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Looking for dividends? Here's three twists on a popular approach


Published on 2024-12-15 17:21:05 - The Globe and Mail
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  • These three portfolios use a version of the Stable Dividend portfolio as a starting point and provide prodigious profits over the long term

The article from The Globe and Mail discusses three innovative strategies for investors seeking dividends, moving beyond the traditional approach of simply buying stocks with high dividend yields. Firstly, it suggests investing in companies that have a history of increasing their dividends, which can lead to significant income growth over time. Secondly, it highlights the benefits of focusing on companies with lower payout ratios, which might indicate a more sustainable dividend policy and potential for future increases. Lastly, the article introduces the concept of "dividend growers" - companies that not only pay dividends but consistently raise them, offering both income and capital appreciation. This approach aims to mitigate risks associated with high-yield stocks that might cut dividends during economic downturns, providing a more balanced and potentially more rewarding investment strategy.

Read the Full The Globe and Mail Article at:
[ https://www.theglobeandmail.com/investing/markets/inside-the-market/article-looking-for-dividends-heres-three-twists-on-a-popular-approach/ ]