Opinion: Dividend Stocks Are a Good Investment

Daniella Cressman

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Disclaimer: I am not a financial expert. Please consult a professional in the industry before making any financial decisions.

For a long time, I was completely unfamiliar with dividend stocks. It turns out that these are stocks that pay you a certain percentage regularly.

The frequency varies depending on the company, but many dividends are about 3% of whatever dollar amount you invested.

Not all stocks are dividend stocks, so you will have to look up each one before investing so that you know what the return will be.

I have just begun my investing journey, but I have a few dollars in certain dividend stocks.

When searching for options, you will want to keep in mind that your cash is supporting each company, for better or for worse: If they have corrupt labor practices or condone discrimination in the workplace, perhaps it is time to take your business elsewhere!

Regardless, investing in dividend stocks is an excellent way to increase your income every year while allowing your principal in the stock market to grow over time.

If you invest $400, it will slowly grow. If you invest $100,000, it will likely grow much faster!

Every single dollar counts though, and now you can get started quickly with only a small amount of cash: There are certain apps, such as Robinhood, that allow you to invest only $1!

In the beginning, you'll likely receive a few cents, depending on how much you can invest of course, but this amount will gradually increase over the years. You could accumulate great wealth in your life if you practice patience and consistency.

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Canadian-American author writing about local politics, personal finance, & dining in Albuquerque.

Albuquerque, NM
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