How to Create a Dividend Investing Strategy
Dividend investing focuses on building a portfolio around stocks that make regular payouts, called dividends, to shareholders. Instead of relying on capital gains, profits earned from selling assets, this strategy generates income by holding them instead. However, it’s important to note that dividend stocks carry more market volatility than bonds and often deliver lower total returns compared to growth-investing strategies.
A financial advisor can help you create a dividend-focused portfolio tailored to your goals.
What Are Dividend Payments?
A dividend is a payment that a company makes to its shareholders. These payments are issued on a per-share basis, meaning that as a shareholder you are paid a dividend for each share of stock you…