Investing for income: 7 money-generating assets for your portfolio and how to get started - Business Insider

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Investing for income: 7 money-generating assets for your portfolio and how to get started

skaman306/Getty ImagesCommon investment income assets include dividend-paying stocks, bonds, real estate, annuities, CDs, and money market accounts.

With income investing, once you buy the asset, there isn't a whole lot more to do. This is buy-and-holdThere are multiple types of investment income assets, and ways to invest for income. Here's a rundown of the most common.Dividend-paying stocks are issued by companies that make cash payments per share, generally quarterly, based on how well the company is doing. The two main types of dividend stocks are called common and preferred.

How to tell if a dividend is a good one? Look not just at the dollar amount, but at the dividend yield: that is, the company's annual dividend divided by its stock price and multiplied by 100.

 

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