we had the option of having and dividends reinvested into fractional shares of the stock you already owned. The attraction was similar to watching a snowball slowly rolling downhill and getting bigger as it rolled along. Not every company had one, but of the ones that did, the same industry kept coming up time and time again as a safe haven even for older more conservative investors.
Go West, young man
That's when I hit Hawaii. Since it was 2,500 miles from the mainland, I wondered if there would be much competition. Nobody was stringing wire that far! There was one main supplier with no real competition. The cost of living was high and the company fundamentals were sound. There it was: HEI, Hawaiian Electric Industries.
Looking at this from every possible angle, I could find no reason to be wary of investing my hard-earned money into this venture. And invest I did. After having that first share sent to me to put up on my wall, it was fun seeing those dividends roll in every quarter and watching that share count rise. Older folks thought it was commendable that a young man was investing in his future and not doing something ridiculous with his money.
Playing it safe as a new investor was the right call for me. Reading story after story of how others gambled on sketchy businesses, made me want to take the time to do it right. And while none of this is financial advice, some time later I sold my shares with a smile on my face. We all remember our first kiss, or that first car, but what was your first investment?
Thank You So Much!
Please follow me on:
👍Twitter: https://twitter.com/EverNoticeThat
👍Earn Crypto with Brave Browser: https://brave.com/eve641
👍Instagram: https://www.instagram.com/evernoticethat/
👍Hive: @evernoticethat