You may see Dividend Growth ETFs in Beanstox Wealth Builder portfolios. Learn why they are included and how they can benefit you. Sign up for Beanstox Plus to get your personalized Wealth Builder Portfolio.
1. The Basics: What are dividends?
Dividends are payments that companies make to their investors from their earnings. These payments provide a source of income for investors.
2. Growing source of income.
Dividends are often paid by companies with established businesses. When a company increases its dividend, it usually means the company is doing well. This can lead to growing income for investors over time. Growing dividends can also help protect against inflation, which is the rising cost of living.
3. Here are the top five biggest companies that pay dividends.
Some of the biggest companies in the US pay and increase dividends over time. Investing in individual stocks can be a source of stress for those with less investing experience. Timing the market is challenging, even for professionals. ETFs are good way to invest in a basket of dividend growth stocks.
4. Dividend growth stocks could help protect your money.
Historically, dividend growth stocks have been less risky than the overall stock market. This means their share prices decline less during market downturns. It is important to remember that stocks go up and down over time but have historically always recovered to new highs. The lesson is, start investing, stay invested and keep investing. When stocks go down, it is often an opportunity to invest at lower prices. It is normal for stocks to dip each year on their way to making new highs.
5. ETFs make investing in dividend growth stocks easy. Beanstox makes it easier!
ETFs are a low-cost, tax efficient way to invest in a basket of dividend growth stocks. Beanstox uses ETFs to build client portfolios. Beanstox Plus clients get an easy way to automate recurring investments in personalized expert-built ETF portfolios that include dividend growth, tech, value, international stocks, and more. Portfolios include different companies diversified by industry and regions to reduce risk on your way to financial freedom.
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Beanstox Plus clients also get monthly market recaps and dashboards and can set weekly recurring deposits in addition to biweekly and monthly.
Additional information:
1. Bloomberg Finance LP. Data as of 12/31/2023. It is not possible to invest directly in an index. Past performance is no guarantee of future results.
2. Bloomberg Finance LP. Data as of 4/30/2024. Top 5 US dividend paying stocks by market capitalization.
3. Bloomberg Finance LP. Data as of 12/31/2023. US Stocks represented by S&P 500. Dividend growth stocks represented by WisdomTree U.S. Quality Dividend Growth Index. It is not possible to invest directly in an index. Past performance is no guarantee of future results.