In the investment world, a golden goose can be a giant stock with growing or highly profitable company. The golden eggs could be the quarterly or yearly dividend distributed by the business to shareholders. The golden goose or business could grow in size and therefore could produce bigger golden eggs in future.
If one could have a golden goose which could lay a golden egg once a year, should the investor sell the golden goose to exchange for a big sum of money in short time or collecting the golden eggs patiently over a long time?
This is exactly the dilemma of some investors who hold on to a stock which has both passive income (eg. yearly dividend which is a golden egg) and capital gains over the time (golden goose becomes larger in size). They may get disappointed at later time if they keep the golden …Read the full article →