You might think I am out of my mind, because the society has always preached about holding stocks for the long term to receive dividends that will become your passive income. Somehow the end goal is to have these dividends large enough to be your income strategy and voila, you can retire!

A disclaimer before we dive deeper into the dividends irrelevance theory: I do not mean dividends are unimportant to total returns, but what I am trying to convey is that dividends are irrelevant when determining which stocks have good future returns.

Photo by Franco Antonio Giovanella on Unsplash

The research for this theory started back…


This week was brutal in terms of work load from my job. I was handed my very first job assignment (finally after 4 months in!) and had to manage both the client and upper management’s expectations to have things delivered within 5 days. It was not until yesterday on my third day of running on few hours of sleep and relying on coffee for fuel that I realise how most people don’t think it is possible to have passive income while working at a full-time job or being a full-time stay-at-home mother.

Don’t get me wrong, I actually enjoy doing…


As adults we deal with money daily, yet many find it hard and struggle with their finances. The most common excuses for people are by the reasons of “I just don’t understand. I don’t make enough. The economy is terrible now. Money is the root of all evil. I will think about retirement funds in X years.” In fact, the term “evaporating money” came about by the concept that money just magically disappears with you having no idea where it went. I mean you most definitely did spend it anyhow, am I right?

Whether it’s because the economy is in…


Some of us step into the new year with hope-filled new year resolutions and bid good riddance to 2020. If you are more of a traditional type, perhaps you might have a bucket list of to-dos that you wish to tick off during the year. Nothing fancy, just the yearly oath that you promise to take actions in the year such as spending lesser time on social media, practicing a healthier lifestyle, reading more books and maybe this year you might be thinking of adhering to a budget to keep yourself accountable.

Perhaps you might have heard of the 50/30/20…


Looking back to New Year’s Eve 2019, many were ecstatic to welcome the beginning of a new decade. Little did we know it is the year with many historic events like the Covid-19 pandemic, global recession that resulted in the stock market crash, the Australian bushfires, and many more. But let us not forget the good news in bad times, and celebrate events like when Kamala Harris made history as first woman and woman of colour as Vice President of the United States of America, the fact that the Black Lives Matter movement sparked major changes across government, education, policies…


With interest rates potentially being locked at zero without any sight of it increasing in the near future, investors seek for better income alternatives to grow their wealth. To some of us, investing in real estate might be a little far fetched due to locked up capital and being in high debt. Prices for real estate can be affected by multiple factors, and sometimes the risks of owning an investment property might be too much for your current risk tolerance as an investor.

REIT stands for real estate investment trust, and is an entity that owns and typically operates a…


Knowing that there isn’t a cookie-cutter approach in investing, what is your preferred investing style?

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Deciding on your investing style or investment strategy can be tough as there isn’t a cookie-cutter approach in investing. But knowing the range of investment styles can help you decide on the various investment strategies that you wish to use in your investing journey. It is like having an instruction manual guiding you through your investment process, and such thinking can help you reflect as you match your needs to a certain investing style.

There are two combining points of views that we can determine an investing style, namely market capitalisation, and risk preference. You should first consider your risk…


Given the traditional view of retirement is about age and generally turning 65, being physically old with grey hairs and actually retiring from the workforce, perhaps you might wonder what can one do with the FIRE movement. Despite our world being more technologically advanced than ever, the reality of the retirement crisis seems to sink deeper as many find it tough to have enough money to maintain their standard of living in retirement. If you have not heard of this yet, the FIRE movement stands for ‘financial independence, retire early’. …


Psychologically, it is far easier to average down than up. But would you know if you are catching a falling knife or a shooting star?

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Psychological pricing has worked on humans for a long time because it is always easy to buy a bargain. Say if an item you wanted to buy was put on sale and marked down from $399 to $199, you might be persuaded to get it. And if you saw it priced at $99, perhaps you might be more tempted now. Unlike retail goods, purchasing stocks should not work this way.

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Averaging down is a term used when you purchase additional units of shares when the share prices fall lower than the original invested amount. It is always easier to average…


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Investing in gold is a form of diversification that you can add to your portfolio as it is a hedging instrument against inflation, exchange risk, and the share market. Gold has been regarded as a safe haven for many over the past decade, as it shelters investors from traditional volatile investments such as the stock market. As a physical commodity, gold cannot be printed by the Treasury, and thus, its value is not affected by interest rates, serving as a form of insurance against a market downturn or in a case of an economic depression.

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The most traditional way to…

The Accrual World

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