Do you want to super-charge your investment portfolio? One of the best ways to build your nest egg faster is with the help of dividends. Learn why dividends can be a powerful addition to your portfolio, and how you can get started investing with them — even if you don’t have a lot of capital available.
Some important points discussed in this episode:
- Dividends are best as part of a long-term investing plan.
- Start out with a dividend-paying fund, so that you can get diversity and a degree of stability, as well as cost-efficiency.
- Reinvest your dividends to grow your portfolio even faster.
- When you are ready to retire, you can switch from reinvest to grow your portfolio to using the dividends as a source of income.
- Make sure you understand the tax implications of dividend investing.