What Are Forever Stocks?


Quick Answer

Forever stocks are those that consistently have strong dividend yields over many years. The name is a reference to the fact that investors should keep them in their portfolio forever since the stocks are unlikely to depreciate in value over time.

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Full Answer

Forbes magazine cautions that no investment can be guaranteed to be a forever stock, no matter how well the company is doing at the time of investment. However, it does offer several tips for people looking for forever stocks. These stocks tend to be associated with companies that are leaders in their field and are in industries that are relatively safe from technological disruption and shifts in consumer taste.

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