If you had invested ₹10,000 in CRISIL 10 years ago, the stock price would have jumped 3.6 times today. However, given the regular dividends paid by the company, the total returns would have been 4.2 times your investment.
Dividends are the single-most factor that has made all the difference between the two return numbers, mentioned above. So, it ultimately proves the power of dividends.
In this issue of Wealth Insight, we talk all about dividend investing, what it entails and what it is not and what you should look out for when building a portfolio for dividends.
Enter dividend-growth investing
It is worth investing for dividends if the amount of dividends increases steadily every year. However, the success of dividend investing does not lie in parking your money in high dividend-yield stocks. Rather, growth of the dividends is the critical factor that you should consider. This growth can come only when the company you invest in grows its earnings and consequently, dividends over the next couple of years.
Over the next couple of pages, we will take you through the approach and process you should take while investing for dividends.
Your guide to dividend-growth investing
What it is and how does it work?
Bu hikaye Wealth Insight dergisinin April 2023 sayısından alınmıştır.
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Bu hikaye Wealth Insight dergisinin April 2023 sayısından alınmıştır.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
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