I have always been a proponent of investing in stocks that gives consistent dividend, no matter the sector. It helps keep your focus off the short term movement of the market and reduces your risk as compared to capital gain investing(which is to buy a stock below retail valuation and wait for its assets to appreciate). Point to note, you should never invest in a stock just because its current dividend payout is attractive, more research has to be done.

This puts fundamental analysis to good use. Past data matters, despite all the naysayers out there. To judge the potentiality and sustainability of a company, we have no other way but to base it on past data. So here are four useful pointers to look out for to help you make an all rounded decision on your cash flow investing journey.

Business model- You have to be familiar with how …