Index investing has become extremely popular in recent years. A lot of new investors have embraced the strategy in recent years. Unfortunately, many investors are embracing the strategy by believing certain myths that are simply not true. I am going to examine several of their problematic thought points, and discuss why they are myths that could hurt those investors in the future. In reality, there is nothing magical about index investing. [more]
I wanted to thank you all for reading the Dividend Growth Investor website. This site is a result of my efforts to improve my investing over time, write down and organize my thoughts, and make myself do the work to form an opinion on companies to invest in.
I find it helpful to write down my position on a given topic, and then revisit it a few years later, in order to learn from it. I would encourage all of you to keep an investment journal in private or in public, in order to write down reasons behind your strategy and the investment selections you are making. After a few years, you should be able to learn from your mistakes, and hopefully find ways to improve your results.
The way to improve is by gathering data, and analyzing the results against your expectations. I followed this approach to find out the most read articles on the Dividend Growth Investor website.
I have compiled a list of eight articles that readers found helpful in 2016, as evidenced by number of visits. The articles include:
1) How to set up your own perpetual income machine
2) 24 Dividend Champions for Further Research
3) Nine Attractively Valued Dividend Stocks to Consider
4) My Five Largest Dividend Portfolio Holdings for the Long Term
5) Building a Core Dividend Growth Portfolio With These Eight Companies
6) Dividend Aristocrats List for 2016
7) Dividend Aristocrats for Dividend Growth and Total Returns
8) Dividend Champions - The Best List for Dividend Investors
It is very nice to see that my readers are interested in the tools of the trade, such as the lists of dividend champions and dividend aristocrats, which many use as their starting point in their screening process. It is also interesting to see that readers like actionable lists of companies for further research that they can analyze in more detail.
Thank you again for reading.
Dividend Growth Investor [more]
There are several guidelines about becoming a successful dividend investor. They are centered around several key points I am going to be discussing in the next three weeks. I will be updating this post with links to articles on the process of becoming a successful investor.
The series of articles over the next three weeks will be a high level summary of my dividend investment plan today. If I were to start dividend investing today, I would find the collection of posts to be of tremendous value. In other words, the articles I will be posting are similar to a free course on dividend investing.
Lesson One: How to identify your dividend investment goals?
Lesson Two: Where to search for investment opportunities?
Lesson Three: When to buy dividend paying stocks?
Lesson Four: How to analyze investment opportunities?
Lesson Five: How to Manage Your Dividend Portfolio
Lesson Six: How to deal with new cash from dividend payments
Lesson Seven: How to monitor your dividend investments
Lesson Eight: When to sell your dividend stocks? [more]
With dividend growth investing, the goal is identify a company that grows earnings and distributions, and then purchase that company, without overpaying dearly for its prospects. A rising stream of dividend income is just one of the outcomes of a successful business for further research. Investing in dividend growth stocks is a long-term endeavor, which benefits only those who are willing to patiently sit and compound their wealth and income for decades.
One way to monitor progress is by evaluating how earnings and dividends are growing once per year. If a company’s management is growing dividends, this shows their bullishness on the company’s intermediate term business prospects.
Over the past week, there were several companies with established track records of annual dividend increases, which continued their streak of annual dividend increases. The companies include: [more]
S&P 500® Dividend Aristocrats measure the performance S&P 500 companies that have increased dividends every year for the last 25 consecutive years. The Index treats each constituent as a distinct investment opportunity without regard to its size by equally weighting each company.
There are 50 dividend aristocrats today, with an average yield of 2.50%. Tomorrow, I would share a list of the 21 dividend aristocrats I would consider for further research if I were just starting out today. [more]