I am an engineer in the electronics industry and suddenly find myself five years from retirement. Terrified that I have not saved enough or that some other unforeseen circumstance will bleed my savings dry, I have started to build my own dividend portfolio. My goal is to create another income stream from stocks and high yielding MLPs that will help me sleep better at night.
I have been a dividend investor since my retirement in late 2003. I diversify by sector, domestic vs. international, and by cap size. I do not invest in stocks that don't pay dividends. I am risk averse and limit my investment in a single equity to 1% of my total assets or less. As a result of this 'rule', I have more than 100 equities in my portfolio.