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Passive Income: How Much Do You Need to Invest to Make $444 Per Month


Published on 2025-01-14 16:21:35 - MSN
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  • Investing for monthly passive income is a goal many aspire to achieve, and understanding the nuances can make the journey
  • The post Passive Income: How Much Do You Need to Invest to Make $444 Per Month appeared first on The Motley Fool Canada.

The article from MSN Money discusses how to generate a passive income of $444 per month through investments. It explains that to achieve this income level, one would need to invest in assets that yield a certain percentage of return. For instance, if you aim for a 4% annual yield, you would need to invest approximately $133,200. The article breaks down the calculation by suggesting that $444 monthly equates to $5,328 annually, and at a 4% yield, this requires a principal investment of $133,200. It also explores different investment options like dividend stocks, real estate investment trusts (REITs), and bonds, each offering different yields and risks. The piece emphasizes the importance of understanding the risk-return trade-off, diversification, and the impact of taxes on investment income. Additionally, it touches on the concept of reinvesting dividends to compound returns over time, which could reduce the initial investment needed if one is patient and allows for growth over years.

Read the Full MSN Article at:
[ https://www.msn.com/en-ca/money/investment/passive-income-how-much-do-you-need-to-invest-to-make-444-per-month/ar-BB1rsqVL ]
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