Janitor Died a Millionaire By Investing in Blue-Chip Dividend Stocks

Ronald Read, a Vermont gas station attendant and janitor, proved you don't have to earn a huge amount of money to become wealthy. He recently died at the age of 92, with an $8 million fortune. Read's investments included shares of AT&T, Bank of America, CVS, Deere, General Electric and General Motors. "He only invested in what he knew and what paid dividends. That was important to him," his lawyer, Laurie Rowell, told CNBC.

Many investors can learn a thing or two from Read's approach, says financial adviser Chris Hogan of Ramsey Solutions. "It's a matter of living a certain way, keeping your lifestyle under control and being committed," he told CNBC. Investors would have to save approximately $300 a month to attain the same $8 million fortune as Read in 65 years, assuming an annual return of 8 percent, Hogan noted. To be sure, don't look at that 8 percent return as a sure thing. Star mutual fund manager John Hussman, president of Hussman Investment Trust, predicts a 1.7 percent annual return during the next 10 years for a portfolio with "anything close to a standard mix of equities, bonds and cash."

Source: Newsmax

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