Dividend investing has long been a favourite strategy for Australian investors. And while market trends come and go, the appeal of generating regular income from a portfolio of shares like BHP Group Ltd (ASX: BHP) and Telstra Group Ltd (ASX: TLS) remains as strong as ever.
But dividend investing is not just about income. When done well, it can also be a powerful way to build wealth over time.
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More than just passive income
At its simplest, dividend investing involves buying shares in companies that return a portion of their profits to shareholders.
This income can be used to fund lifestyle expenses or, importantly, reinvested to accelerate portfolio growth.
That reinvestment is where things get…
