But I'll be
going over dividend growth and income growth on a quarterly basis from now on, starting this month.
I still believe younger folks (< 40) should be more invested in growth stocks long
term over dividend stocks.
I think it is very important to take more risks when you are young which is why I'm biased towards growth
stocks over dividend stocks.
Of course, some would argue that a zero coupon bond might offer better returns than a coupon payer, but that's like arguing in favor of a non-dividend stock
over a dividend paying one.
The senior investors can gain even more by choosing the growth
MIP over dividend MIP.
I prefer dividend stocks
over dividend ETF's (to avoid the management fee / expense ratio) but, since I live in New York, the PowerShares New York AMT - Free Municipal Bond Portfolio ETF (PZT) has a place in my dividend portfolio.
What remains news, for now at least, though is the other side of that equation as Barnes and Noble's shares
fell over dividend concerns, taking the year's tumble so far to over 17 %.
In other words dividend growth provided an insignificant
edge over dividend payers more generally.
I will do these updates every quarter, but any investor who wants to monitor the IBP's progress more closely can go to Daily Trade Alert's home page, hover the
cursor over the Dividend Growth Investing tab and then select Income Builder Portfolio from the drop - down menu.
Preferred stocks straddle the divide between fixed income and equities, with investors paid a fixed dividend that takes
priority over dividends paid to stockholders.
To that point, I'll also go
over any dividend increases that were announced since the last update, as well as how that affects the Fund's expected annual dividend income over the next 12 months.
However, there is nothing worse than investing in a dividend stock that now hit a financial roadblock and is prioritizing debt
repayments over dividends.
More than $ 8 billion has flowed into dividend equities since the Brexit vote, according to EPFR, and we prefer dividend growth
over dividend yield.
We see equities remaining the dominant source of income going forward, though we prefer dividend growers — companies that increase their payout to shareholders —
over dividend payers in this environment.
The article I read was titled: Why It's Better to Invest in Growth
Stocks Over Dividend Stocks for Younger Investors.
I prefer growth
over dividends.
Traditionally, a major advantage that buybacks had
over dividends was that they were taxed at the lower capital - gains tax rate, whereas dividends are taxed at ordinary income tax rates.
We see equities remaining the dominant source of income going forward, though we prefer dividend growers — companies that increase their payout to shareholders —
over dividend payers in this environment.
Sam also stated, «I will attempt to argue why younger investors should focus on growth stocks
over dividend stocks in a bull market with potentially rising interest rates.