Dividend investing is intentionally including the concept that a company actively considers the dividend as part of their annual bills or responsibilities. Some dividend investors looking for consistency while others are looking for growth. Personally, I prefer companies who have increased their dividend over multiple economic conditions.
Earlier this year, I declared that I was finished with automatic dividend reinvestments, but I am here to admit, for me, that was a mistake. My very logical thought process was that if I wouldn't deploy new capital into stocks that do not pass my screen for undervalued dividend investments why let paid dividends buy "overvalued" shares regardless of how small the amount. When making the decision in March I stated the one very foreseeable risk would be, to remember that the reinvestment of dividends is not part of my monthly contributions to the account. If I am putting away $500 a [...]