You should also inspect the dividend payout ratio of most companies, and anything in excess of 80% signals trouble ahead & potential dividend cuts.

Also have a read at 5 tricks to successful dividend investing at http://www.high-yield-dividend-stocks.com/successful-dividend-investing.html

These are not really tricks but essential must-dos for any income investor. For example, a sample trick from the article that I like the most is:

Don’t Chase High Yield Dividend Stocks without Understanding the Business

I’m new to your site, like it very much, very informative.

Question: Is there a list that shows just Canadian companies that pay dividends and every 2,3 or 5 years pay a special dividend. Trying to locate or
find if such a list exist.

Best Regards,

Hugh Johnson
Ottawa, ON

[...] Million Dollar Journey: Canadian Dividend Stocks [...]

The S&P 500’s Dividend Aristocrats is the most prestigious list of dividend paying stocks in the world that are tracked by S&P 500 Index. The Dividend Aristocrats Index is a list of companies that have consistently grown their dividends for at least 25 consecutive years. The index is so strict that if a company misses even 1 year of growing its dividend, it is eliminated from the Dividend Aristocrats Index.

* Exxon (XOM) – 27 years
* Clorox Co (CLX) – 32 years
* McDonald’s Corp (MCD) – 33 years
* Wal-Mart Stores (WMT) -35 years
* Coca-Cola Co (KO) – 47 years
* Johnson & Johnson (JNJ) – 47 years
* Procter & Gamble (PG) – 53 years

When you think about multinational companies, Canada probably isn’t the first country that comes to mind. Instead, we think of McDonald’s, Wal-Mart, Altria (Philip Morris) – the usual suspects riding the scapegoat of globalization. But in fact Canada has its multinationals, too – you might not see them on the average “most wanted” list, but these companies have added incredible value around the world and are among not only Canada’s best, but the best in their respective industries. Even better, they all pay dividends.

[...] Pick your stocks. Find strong dividend stocks with a history of increasing their dividends over the long term.  A great place to start is the dividend achievers list. [...]

For a riskier play I also own Chartwell Retirement Res. REIT. Started buing at $4.50 with a 16% yield. now at 5.70 and yielding 12.6%.. still pretty good. but risk on debt refinancing but not until next year..

[...] is a combination of capital protection and income generation, I would invest the equity portion in high quality dividend paying blue chip equities, high quality preferred shares and perhaps some exposure to international indices/dividends for [...]

[...] that I use for my leveraged portfolio where I pick my own dividend paying equities.  As the dividend achievers list is based on this strategy, you can simply purchase an ETF, like CDZ (CAD) or VIG (USD), that serves [...]

I don’t think he’s doing too well. Canadian Capitalist wrote about this recently…

http://www.canadiancapitalist.com/what-went-wrong-with-the-derek-foster-strategy/

[...] some of the companies from the dividends achievers list and their associated dividend payout [...]

The important thing with DRIP and SPP is to keep meticulous records. I have been doing this, intermittently, for nearly twenty years and when you wish to sell some of these positions you will be glad that you kept meticulous records.

Also, if you do not understand Trust Unit organization do not invest in them. 2011 is sooner than you think and, although I am cautiously hopeful that this investment vehicle will not portend disaster for its holders, I would prefer to be invested in going-concern corporations. I will allow that REIT’s will be untouched by the new legislation.

DRIPtileyeDROP.

Foster Advocate try http://www.shareowner.com. free dividend reinvestment up to 0.0001 of a share.

good luck