Realty Income Corporation does not really fill the primary criteria I have for passive income stock but there’s another factor that has slight impact on the applied strategy. Due to tax reasons I’ve been forced to maximize the short term dividend income instead of focusing solely on the long term potential to raise the dividend. Therefore I decided to add on the position I opened last month and bough 20 shares for 43,73 USD per share.
I also opened a new position on Aflac Inc. which seems to be one of the few reasonably priced stocks out there. It also allows me to open a position on insurance sector and provides exposure to the Japanese market. Dividend aristocrat, P/E below 10, low payout ratio and current value well below the 52 week average are properties that do fill the primary criteria I’ve set for a passive income stock. Bought 30 stocks for 61.50 USD per share. This is position I plan to add on in the coming months.
Tax reasons (only in Finnish): http://www.nordnetblogi.fi/tulo-ulkomailta-syo-verovahennyksen/03/04/2013/
Realty Income Corporation: https://finance.yahoo.com/q?s=O
Aflac Incorporated: https://finance.yahoo.com/q?s=AFL