Adding International Dividends to Your Passive Income Portfolio

Passive income portfolios have been discussed quite a lot of times and dividend investing is certainly a major part of what we consider to be a great way to add passive income. A deep study is done on the top dividend stocks from the S&P500 and then further detailed analyses are published.

Adding international exposure to investment portfolios has also been proven very beneficial. Various ways of doing that, as well as adding passive income, have been published in different weekly and monthly issued magazines.

Adding US listed stocks that pay foreign dividends has been an interesting idea to increase one’s passive income. The reasons for this could be:

-$USD is not doomed or the value is not being decreased, thus having a cash flow in another currency might help increase your yield over time if the dollar continues to have a difficult time

-Owning a US listed account in $USD, will force the dividend to be automatically converted to $USD in your account even if it is paid in a foreign currency. Therefore there are no conversion complications

-all tax implications of owning foreign stocks that might require withholding taxes etc can be avoided if one buys US listed stocks as to increase his Passive Income.

-brokers would keep a slight cut which would lead to a definite increase in passive income.

All these reasons are convincing enough for any person to add as much as US listed stocks which have international dividends to his passive income portfolio.  Therefore it would not be wrong to say that it’s a winning proposition to add some quality foreign companies that are listed in the US, ideally that pay a dividend in a foreign currency. More interesting ideas are still being looked forward to, so that any ordinary person can maximize his passive income.

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