The ASX share market is a diverse mix of businesses, with a great number of them able to produce good profit to pay dividends. ASX dividend shares can help make enough retirement income to replace job earnings.

An important part of being able to swap a job for retirement income is building up enough wealth to generate good investment income.

Depending how much of their profit they pay out each year, some ASX dividend shares can provide impressive dividend yields.

While term deposits offer guaranteed returns, they don’t produce organic growth unless the interest is reinvested. The current interest rate rises are a great boost, though each is a one-off boost.

Why ASX dividend shares can deliver

Businesses can pay a dividend from some of the profit and reinvest the rest for more growth in the future.

I have written some articles about some names that have a long dividend record, though they don’t have as high a yield as the ones I’m about to mention.

Dividend reliability is one factor to consider. However, the dividend yield can make a big difference. If someone had a $1.5 million portfolio with a 4% dividend yield, they’d receive $60,000 in annual dividend income. A $1.5 million portfolio with a 5% yield can make $75,000 of annual dividend income.

So, with that in mind, let’s look at some quality ASX dividend shares with big yields.

Charter Hall Long WALE REIT (ASX: CLW)

This business is a real estate investment trust (REIT) that owns a diversified portfolio of properties across a number of areas including industrial and logistics, retail, agri-logistics, long-lease retail, service stations, office and so on.

Its portfolio’s weighted average lease expiry (WALE) is around 12 years, providing “long-term income security”. Almost all (99%) of its tenants are blue chip, such as Australian government entities, and it has rental growth built in, with around half of leases linked to inflation.

It’s expecting to pay an annual distribution of 28 cents per unit in FY23, resulting in a forward yield of 6.2%.

Premier Investments Limited (ASX: PMV)

Premier Investments is a leading retailer business, which owns various apparel stores such as Just Jeans, Jay Jays and Dotti. It also owns Smiggle, a globally-growing school accessories business that sells items with branded images from, for example, Marvel or Minecraft. Online sales are proving to be particularly profitable for the company.

The ASX dividend share also has sizeable stakes in Breville Group Ltd (ASX: BRG) and Myer Holdings Ltd (ASX: MYR).

Premier Investments has a solid dividend record and is expected, according to CommSec numbers, to pay an annual dividend of $1.01. This would mean a forward grossed-up dividend yield of 5.9%.

Coles Group Ltd (ASX: COL)

Coles is one of the leading supermarket businesses in Australia. Not only does it operate the national Coles Supermarket network of stores, but it also generates earnings from Coles Express and its liquor segment. Some of the liquor store brands within its portfolio are: First Choice Liquor, Liquorland and Vintage Cellars.

Since it listed a few years ago, it has slowly but steadily grown its dividend to investors. It is investing in technology and automated warehouses to make the business more efficient and profitable. According to CommSec, it could pay a grossed-up dividend yield of 5.5%.

Rural Funds Group (ASX: RFF)

This ASX dividend share owns a portfolio of farms. It doesn’t operate them, instead it leases them out to blue chip tenants on long-term leases. The farm types it owns include cattle, almonds, macadamias, vineyards, sugar and cotton.

Rural Funds aims to grow its distribution by 4% per annum, which compounds at a solid rate over time.

It’s expecting to dish out payments worth 12.2 cents per unit in FY23, which equates to a distribution yield of around 5%.

Wesfarmers Ltd (ASX: WES)

Wesfarmers is one of the leading ASX dividend shares in my view. It owns category-leading retailers like Bunnings, Kmart and Officeworks.

It also has a number of lesser-known, interesting segments, such as WesCEF (chemicals, energy and fertilisers), that are becoming a growing piece of the pie and could drive profit in future years.

One of the key goals of Wesfarmers is to deliver shareholder returns. CommSec numbers suggest that it’s going to pay a grossed-up dividend yield of 5.7%.

The post How to swap your job for $75,000 in retirement income using ASX dividend shares appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#0095C8”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#0095C8”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• Seeking passive income in 2023? These ASX 200 dividend shares could help – analysts
• Yields of up to 7%… 3 ASX dividend shares I’d buy to hold for 10 years
• Buy Telstra and this ASX 200 dividend share: analysts
• 3 reasons to buy Wesfarmers shares before 2023
• 10 ASX shares I think are buys for 2023

Motley Fool contributor Tristan Harrison has positions in Rural Funds Group. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has positions in and has recommended Coles Group, Rural Funds Group, and Wesfarmers. The Motley Fool Australia has recommended Premier Investments. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

from The Motley Fool Australia https://ift.tt/2tnLRQE

If you’re looking for an easy way to invest your hard-earned money in 2023, then exchange traded funds (ETFs) could be the way to do it.

But which ETFs might be top options right now? Listed below are three quality ETFs that could be worth considering for next year:

BetaShares Asia Technology Tigers ETF (ASX: ASIA)

The first ETF to look at is the BetaShares Asia Technology Tigers ETF. It provides investors exposure to many of the best tech stocks in the Asian region. This means you’ll be buying well-known companies such as ecommerce giant Alibaba, search engine company Baidu, and WeChat owner Tencent.

It has been a tough year for Chinese stocks, but with China now reopening at long last, things could be much better in 2023. This could potentially make it an opportune time to invest in the region with a long term view.

VanEck Vectors Morningstar Wide Moat ETF (ASX: MOAT)

If you like Warren Buffett’s investment style, then another ETF that could be a quality option in 2023 is the VanEck Vectors Morningstar Wide Moat ETF. When Buffett looks for an investment, he has a preference for companies with sustainable competitive advantages and fair valuations. These are the qualities that this ETF has been built around.

The ETF currently contains approximately 50 attractively priced companies with sustainable competitive advantages. These include the likes of Alphabet, Boeing, Kellogg Co, Meta Platforms, and Walt Disney.

Vanguard MSCI Index International Shares ETF (ASX: VGS)

A final ETF is the Vanguard MSCI Index International Shares ETF. If you’re looking for a quick way to diversify your portfolio, then this ETF could be the answer. This very popular fund gives investors access to approximately 1,500 of the world’s largest listed companies.

This means it provides significant diversity and also allows investors to take part in the long term growth potential of international economies. Among the shares that you’ll be owning are giants including Amazon, Apple, Nestle, Procter & Gamble, Tesla, and Visa.

The post 3 quality ETFs for ASX investors to buy next year appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#0095C8”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#0095C8”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• I’d aim for a $1 million by buying just a handful of ASX shares
• 10 ASX shares I think are buys for 2023
• Stock market correction: How I’m using this opportunity to build wealth with ASX shares
• 3 reasons to buy the Vanguard MSCI Index International Shares ETF (VGS) before 2023
• 2 of the best ETFs for ASX investors to own in 2023

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Vanguard Msci Index International Shares ETF. The Motley Fool Australia has recommended Betashares Capital – Asia Technology Tigers Etf, VanEck Morningstar Wide Moat ETF, and Vanguard Msci Index International Shares ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

from The Motley Fool Australia https://ift.tt/1lwTpNC

Owners of ASX lithium shares may want to know that carmaker Tesla Inc (NASDAQ: TSLA) has been discounting its cars to entice potential buyers.

Does that mean it’s bad news for the lithium price and the lithium players? Let’s have a look at what’s going on.

Tesla discounts cars

The Tesla share price has had a terrible time this year. The electric carmaker has dropped 37% in December 2022 alone. It’s down 50% over the past six months and it has fallen 69% since the start of the year.

As reported by CNBC, Tesla has started offering discounts of US$7,500 on some of its “high-priced” electric vehicles in the US last week. This was reportedly double what the previous incentives were. The idea was that it would encourage customers to take deliveries.

Tesla is also reportedly offering credits in both Canada and Mexico, and it has also cut the price of cars in China.

CNBC reported that the “price cuts on Tesla’s Model 3 sedan and Model Y crossover are seen as a sign of weakening demand.”

Plus, it is offering 10,000 miles of free charging at Tesla’s supercharger for customers that take delivery of a new Tesla in December.

What does this mean for ASX lithium shares?

Names like Pilbara Minerals Ltd (ASX: PLS), Allkem Ltd (ASX: AKE), Liontown Resources Limited (ASX: LTR) and Mineral Resources Limited (ASX: MIN) aren’t the ones selling the cars. But, the price of lithium is extremely important for how much profit they make.

If mining costs don’t really change in the short term, but the resource price is jumping higher, then most of the new revenue can go straight to net profit (aside from paying more to the government). But, it can work the same on the way down – lower revenue largely wipes off net profit.

How much demand there is for lithium by the electric vehicle makers can then influence how much demand there is for lithium.

Since 9 November 2022, the Pilbara Minerals share price has dropped 30%.

In mid-December, Pilbara Minerals reported that it sold two cargoes for a combined total of 10,000 dry metric tonnes (dmt) at an average price of US$7,552 per dmt. The equivalent SC6.0 price negotiated equates to a price (inclusive of freight), CIF to China of US$8,299 per dmt. This represented a low-digit decrease of the price compared to the mid-November auction.

Does this represent a peak? Is the price about to start sliding back?

Maybe not yet. On 21 December 2022, Pilbara Minerals reported that it had “achieved a significant improvement in pricing outcomes with its major offtake customers” after completing price reviews. The revised offtake pricing applies “for all shipments to the company’s major offtake customers falling within December 2022 and onwards.”

Based on the market’s pricing reference data, average pricing across major offtake customers would equate to approximately US6,300 per dmt.

Foolish takeaway

While it’s hard to say what’s going to happen next, it’s probably not a good sign for the lithium price or the ASX lithium share sector that Tesla is lowering its car prices, although Tesla doesn’t represent the whole industry. However, with how far the Pilbara Minerals share price has dropped, it could represent long-term value at this level.

The post What can ASX lithium share investors learn from Tesla discounting its cars? appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#43B02A”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#43B02A”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• 5 ASX lithium stocks to buy in 2023: brokers
• Top brokers name 3 ASX shares to buy next week
• Here are the 3 most heavily traded ASX 200 shares on Friday
• Brokers name 3 ASX shares to buy for Christmas
• Should I buy Allkem shares this Christmas?

Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Tesla. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

from The Motley Fool Australia https://ift.tt/HCac9v5

The market might still be sleepy after its four-day weekend over which many Australians enjoyed Christmas, but its back to business for investors wanting a piece of this S&P/ASX 200 Index (ASX: XJO) share’s upcoming dividend.

ASX 200 toll road operator Transurban Group (ASX: TCL) will trade ex-dividend tomorrow. That means anyone wanting to get their hands on its interim dividend better jump onboard its shares today.

Let’s take a closer look at the offering soon to be taken off the table.

Transurban will trade ex-dividend on Thursday

The market is only trading for three days this week, but they’ll likely be a big few days for the Transurban share price.

New investors will miss out on its interim dividend unless they buy the ASX 200 share today.

Thus, tomorrow will likely see the stock fall in line with the value of its dividend. That’s because the payout will no longer be able to be factored into its price.

Earlier this month, Transurban announced it would pay a 26.5 cent per share dividend for the six months ended 31 December 2022. The interim dividend will be paid out on 13 February.

That’s the biggest offering Transurban has declared since 2019 and represents 50% of the company’s financial year 2023 distribution guidance – 53 cents per share.

The ASX 200 shares’ upcoming offering will be entirely unfranked but will be eligible for the company’s dividend reinvestment plan (DRP).

No discount will be considered when determining what price new stocks will be issued under the plan. Shareholders have until Monday to elect to compound their dividends via the DRP.

Transurban share price outperforms ASX 200 in 2022

The Transurban share price is on track to outperform the ASX 200 over the course of 2022.

The stock has fallen 2% year to date to trade at $13.66 at the close on Friday. That leaves it boasting a 3.8% dividend yield.

Meanwhile, the ASX 200 has dropped 6% since the start of 2022.

The post Guess which ASX 200 share is trading ex-dividend tomorrow appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#0095C8”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#0095C8”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• 5 things to watch on the ASX 200 on Wednesday
• The ASX 200 share than turned a $5,000 investment into $2,400 of passive income in 2022
• Here are the top 10 ASX 200 shares today
• Here are the 3 most heavily traded ASX 200 shares on Friday
• Stock market correction: A once-in-a-decade chance to get rich?

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

from The Motley Fool Australia https://ift.tt/jSLikWA

On Friday, the S&P/ASX 200 Index (ASX: XJO) was out of form and dropped into the red. The benchmark fell 0.6% to 7,107.7 points.

Will the market be able to bounce back from this on Wednesday? Here are five things to watch:

ASX 200 expected to fall again

The Australian share market looks set to fall on Wednesday following a poor night on Wall Street. According to the latest SPI futures, the ASX 200 is expected to open the day 51 points or 0.7% lower this morning. In late trade on Wall Street, the Dow Jones is flat, the S&P 500 is down 0.55%, and the Nasdaq is 1.5% lower.

Oil prices mixed

It could be a soft day for energy shares Beach Energy Ltd (ASX: BPT) and Woodside Energy Group Ltd (ASX: WDS) after a mixed night for oil prices. According to Bloomberg, the WTI crude oil price is down 0.35% to US$79.28 a barrel and the Brent crude oil price has risen 0.2% to US$84.08 a barrel. Brent crude oil prices were boosted by the further easing of COVID restrictions in China.

Tech shares on watch

It could be a difficult day for ASX 200 tech shares like Block Inc (ASX: SQ2) and Brainchip Holdings Ltd (ASX: BRN) after another tech selloff on Wall Street. Rising treasury yields and recession concerns put pressure on the tech sector.

Gold price rises

Gold miners Evolution Mining Ltd (ASX: EVN) and Northern Star Resources Ltd (ASX: NST) could have a good day after the gold price pushed higher overnight. According to CNBC, the spot gold price is up 1% to US$1,822.6 an ounce. The China reopening news boosted the precious metal’s demand outlook.

Iron ore rises

ASX 200 miners with exposure to iron ore, such as BHP Group Ltd (ASX: BHP) and Rio Tinto Ltd (ASX: RIO), could start the week strongly. This follows another rise in the iron ore price amid easing COVID restrictions in China. Both miners are trading higher on the NYSE at the time of writing.

The post 5 things to watch on the ASX 200 on Wednesday appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#43B02A”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#43B02A”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• Will the BHP dividend in 2023 be bigger than last year?
• The ASX 200 share than turned a $5,000 investment into $2,400 of passive income in 2022
• What can ASX 200 investors learn from Warren Buffett’s big moves in 2022?
• Yields of up to 7%… 3 ASX dividend shares I’d buy to hold for 10 years
• Here are the top 10 ASX 200 shares today

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

from The Motley Fool Australia https://ift.tt/D867XGO

If you’re looking for a passive income boost in 2023, then ASX dividend shares could be the answer.

But which shares should you buy? Two that have been recently rated as buys and tipped to provide attractive yields are listed below.

Here’s why experts say they could be worth owning:

Baby Bunting Group Ltd (ASX: BBN)

This leading baby products retailer could be an ASX dividend share to buy according to analysts at Morgans.

Although Baby Bunting is having a tough time in FY 2023, the broker remains positive and sees its share price weakness as a buying opportunity. So much so, its analysts have recently put an add rating and $3.60 price target on its shares. Morgans said:

With the shares nearly 30% lower than they were before the AGM, there has, in our view, been an overreaction to the update. BBN is still the largest specialist in a comparatively defensive retail segment. It still has compelling opportunities to grow its share of a growing market through store rollout, entry into New Zealand, range expansion and the launch of an online marketplace. It’s trading on 12x FY24 P/E. ADD.

As for dividends, the broker is forecasting fully franked dividends per share of 14 cents in FY 2023 and then 16 cents in FY 2024. Based on the current Baby Bunting share price of $2.70, this will mean yields of 5.2% and 5.9%, respectively.

Healthco Healthcare and Wellness REIT (ASX: HCW)

The Healthco Healthcare and Wellness REIT could be another ASX dividend share to buy.

That’s the view of analysts at Goldman Sachs, which think very highly of the health and wellness focused real estate investment trust. In fact, the broker has put a coveted conviction buy rating on its shares with a price target of $2.05.

Goldman likes the company due to its strong balance sheet, positive tenant mix, and the resilient valuations in the healthcare sector. It explained:

[T]he REIT remains one of our top picks in the sector given 1) its net cash position with over $450mn of liquidity, providing flexibility for near term opportunities, 2) its diversified mix of strong tenant covenants in sub-sectors that are majority government-backed across the care spectrum, mitigating potential tenant credit risks, 3) Healthcare and childcare assets valuations have remained resilient, 4) the expansive forecast future demand for assets across the care spectrum, underpinning development opportunities, and 5) inexpensive valuation.

In respect to dividends, Goldman expects dividends per share of 7.5 cents in both FY 2023 and FY 2024. Based on the current Healthco Healthcare and Wellness REIT unit price of $1.70, this will mean yields of 4.4% for investors.

The post Buy these ASX dividend shares for a passive income boost in 2023 – experts appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#0095C8”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#0095C8”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• Buy these ASX dividend shares for a passive income boost: analysts
• Buy these ASX dividend shares for a passive income: analysts
• Brokers name 2 ASX dividend shares to buy next week
• The cheap ASX shares to buy for dividends: broker
• 40% sale! 2 cheap ASX shares to buy for a better 2023: fundie

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Baby Bunting Group. The Motley Fool Australia has recommended Baby Bunting Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

from The Motley Fool Australia https://ift.tt/FbnB1Ky

At the start of each week, I like to look at ASIC’s short position report to find out which shares are being targeted by short sellers.

This is because I believe it is well worth keeping a close eye on short interest levels as high levels can sometimes be a sign that something isn’t quite right with a company.

With that in mind, here are the 10 most shorted shares on the ASX this week according to ASIC:

• Flight Centre Travel Group Ltd (ASX: FLT) continues as the most shorted ASX share with short interest of 14.7%, which is up slightly week on week again. Short sellers appear to believe that the market is too optimistic on the travel industry recovery.
• Betmakers Technology Group Ltd (ASX: BET) has seen its short interest remain flat at 13%. This betting technology company’s shares have been crushed this year and short sellers don’t appear to believe the pain is over.
• Perpetual Limited (ASX: PPT) now has 12.7% of its shares held short, which is up week on week again. Short sellers have been increasing their positions after it was pressured into completing the acquisition of fellow fund manager Pendal Group Ltd (ASX: PDL). This effectively rules out a takeover of its own.
• Megaport Ltd (ASX: MP1) has seen its short interest rise to 11.4%. Short sellers may be targeting this network as a service operator’s shares due to the sky high multiples they trade on.
• Sayona Mining Ltd (ASX: SYA) has 10.1% of its shares held short, which is up slightly week on week. This may be due to fears that lithium prices could have peaked.
• Zip Co Ltd (ASX: ZIP) has seen its short interest ease to 8.1%. There may be concerns over Zip’s high debt and quest to become profitable.
• Core Lithium Ltd (ASX: CXO) has jumped into the top ten with short interest of 8%. Concerns over production delays and falling lithium prices have been weighing on this lithium developer’s shares.
• Lake Resources N.L. (ASX: LKE) has short interest of 8%, which is down week on week. This lithium developer is allegedly having issues producing battery grade lithium at scale from its Kachi operation.
• Breville Group Ltd (ASX: BRG) has seen its short interest edge higher to 7.9%. This may have been driven by concerns that spending on household goods could suffer in 2023.
• Nanosonics Ltd (ASX: NAN) has short interest of 6.8%, which is down sharply week on week. Investors have concerns over this medical device company’s sales model change in the key United States market.

The post Here are the 10 most shorted ASX shares appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#0095C8”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#0095C8”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• 5 ASX lithium stocks to buy in 2023: brokers
• Here are the 3 most heavily traded ASX 200 shares on Friday
• Is Core Lithium the next Pilbara Minerals?
• Here are the top 10 ASX 200 shares today
• 3 ASX All Ordinaries shares up by more than 60% in 2022

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Betmakers Technology Group, Megaport, Nanosonics, and Zip Co. The Motley Fool Australia has positions in and has recommended Nanosonics. The Motley Fool Australia has recommended Betmakers Technology Group, Flight Centre Travel Group, and Megaport. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

from The Motley Fool Australia https://ift.tt/ud2pzgT

Now is a good time to buy these S&P/ASX 200 Index (ASX: XJO) shares, or so the companies’ directors seem to believe. Three ASX 200 companies have revealed five notable insider buys this month.

Insider buying is often seen as a sign those in the know expect big things from a share. Thus, it can put a stock on the map for other investors.

So, which ASX 200 shares have been snapped up by their directors in December? Let’s look at six trades made by five directors across three companies.

5 ASX 200 directors snapping up their company shares

Powering higher

An interesting year for AGL Energy Limited (ASX: AGL) culminated with four new directors in November, two of whom bought into the company this month.

Kerry Schott bought 12,000 shares in the ASX 200 utilities company for around $8.16 apiece on 9 December – forking out a total of $97,918.80.

That same day, fellow AGL board newbie Christine Holman bought 13,000 shares for $8.09 each – totalling $105,170.

Both buys have proven to be good ones so far. The AGL share price has taken off in 2022, as the chart below shows.

Building market confidence

Sadly, this year hasn’t been nearly as good to shares in ASX 200 property and infrastructure group Lendlease Group (ASX: LLC). Its stock has been walloped this year.

But the tumble might have created a buying opportunity for its CEO and managing director Tony Lombardo.

He bought 10,000 shares in the company on 1 December, paying around $7.69 apiece – a total of $76,890.

He backed that up again just six days later, forking out another $40,755 for 5,500 more shares, each priced at $7.41.

ASX 200 directors take a bite of Collins Food shares

Another embattled ASX 200 share that’s been the subject of insider buying this month is Collins Food Ltd (ASX: CKF). The company operates various fast-food franchises around Australia and the world.

The first insider buys going down at Collins Food this month was made by director Kevin Perkins. The insider bought 20,000 shares in the ASX 200 company on 2 December, paying $160,141.32 for the parcel, or around $8.01 per share.

The final insider purchase I’ll mention was conducted on 21 December.

Then, Bella Kaye – spouse of chair Robert Kaye – forked out $50,181.42 for 7,000 more shares in the company. That represents a purchase price of around $7.17 apiece.

The post 5 ASX 200 directors who have been buying up their company shares this month appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#43B02A”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#43B02A”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• Why AGL, Retail Food Group, Starpharma, and TPG shares are rising today
• Buy Westpac and this ASX 200 dividend share: brokers
• Here are the top 10 ASX 200 shares today
• Here are the top 10 ASX 200 shares today
• Why AGL, Invictus Energy, Maas, and Mach7 shares are pushing higher today

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Collins Foods. The Motley Fool Australia has recommended Collins Foods. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

from The Motley Fool Australia https://ift.tt/k27twnI

No doubt many Aussies are feeling the financial pinch this time of the year. Fortunately, now is a good a time as any to begin building a second income by investing in ASX dividend shares.

And one needn’t have a substantial amount of cash tucked away to do so. I would invest for my future even if I could only spare $5 a day.

Here’s how I would go about it.

How I would choose ASX shares for my portfolio

Of course, there’s a bit more to investing than that. I would need to identify the ASX shares I felt capable of providing consistently strong returns.

Personally, I would look for companies with decent cash flows, manageable debt levels, and competitive advantages. Above all, however, I would look to invest in a diverse set of companies I understand and believe in.

One such share could, in my personal opinion, be supermarket operator Woolworths Group Ltd (ASX: WOW) – and Goldman Sachs agrees.

Though, even then the most considered investment isn’t guaranteed to offer share price appreciation or dividends in the future.

I would also consider my $5 a day investment the baseline and never waver from it. Ideally, I would grow my daily or monthly contribution over the year to grow my second income stream faster.

How much income could a daily $5 investment create?

A fiver a day invested in ASX dividend shares might not sound like much, but it can add up over the long term. Particularly if we consider the benefits of compounding. Let’s do the math.

Saving $5 a day will see an investor with around $152 set aside each month, or $1,825 a year.

But I wouldn’t use that extra cash as spending money. I would reinvest my dividends for years before I begin to take them as passive income.

The S&P/ASX 200 Index (ASX: XJO) returned an average of around 9.3%, including dividends, over the last 10 years.

If I managed to realise such a return and compounded my dividends by reinvesting them in ASX shares, my portfolio would be worth $37,401 in 12 years’ time.

At that point, it would be capable of paying $155 a month in passive income if I achieved a 5% dividend yield.

However, by investing $5 a day consistently for 25 years, my portfolio could grow to $161,540 and be capable of offering approximately $8,000 of annual passive income – all for $5 a day.

The post My $5 a day plan to build a second income with ASX dividend shares appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#0095C8”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#0095C8”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• I’d aim for a $1 million by buying just a handful of ASX shares
• How I’d target passive income by investing $75 a month in ASX dividend shares
• I’m listening to Warren Buffett and buying cheap ASX shares
• Will the BHP dividend in 2023 be bigger than last year?
• 5 ASX lithium stocks to buy in 2023: brokers

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

from The Motley Fool Australia https://ift.tt/TP3UvuD

When you first start investing, the prospect of eventually building a million-dollar portfolio might seem impossible. However, history shows that it is possible to do so by investing in ASX shares.

How many shares? Many experts suggest a portfolio of 20 to 30 shares spread out across various industries is optimal for diversification. That’s because having this number decreases company or industry-specific risk by ensuring that no single company or industry has too much influence over the value of your holdings.

However, investors could get away by buying only a handful of ASX shares if they take advantage of the diversification offered by exchange traded funds (ETFs). For example, the Vanguard MSCI Index International Shares ETF (ASX: VGS) gives investors exposure to 1,467 of the world’s largest listed companies from major developed countries. That’s about as diverse as it gets.

If you owned an ETF like this, you could potentially snap up just a few high quality ASX shares to make a really strong portfolio.

But how do you make a million?

If you’re just starting out and have time on your side, then investing with a long-term view could be the key to making a million.

If you’re able to invest $5,000 into ASX shares each year and earn a 9.6% per annum return, then you would turn those investments into $1 million after just over 30 years. If you can afford to add more as you get older and your wage (hopefully) increases, you’ll get there even earlier.

Why 9.6%? Well, that’s the return that Australian shares have provided investors with over the last 30 years according to Fidelity. And while there’s no guarantee that the market will do the same over the next 30 years, this level of return is largely in line with historical averages.

If you’re starting when older, you’ll just need to begin with a greater amount of capital and make slightly larger annual contributions to reach your goal.

Starting with $150,000 and making $10,000 annual investments will take a little over 15 years to reach $1 million if you’re earning a 9.6% per annum return.

All in all, being a share market millionaire is not impossible, particularly if you have a plan and stick to it.

The post I’d aim for a $1 million by buying just a handful of ASX shares appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#0095C8”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#0095C8”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• Stock market correction: How I’m using this opportunity to build wealth with ASX shares
• 3 reasons to buy the Vanguard MSCI Index International Shares ETF (VGS) before 2023
• If I was 40 and had never invested, here’s how I’d aim to build a $500,000 ASX share portfolio
• This simple investing plan could save the retirement plans of millions of retail investors
• One ASX ETF that could make you a stock market millionaire with little to no effort

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Vanguard Msci Index International Shares ETF. The Motley Fool Australia has recommended Vanguard Msci Index International Shares ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

from The Motley Fool Australia https://ift.tt/l4s1fco