- How's it going today, guys?
Welcome back to the channel.
So, in this video today,
we're gonna be talking about
the top eight buy and hold forever stocks,
AKA eight stocks that you could consider investing in
for the rest of your life.
Now, real quick here, guys,
I do have to make a disclaimer
that I am not a financial advisor
and this is not any sort of financial advice,
and you should always do your own due diligence
and research above and beyond this video
before making any investment decisions.
Also, guys, I've been getting a ton
of spam and scam comments down below.
So, just be careful if you are communicating
with anyone down there,
don't give out any of your personal information.
And if you are communicating with me,
make sure there is that white check mark next to my name.
Otherwise, that is, in fact, a scammer
and they're probably looking to take your money
or something like that.
So, coming in at number one on the list here
is probably the most popular
buy and hold investment out there,
and this is the Vanguard 500 Index Fund ETF
trading under the symbol VOO.
So, this is basically a basket
of the 500 largest publicly-traded U.S. companies
giving you built-in diversification
if you choose to buy into this ETF.
So, just to cover some quick information on them here,
this fund has an astounding $268 billion
in assets under management
and they currently have 511 different individual holdings.
Now, one thing you're gonna wanna pay attention to
when you're looking at an ETF is that expense ratio.
Now, Vanguard has some of the lowest expenses
in the industry.
So, coming in at an expense ratio of 0.03% is very low.
You also wanna check out the tracking error,
which is gonna show you how closely the fund
tracks an underlying index.
This is coming in at a .01,
so it's following it very closely.
This benchmark index is, of course, the S&P 500
or the 500 largest publicly-traded companies in the U.S.
Now, investing in VOO gives you a little piece
of all of these different companies.
For example, the top 10 out of those 511 holdings,
which makes up almost 30% of the fund.
So, basically, if you buy VOO, about 30% of your money
goes into these 10 companies right here.
This includes names, like: Tesla; Apple;
Berkshire Hathaway; Facebook;
Alphabet, AKA GOOGL,
NVIDIA;
Microsoft;
Amazon; and JPMorgan.
So, this particular investment
is best for long-term investors looking for passive gains
that will match the market.
And honestly, guys, you could park your money in VOO
for the next 50 years,
and most likely not run into any trouble
because you're basically betting
on the U.S. economy as a whole
in terms of the 500 largest publicly-traded companies.
And here we have the five-year performance of VOO.
Obviously, we had a sell off there after 2020
during the pandemic.
But ever since then, it's been a pretty solid uptrend
and hopefully, we will see things continue thereafter,
but even if you do own any of these stocks,
if you're focused on a super long-term investment,
you have to know
that there is going to be boom and bust cycles in the market
and be prepared to either hold your investments
during those downturns
or even potentially buy more at a discount.
So, coming in at number two on my list
is a stock that I owned previously,
and this is Coca-Cola trading under the symbol KO.
So, this company was founded back in 1892.
They have a market cap of $245 billion.
They are a dividend aristocrat,
which means they have been growing
and paying that quarterly dividend every single year
for over 25 years, which is very impressive.
They have a 59-year growth streak
in terms of how many years they've been growing
that dividend consecutively.
And they are currently paying an attractive yield of 2.96%.
Now, Coca-Cola is good for long-term investors
looking for strong dividends and steady appreciation.
You're not gonna see any crazy growth out of Coca-Cola,
but it is going to be a very steady
and consistent investment.
Coming in at number three on the list here
is Johnson & Johnson trading under the symbol JNJ.
This is another very, very old company founded back in 1886
with a current market cap of $429 billion.
This is, in fact, another dividend aristocrat.
They have also been increasing their quarterly dividends
every single year for 59 years.
And the dividend yield here is sitting at 2.52%.
Now, Johnson & Johnson is a solid pick
for those looking for strong dividends and low volatility.
Also, I believe Johnson & Johnson
is one of only two companies
with the highest possible credit score rating
from Moody's or Standard & Poor's,
and I believe the only other company on that list
is Microsoft.
So, they are looked at
as one of the best stewards of their debts.
Definitely something to consider
as a Johnson & Johnson investor.
Number four on the list
is another company that I owned at one point.
I also used to own some Johnson & Johnson,
and I probably will own
a lot of these in the future as well.
But 3M is the Minnesota Mining and Manufacturing Company,
something along those lines.
Very, very old company founded back in 1902
with a market cap of $104 billion.
This is another dividend aristocrat,
which has been growing their dividend every single year
for 60 years now.
And they have a dividend yield sitting at 3.24%.
Now, 3M is basically considered to be a conglomerate,
which is a bunch of small companies
or brands under one name.
They make things like scotch tape,
they make a lot of medical supplies,
they make automotive chemicals,
all kinds of different stuff and products.
So, they are very well-diversified
in the consumer products division,
and also B2B, and sort of all over the place.
Now, some of the industries that they serve
are cyclical in nature.
So, you can see some ups and downs with that share price
and over the last five years,
it hasn't really done too much,
but they do have an attractive dividend yield above 3%.
Number five on the list
is another company that I like as well
that I've also owned in the past,
and that is Procter & Gamble trading under the symbol PG.
Now, this right here is the oldest company
that we've talked about so far, founded back in 1837.
Pretty incredible, I must say.
And they have a current market cap sitting at $355 billion.
They're also a dividend aristocrat,
and they've been increasing that quarterly dividend
every single year for 50 years.
That's longer than probably most of us watching this video
have even been alive.
Currently, the dividend yield is sitting at 2.32%
and Procter & Gamble is a solid choice
for long-term investors looking for strong dividends
and also looking to add consumer product goods staples
to their portfolio.
The other thing I like about Procter & Gamble
is they are able to very easily increase their prices.
I know they did come out
and say they are expecting to increase prices
across a lot of different categories due to inflation,
but they have this massive portfolio of brands.
And they're basically, you know,
a lot of personal care and hygiene products,
things like that,
that many of us are using every single day.
I would encourage you
to basically look at the back of
a lot of these different cleaners
or shampoos that you're using
and you'd be surprised just how many of them
are a Procter & Gamble product.
So, coming in at number six here, guys,
is more of an asset appreciation approach
rather than a dividend approach.
And that is the company Apple trading under the symbol AAPL.
Again, this is another company I've owned
many, many times in the past
that I probably will buy shares again in the future.
So, Apple was founded in 1976
and they currently have a market capitalization
of $2.43 trillion.
Now, despite being a high-growth investment,
they do also pay a nominal dividend here,
which has currently coming out to be a yield of .57%.
And they have been increasing that dividend
every single year for the last seven years.
So, by no means is this considered
to be really an income investment.
It's really still considered to be a growth play,
but having that dividend is also a unique offering here.
That way, you can get paid in two different ways
while investing heavily in technology.
So, this investment is good for long-term investors,
especially growth investors
who are more focused on asset appreciation
or increasing in share price,
not so much earning dividends for cash flow.
But they do pay a dividend nonetheless
so it sort of does, in a sense,
give you the best of both worlds.
Coming in at number seven here is another company
that I think we are all familiar with.
And it's another company that is really a solid choice
for a lifelong investment, in my opinion.
And that is none other than Google.
This company here, pretty wild.
Founded in 1998, they're now one of the world's
most valuable companies
sitting at a market cap of $1.96 trillion.
Now, unlike Apple, Google does not pay any dividends.
They're solely focused on growing the company,
growing revenue, and increasing the market valuation
and thus, the share prices of Google
for both their Class A and their Class C shares.
Now, that is one nuance here with Google
is that if you are investing in them,
they do have a GOOG versus GOOGL.
They trade at different prices.
One of those shares has voting rights, the other does not.
So, that's something that you do want to consider
if you are investing in shares of Google.
Obviously, you know,
there's not really much that has to be said about why Google
is considered to be a good lifelong investment.
They've become so intertwined with our daily lives
and so many of us are using their services every single day.
My entire business revolves around Google
in terms of my YouTube channel
or the different blogs that I operate
that are really capitalizing on Google search traffic.
So, Google, honestly,
a solid play for the long-term
for betting on the future of this digital economy.
So, Google is best for long-term investors
looking to gain access to tech and innovation.
Obviously, they're only offering you to basically earn money
through asset appreciation,
not currently paying a dividend at this point in time.
And then lastly on the list here,
we have Walmart trading under the symbol WMT.
This is another company that I have owned in the past.
Walmart was founded in 1962
and they now have a market cap of $413 billion.
And Walmart is another dividend aristocrat
where they have been increasing that quarterly dividend
every single year for the last 48 years.
Now, Walmart is an interesting stock here
because it's almost an even mix of potential
to earn money from asset appreciation
or that share price going up
or to earn money from that dividend.
So right now, the dividend yield is sitting at 1.48%,
which is obviously not too, too high,
but it is better than something like Apple,
which was paying half a percent as a dividend yield.
So, it's enough to actually be meaningful,
especially if you're gonna be reinvesting.
So, Walmart really gives you the best of both worlds here
in terms of being able to make money
from quarterly dividends,
as well as the natural appreciation of that share price.
Also, I just wanted to point out here,
if you looked at the share price here
in the chart for Walmart,
you would probably have not even known
that there was a global pandemic in 2020.
I don't even think they broke this trend line here,
which is really insane.
So, this stock's been on a terror for years here, guys,
from 60 bucks a share up to 148.
Many of us aren't the biggest fan of Walmart, overall.
I know, I'm certainly not the best, biggest fan of them
in terms of a lot of their employees
are on government subsidies,
but nonetheless,
it is a really solid investment here
in a place that a lot of people shop.
Not to mention, they also tend to do really well
during a recession
because when people have to be more careful
with how much money they are spending,
they're gonna have to shop at discount stores
such as Walmart.
Now, the last thing I wanna cover is where to buy stocks
if you're looking to invest for the long-term.
And my recommendation is, of course,
going to be M1 Finance,
which is the main brokerage that I use myself.
Through their investing side,
they offer no commission trading,
fractional shares, dividend reinvestment,
automated rebalancing, and so much more
with a minimum investment of just $100
or 500 bucks for retirement accounts.
And also, they do have M1 Borrow,
which is a flexible portfolio line of credit.
And then in addition,
they do have the M1 Spend debit and credit cards,
which allow you to earn cashback in the process.
I mostly use them for the investing side of things
and the borrow, but they really are a solid choice
for a long-term investment portfolio.
They're also doing a promotion
until the end of the year here, guys,
if you're looking to get some extra bang for your buck.
All you have to do is deposit
the amount of money here on the right
or transfer in an equal value brokerage account
and you can get a bonus of up to $500.
So, if you guys wanna check that out,
there's going to be an affiliate link for M1 Finance
down in the description below.
And I also have a completely free
30-minute step-by-step training
that's gonna walk you through how to get started
and how to build a portfolio with M1 Finance.
So, that's gonna be linked up down below, guys.
I hope you enjoyed the video.
If you did, make sure you drop a like and subscribe.
And as always, I hope to see you in the next video.