Does anyone here know about dividends from tobacco stocks?I heard some insanely rich that he likes to own some (mentioned was Phillip Morris and BATS) to generate part of his income (he does not work, as in waging, he is board of director in some companies tho)So basically, how the fuck does this work? I thought the youth stopped smoking, but apparently those are the same companies that are profiting from the vaping trend.However my question is: What the fuck happened in 2017? Altria Group, BATS and others, crashed and are still around -40% since then. If you entered around that time, you would be down -40%, so you would be fucked. What's the point of recieving an high yield if shit can crash?Phillip Morris' graphic looks more stable for some reason and it's only down -7% since then.Anyway, my point is, can someone explain, how does this work, what im missing here. If some super rich dude that seems high IQ uses this to generate a part of his income, then im assume this is a good deal. However, how do you know governments will not ruin the stuck by issuing sanctions, regulations and so on? Probably something happened in 2017 that caused that?Even if you recieve high yield, you would be recieved -40% of that yield, so what the fuck is the point.Could someone explain how to generate income without melting your initial capital in the process? these rich guys clearly don't work, so there has to be a way to do it, because I doubt they sit and watch their capital melt.
>>58783818>What the fuck happened in 2017?Altria shares plunge after FDA releases road map to curb tobacco-related deathsPeople are not going to stop smoking, worldwide markets, expand your horizons.BTI (with no reductions) will pay for itself in 9 years. MO will do it in 12.Diversify into things everyone needs (gas/oil) or something not linked to one specific sector (QYLD or the like)Number doesn't need to go up if you're drawing money every month or quarter
>>58783927>Number doesn't need to go up if you're drawing money every month or quarterIt needs to go up otherwise the dividend you recieve is increasingly lower long termand it at least doesn't need to crash 50% which it did with some of these stocks so whats the deal
>>58783927>QYLDwhat the fuck is this? it just goes down>BTI (with no reductions) will pay for itself in 9 years. MO will do it in 12.what does this mean pay for itself? and that's a long ass time. sanctions and regulations can ruin this business. what if governments decide smoking is bad and ban it or something.i just think high yield is retarded if the underlying can crash 60%
