Core Insights - The article discusses the rise of side hustles and highlights the best dividend stocks for passive income, indicating a growing trend among individuals seeking additional income sources [1][2][3]. Side Hustle Trends - Over 36% of Americans engage in side gigs, earning an average of $530 per month, with Gen Z leading this trend [2] - The global side hustle market was valued at $556.7 billion in 2024, and in March 2025, the US saw a 6.4% increase in new business applications [2] - 55% of full-time workers are interested in turning hobbies into businesses, reflecting a shift towards formal entrepreneurial ventures [2] Dividend Stocks as Passive Income - Dividend stocks provide a reliable source of passive income, appealing to retirees and those seeking stable earnings during market fluctuations [3] - Investors often reinvest dividends to purchase additional shares, potentially increasing both dividend income and overall investment value over time [4] Methodology for Stock Selection - The article utilized Insider Monkey's database of nearly 1,000 hedge funds as of Q2 2025 to identify stocks with strong dividend policies, sound financials, and a history of dividend growth, focusing on those with a minimum yield of 4% as of September 22 [6] Hedge Fund Interest - The article emphasizes the importance of stocks favored by hedge funds, noting that imitating top hedge fund picks can lead to market outperformance [7] Company Highlights - **Arbor Realty Trust, Inc. (NYSE:ABR)**: A real estate investment trust with a dual strategy in structured and agency loan origination, offering a quarterly dividend of $0.30 per share and a yield of 10.26% as of September 22 [8][10] - **Universal Corporation (NYSE:UVV)**: A global agricultural company recognized as a Dividend King, with a history of 55 consecutive years of dividend increases, paying a quarterly dividend of $0.82 per share and a yield of 5.99% as of September 22 [11][13] - **Guess?, Inc. (NYSE:GES)**: An international apparel company that has paid dividends for 18 consecutive years, recently increasing its quarterly dividend by 25% to $0.225 per share, with a yield of 5.35% as of September 22 [14][16]

Core Viewpoint - The article highlights four monthly dividend stocks that yield over 4% and have strong foundations for generating reliable passive income. Group 1: Agree Realty - Agree Realty is a REIT focused on single-tenant retail properties with stable rental income due to net leases [3][4] - The portfolio consists of high-quality tenants, with 67.8% having investment-grade credit ratings, in durable retail sectors [4] - The current dividend yield is 4.3%, with less than 75% of funds from operations (FFO) paid out as dividends, allowing for cash retention for further investments [5] - The company has a strong investment-grade balance sheet and plans to invest $1.4 billion to $1.6 billion this year, which is expected to grow FFO and dividends [6] Group 2: EPR Properties - EPR Properties is a REIT that invests in experiential real estate, such as movie theaters and attractions, generating stable rental income [7] - The company has a conservative payout ratio and balance sheet, allowing for annual investments of $200 million to $300 million [8] - Management identifies an investment opportunity exceeding $100 billion in experiential real estate and has committed $109 million for development projects over the next 18 months [9] Group 3: Main Street Capital - Main Street Capital is a business development company (BDC) providing debt and equity capital to lower-middle-market companies [10] - The company pays a monthly dividend yielding 4.9%, which increases to 6.9% with supplemental quarterly dividends [12] - Main Street Capital aims to steadily increase its monthly dividend and has raised it by 4.1% over the past year [12] Group 4: Stag Industrial - Stag Industrial is a REIT that owns industrial real estate, leasing properties under long-term agreements with rental escalation clauses [13] - The company pays out about 70% of its available free cash flow in dividends, retaining over $100 million annually for new investments [14] - Stag Industrial plans to acquire between $350 million and $650 million in properties this year and has consistently increased its dividend since its IPO in 2011 [15] Group 5: Summary of Monthly Dividend Stocks - Agree Realty, EPR Properties, Main Street Capital, and Stag Industrial all offer monthly dividends with yields above 4%, supported by stable cash flows and strong financial profiles [16] - All four companies expect to continue increasing their monthly dividends, enhancing their attractiveness for passive income investors [16]

Core Insights - Companies with a strong history of dividend payments and increases are attractive to income-focused investors, with CareTrust REIT, Virtus Investment, and Alliant Energy recently announcing dividend hikes and offering yields up to 5% [1] CareTrust REIT - CareTrust REIT Inc. has increased its dividends annually for the last 10 years, with the most recent hike on March 18 raising the quarterly payout from $0.29 to $0.335 per share, resulting in an annual figure of $1.34 per share [2] - The company maintained the same dividend payout in its September 15 announcement, with a current dividend yield of 3.91% [2] - As of June 30, CareTrust's annual revenue was $277.03 million, and it reported Q2 2025 revenues of $112.47 million and EPS of $0.43, both exceeding expectations [3] Virtus Investment Partners - Virtus Investment Partners has increased its dividends for seven consecutive years, with a 7% increase announced on August 14, raising the quarterly payout to $2.40 per share, equating to an annual figure of $9.60 per share [4] - The current dividend yield for Virtus is 5.05% [4] - The company's annual revenue as of June 30 was $884.72 million, with Q2 2025 revenues of $210.53 million and EPS of $6.25, both surpassing consensus estimates [4] Alliant Energy - Alliant Energy Corp. provides regulated electric and natural gas services in the U.S. [6]

Core Insights - The article highlights the transformation of Jeff Bezos from renting a modest home to owning multiple high-value properties, illustrating his significant wealth accumulation over time [2][3][5][6]. Group 1: Jeff Bezos's Early Life and Wealth Accumulation - Jeff Bezos and his then-wife MacKenzie Scott rented a house in Bellevue, Washington for $890 a month in 1994, which was not owned by them but leased [2]. - The original rental property has since been sold for $1.52 million in 2019 and was listed for $2.28 million in 2024, showcasing the appreciation in real estate value [3]. Group 2: Current Real Estate Holdings - Bezos currently owns three properties on Indian Creek Island in Miami, purchased for $68 million, $79 million, and $90 million, indicating a shift to high-value real estate investments [4]. - In addition to his Miami properties, Bezos has a significant estate in Beverly Hills, a penthouse in Manhattan, a waterfront property in Medina, Washington, and a Texas ranch for his aerospace company, Blue Origin [5]. Group 3: Financial Overview - Bezos's net worth is estimated at $231.3 billion, and if he spent $890 every minute from September 26 to the end of the year, he would still retain $231.17 billion after spending approximately $124.3 million [6]. Group 4: Investment Opportunities - The article mentions Arrived, a platform backed by Bezos, allowing investors to buy fractional shares of rental homes starting at $100, providing an accessible way to build wealth through real estate without the need for large capital or landlord responsibilities [7].

Core Viewpoint - Dividend stocks provide high yields and growth catalysts that can support payouts for decades, making them attractive for passive income investors [1][2]. Group 1: Dividend Stocks Overview - Building passive income through dividend-paying stocks allows investors to secure financial freedom by generating regular cash distributions [2]. - Dividend stocks combine income with potential long-term capital appreciation, offering protection against inflation through rising distributions [3]. Group 2: Company-Specific Insights - Philip Morris International offers a 3.6% yield with an 80% payout ratio, supported by its transformation towards smoke-free products, which generated 39% of 2024 revenue [6][7]. - Pfizer provides a 7.14% yield at 7.7 times forward earnings, with projected revenue of $61 billion to $64 billion in 2025, driven by various growth products and an acquisition of Metsera for up to $7.3 billion [8][9]. Group 3: Investment Considerations - Philip Morris trades at a discount with a forward earnings ratio of 19.4 compared to 22 for the S&P 500, while maintaining a credible path to smoke-free growth [7]. - Pfizer's high payout ratio of 90% presents execution risks, but management's commitment to dividends and lower expense guidance suggest a compelling risk-reward balance [9][11]. Group 4: Passive Income Strategy - Both Philip Morris and Pfizer offer different paths to passive income, with a combined yield of approximately 5.4%, significantly higher than the S&P 500 average [10]. - Sustainable yields backed by strong business fundamentals are crucial for passive income investing, with both companies demonstrating potential despite facing regulatory challenges [11].

Core Insights - Companies that have consistently raised their dividends for over 25 years are ideal investments for passive income investors [1] Group 1 - Companies with a long history of dividend increases are attractive for generating passive income [1]

RT Picolas Cage (@Picolas_Caged)If there's one thing I have learned from getting older + having more money:There is absolutely no such thing as a free lunch and there is *pretty much* no such thing as passive income.All capital in some form or another is earned, with varying degrees of stress and/or time consumption ...

Core Insights - Renting a home currently saves nearly $400 per month compared to owning, raising questions about the financial viability of homeownership in the U.S. [1] Cost Analysis - A financial planner calculated that owning a $430,000 home with a 6.75% mortgage rate results in total monthly costs of approximately $2,950, while renting a comparable property costs about $2,550, indicating significant savings in renting [2] - Hidden costs of homeownership, including property taxes, insurance, and maintenance, are often underestimated, with a 2024 Bankrate study estimating these expenses at around $18,000 annually [4] Investment Perspective - Real estate mogul Grant Cardone advocates for renting and investing the savings into income-generating properties, suggesting that capital tied up in a home should be utilized more effectively [2][3] - The opportunity cost of a down payment, such as $80,000, could yield significant returns if invested elsewhere, allowing renters to benefit from lower housing costs while potentially building wealth through cash flow [6] Flexibility and Mobility - Renting offers greater flexibility compared to homeownership, especially in a market with high mortgage rates and rising prices, which can lock up liquidity [5]

Core Insights - The article discusses the transformation of U.S. housing from owner-occupied homes to rentals, driven by institutional investors and policy changes post-2008, leading to rising rents and deteriorating living conditions for tenants [2][3]. Group 1: Institutional Investment in Rentals - Institutional investors have capitalized on the housing market shifts post-2008, converting former owner-occupied homes into rental properties, which has contributed to rent inflation and adverse living conditions for tenants [2]. - Real estate investment trusts (REITs) and listed real estate operating companies (REOCs) have aggressively expanded into residential markets, providing diversified assets to shareholders while generating income from residential properties [2]. Group 2: Policy and Market Mechanisms - The Federal Housing Finance Agency's 2012 REO pilot program facilitated the sale of Fannie Mae-held foreclosures to investors with the stipulation that these properties be rented, effectively transforming repossessed homes into income-generating assets [3]. - The post-crisis environment saw private equity and asset managers purchasing distressed properties in bulk, particularly in Sun Belt markets, and later targeting affordable properties to attract lower-income renters [5]. Group 3: Investment Strategies for Renters - Renters seeking to build wealth are encouraged to separate their living arrangements from investment strategies, considering income-producing real estate vehicles managed by professionals to mitigate risks associated with direct property ownership [3][4]. - Platforms are available for individual investors to start with small investments in cash-flow real estate, allowing participation in the market without the burdens of property maintenance and vacancy risks [4].

Core Insights - Investors are particularly attracted to dividend stocks with ultra-high yields due to their ability to provide significant income streams and substantial total return potential [1] Summary by Category - **Investor Preferences** - Dividend stocks are favored by investors for their high yields [1] - These stocks are seen as a reliable source of income [1] - **Return Potential** - Dividend stocks not only offer income but also have the potential for substantial total returns [1]