Never sell AVGO. Seriously they are in talks now with OpenAI to build custom silicon AI chips. Besides AI, they are still a 40 billion dollar a year revenue business.
I love dividend investing, getting those payments in for just holding a company is amazing. from what I've witnessed it all comes down to having a Licensed investment Adviser to handle your portfolio. All thanks to mine who has traded my savings daily from quarter a million to almost one million dollars in the last 9 months.❤✅
My expenses per month are 750 I'm very frugal, all I need is 12500. At an average of 7.5 yearly yield to cover all my expenses. I'm not interested in growth but cover my expenses. So I can retire early not when I'm 60
Very cool to hear Turtle, and you remind us that there’s more than one way to get to financial heaven and everyone must do what meets their financial needs while allowing them to sleep well at night. Thank you for sharing your thoughts on this.🙏
While VZ and MO are two of my absolute favorite high yielders, there's a reason they are in the Age 54+ category on my channel. Younger people need to be focused on dividend GROWTH. Your chart and video demonstrate this perfectly. Thanks Russ.
I don't buy high priced blue chips for dividends anyway. I buy good REIT's , ETF's and BDC's that give me no lower than 7% interest, and no higher than $25 a share. Along with a few tax free. Only large company is BEN. All in all making around 9-10% interest.
Don't have 30 years to grow my account that's why I went high yield and been crushing it with a mix of aristocrat stocks everything needs to be balanced
Exactly. Plus tobacco returns since Oct. 2023 have shot to the 🌙 for an old dividend stocks. Then a little tech back then was great growth overall as well. Now things are shaking up for tech but tobacco is still booming 😅 booming tobacco haters be damned for now 😂
Yeah but lower yield means much more capital needed to get the shares needed for living off the dividends. And at any point companies can choose to slow or stop the growth.
You are correct, which is why those who are far from retirement or needing the yield to live, might want to consider low yield-high growth stocks. And absolutely correct that dividends are not a guarantee and can be reduced or eliminated at any time!
Yep agreed but everyone is different and even though I’m retired 85% of my dividend portfolio is focused on growth dividend payers and 10-15% high income holdings such as MO, VZ, PTY, JEPQ etc. however, i sell strategic covered calls on my low dividend payers (PG, MCD, PEP, KO, SO etc) and turn these into 6-9% yielders every year anyway. And I still capture the upside.
Love to hear the perspective from someone who is retired and I could see the wheel option strategy being a very important part of a retirement income strategy. We should have a chat sometime if you’re up for it…
I always say avoid high yield because it's usually a trap. Although using your example. I think Altria could be an example since they are a dividend king which shows they aren't slowing down anytime soon
Not if you do your DD. Plenty of stable companies that give a good yield. Trouble is most of these Tubers only want to talk blue chip because it's "safe" for them.
I had started investing a lot in Realty Income then I learned that it is a non qualified dividend and that if the company pays qualified dividends I don’t have to pay income tax.
You are correct Allen. This is why many hold REITs like Realty Income in a tax advantaged account like a ROTH or Self Directed IRA. Very simple reminder to try and understand what you are investing in as much as possible and a community of experienced people can be very helpful. Appreciate you sharing this and hope you have a great rest of your day.🙌
Great informative video Russ... Great explanation about chasing yield. I stand guilty in this arena.... Some boneheads include, MPW, WPC, VZ, T and a couple more but I have learned and I'm all in on ROL, V, MA, and many others....Also going hard on ETF's as my spouse wants a more "simplified" approach to investing after I have departed. Glad people like you, Prof G, Ryne, Ari and several others are out there to try to educate beginners. Keep up the great work. Be well...
As long as we learn it’s all worth it. ROL is at the top of my watchlist and one I can see myself consolidating a position or two into someday. Appreciate the kind words, Lance.🙏
MO is like up 24% in 2024 YTD. NOT including dividends. So, timing matters. There are very few "invest and forget" investments. Like you are doing with Nike, entry points matter.
100% accurate statement right here… but, over many years, I think that companies that are growing quickly will outpace on a total return basis… but entry points are still very important.👍
Good to see a video homie! I been watching here and there… learning learning learning. I’m still doing the things though and stoked to build my dividend portfolio up
Use the higher yield holdings to help you snowball. If you’re starting with a lower balance and adding to it, those higher yields help you set it on autopilot while you use your earned income to focus on 401k and Roth IRA contributions. So yes, still advocating for growth, but if you’re being aggressive and want to invest all 3 ways, you want to build up a few hundred dollars a month to reinvest into the growth plays without drawing down from your paycheck. I’m big on REITs though. O, GTY, Stag. Another interesting one is JPIE, fixed income etf. Also the growth plays are better inside of a Roth IRA to avoid paying taxes. I have McDonald’s inside of my Roth IRA purchased at 249/share as an example.
Very well said. You are highlighting an important point that there is more than one way to financial heaven and every investor must do what meets their financial goals and allows them to sleep well at night. Appreciate your comment, my friend.🙏
I still want to have high yield stable companies and REITs in my portfolio to cushion when we have a major corrections. If i need to have cash during a crash i don’t want to sell Amazon or MSFT at a discount. For example in 2022 when tech stock crashed i sold my ATT and VZ holdings to buy Salesforce at a 50% discount, which by the way recovered and now pays a dividend.
Very good point and you highlight that there are exceptions to every rule and more than one way to financial heaven. Ultimately we should do what meets our financial needs and allows us to sleep well at night, right?🙌
I got 10k in my rollover ira. i plan to retire again in 15-17 years. got mil ret and va. in your opinion, what would be a good move for those 10k but i won't contribute to that again?
Hey Charles… without giving specific financial advice, I’ll give you what I would do right now. If the idea is a set it and completely forget it, I’d hit the easy button and go $VTI. You’ll be diversifying between almost 4,000 companies in a self cleansing index that will cost you about $3/year in expenses ($10K x 0.03%). We May be at a market peak right now with the Mag7, but over many years we know the market will go up and to the right, just like it always has. Hope that helps a little!
@@DapperDividends it does. I was debating between FENY and FDVV, but I didn't think about VTI. The good thing is that I can also use any individual company, but I was hesitant on that.
Those could be great options too, as long as the investor fundamentally understands them. I was thinking the best “set and forget” is VTI because of its small and mid cap exposure…and for someone to literally make the investment and not have to really ever think about it again.
I feel this is a realization every one of us ex-dividend junkies need to have at some point. Although, if I may, why even consider yield in the investment process? You're closing yourself off from some amazing companies for really no good reason, in my very humble opinion. I know channels like yours have made a name for themselves (literally) from dividends, but I don't think anyone would hold it against you if you branched out a bit 🙂 Just food for thought, still love your content!
You are absolutely correct and labeling ourselves can restrict ourselves. I really do have a passion for passive income, and one thing dividend paying companies usually have in common is that they are on the nature end of the spectrum. Not always, but usually mature = stable. And stable = more predictable, but lower potential total return. One of my investments is in Harrow Inc, which is a young and rapidly growing company, but could be more risky…so there’s always that balance and there’s no perfect answer. Of course I still have several index funds and ETFs, so that’s going to be my exposure to thousands of non-dividend paying stocks. But you are correct in that just focusing on dividend paying companies eliminates many potentially wonderful investments. It’s a journey and I’m being open about my learnings and even my cognitive biases!😅 Thanks for the thoughtful response my friend.🙏
This is one of the better vids I've seen that explains that total return beats dividend investing. Still, the dividend investors are reluctant to see the light. I was a staunch dividend for many years. The regular income was comforting for sure! But the math proves we should aim for total return.
I feel like AT&T is a low cost starter investment that helps young people build up like a savings account. Once they get $1000 or so in and they begin to do their own research it gives them a small nest egg to put into smarter long term investments.
You could very well be correct, but, in my opinion (which could very well be wrong), I think that younger investors would be better suited for higher growth dividend returns… appreciate your perspective my friend.🙏
Lolololololol. So many youtube dividends channels be like “we can all invest differently, dividends is a good strategy, be consistent to grow dividend wealth” ….meanwhile underperforming market by 95% lolololol.
@@blackfiree91 Isn’t return of capital getting back the money you invested, while return on capital is the extra money you earn on top of your original investment. How would return of capital be superior to total return? If that was the case, we wouldn’t see NAV erosion when returns of capital are made, right?
@@blackfiree91please do. I’m trying to learn. I’ve been under the impression that total return includes both capital appreciation and dividends. This means you're gaining additional value. Return of capital, on the other hand, is just getting your own money back. It's not creating new wealth for you. While return of capital might seem good because you're getting money now, it actually reduces your investment base. This can lead to lower future returns. Total return is a sign that your investment is growing and generating income. Return of capital usually means a company isn't generating enough cash flow to sustain dividend payments. Can you explain why this is incorrect? Otherwise I’m assuming you aren’t serious.
What’s your biggest investing lesson you’ve learned?
Don't be greedy. 8% solid is far better than 14% craziness
Buy when it’s the scariest and wait.
@@blktauna Very well said my friend!!🫡
@@InvestingWithAdamKBlood in the streets buying!!
Never sell AVGO. Seriously they are in talks now with OpenAI to build custom silicon AI chips. Besides AI, they are still a 40 billion dollar a year revenue business.
I love dividend investing, getting those payments in for just holding a company is amazing. from what I've witnessed it all comes down to having a Licensed investment Adviser to handle your portfolio. All thanks to mine who has traded my savings daily from quarter a million to almost one million dollars in the last 9 months.❤✅
Amazing ! I have Liquid $150K to put into stocks, but i want to ensure good profits & safety. how did you find the right Investment Advisory?
1
Thank you and that sounds like a great plan!
How long have you been investing for?
Agreed!!
Essmildaa Morgan is well known, just look her up
Thank you! I will do just that .
My expenses per month are 750 I'm very frugal, all I need is 12500. At an average of 7.5 yearly yield to cover all my expenses. I'm not interested in growth but cover my expenses. So I can retire early not when I'm 60
Very cool to hear Turtle, and you remind us that there’s more than one way to get to financial heaven and everyone must do what meets their financial needs while allowing them to sleep well at night.
Thank you for sharing your thoughts on this.🙏
@@DapperDividends thank you I love your videos they're very informative and easy to understand!
While VZ and MO are two of my absolute favorite high yielders, there's a reason they are in the Age 54+ category on my channel. Younger people need to be focused on dividend GROWTH. Your chart and video demonstrate this perfectly. Thanks Russ.
That’s a great way to put it.. 54+ category!!
Thanks for sharing this, crab!🤘
I don't buy high priced blue chips for dividends anyway. I buy good REIT's , ETF's and BDC's that give me no lower than 7% interest, and no higher than $25 a share. Along with a few tax free. Only large company is BEN. All in all making around 9-10% interest.
Hey bee… it sounds like you’re buying the business that happens to pay a dividend. That’s a very smart way to go about investing!🫡
Don't have 30 years to grow my account that's why I went high yield and been crushing it with a mix of aristocrat stocks everything needs to be balanced
Very nice! What are some of the sticks you’ve been crushing it with?
What if you lose your job ? Who gonna pay the rent ?
You should have mix of, high yield, growth and dividend growth stocks.
I think you highlight the idea of why it’s so important to have multiple streams of income. 🤑
Exactly. Plus tobacco returns since Oct. 2023 have shot to the 🌙 for an old dividend stocks. Then a little tech back then was great growth overall as well. Now things are shaking up for tech but tobacco is still booming 😅 booming tobacco haters be damned for now 😂
Bonds are gonna pay the rent.
I think there's a happy medium with dividends especially when you're retired.
Absolutely approve of higher yields when one is living off the income, Billy.👍
Yeah but lower yield means much more capital needed to get the shares needed for living off the dividends. And at any point companies can choose to slow or stop the growth.
You are correct, which is why those who are far from retirement or needing the yield to live, might want to consider low yield-high growth stocks.
And absolutely correct that dividends are not a guarantee and can be reduced or eliminated at any time!
Yep agreed but everyone is different and even though I’m retired 85% of my dividend portfolio is focused on growth dividend payers and 10-15% high income holdings such as MO, VZ, PTY, JEPQ etc. however, i sell strategic covered calls on my low dividend payers (PG, MCD, PEP, KO, SO etc) and turn these into 6-9% yielders every year anyway. And I still capture the upside.
Love to hear the perspective from someone who is retired and I could see the wheel option strategy being a very important part of a retirement income strategy.
We should have a chat sometime if you’re up for it…
@@DapperDividends that would be great. I like to share my experience and why i decided to go with dividends when i retired.
@@richardthorne2804 Sweet! Shoot me an email - Russ@dapperdividends.com
@@DapperDividends excellent I just sent you my email and phone.
Great video👍
It is often a problem that starters focus on high yield but it is not easy to find data to show the diffence😂
Very good point and you highlight why finding a community of people with experience can be very important!
Thank you for sharing.🫡
I always say avoid high yield because it's usually a trap. Although using your example. I think Altria could be an example since they are a dividend king which shows they aren't slowing down anytime soon
Well said Justin and Altria is a high yield stock that’s definitely had a nice run up as of late.🤑
Not if you do your DD. Plenty of stable companies that give a good yield. Trouble is most of these Tubers only want to talk blue chip because it's "safe" for them.
I loaded on MO at 39 bucks... with MO it is what it is... dividend. Buy for cheap.
Not buying for a dollar above this price
That was a fantastic entry point! Nicely done.👍
Good to see ROL near the top of that chart! Great video man 👏
Thanks and you know it!! ROL is still on my BUY list too…
I had started investing a lot in Realty Income then I learned that it is a non qualified dividend and that if the company pays qualified dividends I don’t have to pay income tax.
You are correct Allen. This is why many hold REITs like Realty Income in a tax advantaged account like a ROTH or Self Directed IRA.
Very simple reminder to try and understand what you are investing in as much as possible and a community of experienced people can be very helpful.
Appreciate you sharing this and hope you have a great rest of your day.🙌
Great informative video Russ... Great explanation about chasing yield. I stand guilty in this arena.... Some boneheads include, MPW, WPC, VZ, T and a couple more but I have learned and I'm all in on ROL, V, MA, and many others....Also going hard on ETF's as my spouse wants a more "simplified" approach to investing after I have departed. Glad people like you, Prof G, Ryne, Ari and several others are out there to try to educate beginners. Keep up the great work. Be well...
As long as we learn it’s all worth it.
ROL is at the top of my watchlist and one I can see myself consolidating a position or two into someday.
Appreciate the kind words, Lance.🙏
MO is like up 24% in 2024 YTD. NOT including dividends.
So, timing matters. There are very few "invest and forget" investments. Like you are doing with Nike, entry points matter.
100% accurate statement right here… but, over many years, I think that companies that are growing quickly will outpace on a total return basis… but entry points are still very important.👍
Good to see a video homie! I been watching here and there… learning learning learning. I’m still doing the things though and stoked to build my dividend portfolio up
Hey thanks Doc! And no worries, I enjoy hearing your progress.🤘
Use the higher yield holdings to help you snowball. If you’re starting with a lower balance and adding to it, those higher yields help you set it on autopilot while you use your earned income to focus on 401k and Roth IRA contributions. So yes, still advocating for growth, but if you’re being aggressive and want to invest all 3 ways, you want to build up a few hundred dollars a month to reinvest into the growth plays without drawing down from your paycheck.
I’m big on REITs though. O, GTY, Stag. Another interesting one is JPIE, fixed income etf.
Also the growth plays are better inside of a Roth IRA to avoid paying taxes. I have McDonald’s inside of my Roth IRA purchased at 249/share as an example.
Very well said. You are highlighting an important point that there is more than one way to financial heaven and every investor must do what meets their financial goals and allows them to sleep well at night.
Appreciate your comment, my friend.🙏
I still want to have high yield stable companies and REITs in my portfolio to cushion when we have a major corrections. If i need to have cash during a crash i don’t want to sell Amazon or MSFT at a discount. For example in 2022 when tech stock crashed i sold my ATT and VZ holdings to buy Salesforce at a 50% discount, which by the way recovered and now pays a dividend.
Very good point and you highlight that there are exceptions to every rule and more than one way to financial heaven.
Ultimately we should do what meets our financial needs and allows us to sleep well at night, right?🙌
I got 10k in my rollover ira. i plan to retire again in 15-17 years. got mil ret and va. in your opinion, what would be a good move for those 10k but i won't contribute to that again?
Hey Charles… without giving specific financial advice, I’ll give you what I would do right now.
If the idea is a set it and completely forget it, I’d hit the easy button and go $VTI.
You’ll be diversifying between almost 4,000 companies in a self cleansing index that will cost you about $3/year in expenses ($10K x 0.03%).
We May be at a market peak right now with the Mag7, but over many years we know the market will go up and to the right, just like it always has.
Hope that helps a little!
@@DapperDividends it does. I was debating between FENY and FDVV, but I didn't think about VTI. The good thing is that I can also use any individual company, but I was hesitant on that.
Those could be great options too, as long as the investor fundamentally understands them.
I was thinking the best “set and forget” is VTI because of its small and mid cap exposure…and for someone to literally make the investment and not have to really ever think about it again.
I'm giving it another week to see if it hits 270..@@DapperDividends
I feel this is a realization every one of us ex-dividend junkies need to have at some point. Although, if I may, why even consider yield in the investment process? You're closing yourself off from some amazing companies for really no good reason, in my very humble opinion. I know channels like yours have made a name for themselves (literally) from dividends, but I don't think anyone would hold it against you if you branched out a bit 🙂 Just food for thought, still love your content!
You are absolutely correct and labeling ourselves can restrict ourselves.
I really do have a passion for passive income, and one thing dividend paying companies usually have in common is that they are on the nature end of the spectrum.
Not always, but usually mature = stable.
And stable = more predictable, but lower potential total return.
One of my investments is in Harrow Inc, which is a young and rapidly growing company, but could be more risky…so there’s always that balance and there’s no perfect answer.
Of course I still have several index funds and ETFs, so that’s going to be my exposure to thousands of non-dividend paying stocks.
But you are correct in that just focusing on dividend paying companies eliminates many potentially wonderful investments.
It’s a journey and I’m being open about my learnings and even my cognitive biases!😅
Thanks for the thoughtful response my friend.🙏
This is one of the better vids I've seen that explains that total return beats dividend investing. Still, the dividend investors are reluctant to see the light. I was a staunch dividend for many years. The regular income was comforting for sure! But the math proves we should aim for total return.
Very well said and I thank you for sharing.👍
no drp
That’s fine too…I prefer to target allocate my individual stock dividends too.👍
I feel like AT&T is a low cost starter investment that helps young people build up like a savings account. Once they get $1000 or so in and they begin to do their own research it gives them a small nest egg to put into smarter long term investments.
You could very well be correct, but, in my opinion (which could very well be wrong), I think that younger investors would be better suited for higher growth dividend returns… appreciate your perspective my friend.🙏
Invest heavy into BRK.B let Warren do your heavy lifting.
I love that analogy Mike, and thankfully Berkshire is a top ten SP500 holding.
$THTA baby. Steady NAV woo!
Interesting pick and thank you for sharing that 10.30% yield!😆
@@DapperDividends You got some digits mixed up! 13.13% yield(and rising), monthly payouts. It is a brick to build with bud
@@EarthCreature.Highly likely and I hadn’t looked at it before… that’s what I saw on Simply Safe Dividends… thank you for the correction.👍
Welding spark⚡more like the IT sparks 😉 #usn
I see what ya did there Jarred!! But, remember I was an MM!! 🔧
@@DapperDividends Snipe Life 🇺🇸 🍻
Costco 🔥🔥
Very solid pick and let’s hope it drops a little more in price.😁
Lolololololol. So many youtube dividends channels be like “we can all invest differently, dividends is a good strategy, be consistent to grow dividend wealth” ….meanwhile underperforming market by 95% lolololol.
Good point, but to be fair, many investors aren’t looking to “beat the market”, but maximize their passive income.
But your point is well made.
@@DapperDividends LOL because “income” i.e. return OF capital, is better than long term total return. I don’t think you understand investing
@@blackfiree91 Isn’t return of capital getting back the money you invested, while return on capital is the extra money you earn on top of your original investment.
How would return of capital be superior to total return?
If that was the case, we wouldn’t see NAV erosion when returns of capital are made, right?
@@DapperDividends you….i can’t even…but…i didn’t….nope. No. No. Just. No.
@@blackfiree91please do. I’m trying to learn.
I’ve been under the impression that total return includes both capital appreciation and dividends. This means you're gaining additional value.
Return of capital, on the other hand, is just getting your own money back. It's not creating new wealth for you.
While return of capital might seem good because you're getting money now, it actually reduces your investment base. This can lead to lower future returns.
Total return is a sign that your investment is growing and generating income.
Return of capital usually means a company isn't generating enough cash flow to sustain dividend payments.
Can you explain why this is incorrect?
Otherwise I’m assuming you aren’t serious.
💯💯💯
🤘