Reasons to Steer Clear of Investing in Dividend Stocks [Podcast]

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Reasons to Steer Clear of Investing in Dividend Stocks [Podcast]

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Hold on… what? We shift the discourse. Investing in dividend stocks for inadequate reasons may lead to frustration. Mike and Vero outline the traps of building a dividend portfolio without specific objectives.

Attain insight not only on dividend investing, but also on leveraging it for appropriate reasons.

Construct Your Portfolio with Assurance and Clarity

Get the complimentary DSR Investment Roadmap for a detailed guide to intentional investing.

You desire straightforwardness: understanding your initial situation (available funds in your account) and your aim (a well-rounded dividend growth portfolio). However, you’re unsure how to realize it!

  • How many stocks should you manage?
  • Which stocks to purchase and when?
  • Is investing by sector essential?
  • Are investment guidelines necessary?
  • What important metrics should you focus on?
  • Should you buy everything at once or in stages?

The DSR roadmap covers every element of portfolio development.

Steps of the DSR investment roadmap.

Whether you are at the beginning of your journey or changing your strategy, this guide facilitates creating a dependable process.

—> thedividendguyblog.com/roadmap

You Will Discover

Pursuing Yield Can Be a Risky Endeavor
High yields can be alluring but frequently signify ailing businesses or falling stock prices.

  • Mike emphasizes being “yield agnostic” while prioritizing dividend growth trends and payout ratios instead of just numbers.

  • Yields of 8–10% might only be refunding your investment, lacking genuine value enhancement.

The Significance of Total Return Over Isolated Income
There’s no need to shy away from selling shares.

  • Mike illustrates how adjusting positions like Apple allowed income generation without capital depreciation.

  • Depending solely on consistent yield diminishes buying power over time.

Dividend Stocks May Not Always Outperform the Market
Completely true over shorter durations.