I am at the beginning of my "investment journey", planning to put 85K into dividend stocks so that I will be making up to 30% per year in dividend returns. Any advice?
@AbigailOliviaq4l2 ай бұрын
Investing without proper guidance can lead to mistakes and losses. I've learned this from my own experience.If you're new to investing or don't have much time, it's best to get advice from an expert.
@NatalieHannahq3g2 ай бұрын
The issue is people have the "I want to do it myself mentality" but not equipped enough for a crash, hence get burnt. Ideally, advisors are reps for investing jobs, and at first-hand encounter, my portfolio has yielded over 300% since 2020 just after the pandemic to date.
@AidenLiamf7q2 ай бұрын
Glad to have stumbled on this comment, Please who is the consultant that assist you and if you don't mind, how do I get in touch with them?
@NatalieHannahq3g2 ай бұрын
My CFA NICOLE ANASTASIA PLUMLEE a renowned figure in her line of work. I recommend researching her credentials further... She has many years of experience and is a valuable resource for anyone looking to navigate the financial market..
@AidenLiamf7q2 ай бұрын
I just googled her and I'm really impressed with her credentials; I reached out to her since I need all the assistance I can get. I just scheduled a caII.
@harlemsfinest3 жыл бұрын
I’m proud to say I was the guy who left the comment about questioning DRIP in Jimmy’s “my personal investment portfolio” video. Makes me happy to know my idea may help the long term return of a man whose ideas will probably help the long term return of me :)
@yourfellowman113 жыл бұрын
I like to call that strategy "Active DRIP". You're still reinvesting the dividends coming in, just in a smarter, cost-efficient way.
@David.Marquez3 жыл бұрын
I just wish DRIP plans had more flexibility, some brokers just reinvest into the same stocks, they should ask you specifically what you want to reinvest into like M1 Finance does since It's far more goal oriented.
@cassiuscramos3 жыл бұрын
Great video! I think one simple way of thinking for those people interested in a dividend reinvestment strategy is: when you are beginning your portfolio and the dividends you receive are small, a DRIP is a great idea, because buying fees are very relevant relative to your reinvestment power. But, as your portfolio grows, and with it the dividends received, you gain buying power. At that point, having the choice of when and which stock to buy is a much more powerful option (not to mention that fees become less relevant now). So, a DRIP does not make much sense anymore.
@thatpointinlife3 жыл бұрын
Thanks Jimmy! I recently un-DRIPped all of my positions after watching this. It does make a lot more sense to just reinvest the cash into whatever equities I WANT to reinvest them into rather than possibly losing out on more opportunity by DRIPping back into a position that I might not be so excited about.
@adamreynolds26323 жыл бұрын
I've been building a dividend portfolio in my Roth for the last 6 years. I'm hoping to live off of them in my retirement. I usually buy the aristocrats / kings so that I get a raise every year. It's like having a golden goose laying golden eggs.
@texpadre54663 жыл бұрын
Who are your top 10 in the monarchy?
@mmonaco693 жыл бұрын
I am going to start my Roth portfolio this week, any recommendation? I am 51 years old
@Dividendsmattertoo3 жыл бұрын
I like to personally allocate my dividends to undervalued stocks or stocks that might pop
@robertoconnor26693 жыл бұрын
All my dividends from stocks go into 2 etf’s- s&p and dax. Both etfs up 15% and 13%
@JamesBond-ny8bq3 жыл бұрын
What Kind of dax?
@1997peti3 жыл бұрын
My dividends are just deposited in my brokerage account on my phone, and I just reinvest it into stocks at the moment I find good value
@rhess29893 жыл бұрын
Been subscribed for quite awhile along with other investment channels, but have only 2 now. I sold out 100% last Feb and got back in heavily in Q2 with dividend Kings/Aristocrats and ETFs, I have learned sooo much thanks to your vids! I joined today to help preserve what I have for the future. THANKS AGAIN Jimmy!
@christosleliopoulos57243 жыл бұрын
Hi Jimmy, Thank you for sharing your knowledge with us! Could you please make a video explaining why is dividend investing/reinvesting better than shorting cash covered puts/calls and reinvesting the premium? (assuming consistent average profit) Apart from making it a more difficult and sophisticated strategy for obvious reasons, It is something that Buffet also used. Based on your earlier video that explains that the dividend is actually subtracted from the stock price, It does not make sense to me as an optimal strategy. It seems like 1 planned day, 100% success shorting, on autopilot to me, BUT while owning the stock. Thank you in advance for reading my comment. Keep up the high-quality videos and educative videos.
@karlbe84143 жыл бұрын
Great topic! I would like the same analysis with O. Your argument to not DRIP is really market timing. I have repeatedly heard that DCA outperforms market timing. I have really gone back and forth with this issue and part of it boils down to passive vs active investing and how many different stocks one has to keep track of.
@alan55063 жыл бұрын
I have a question about the stock market that I don't know how to google. Currently, stock markets are opened from monday to friday between 9h30 to 16h. I reckon that is a byproduct of the era when people met in person. Why not have markets opened only one day a week for low liquidity stocks? What would be the disadvantages of a market that only accepted orders in advance and executed these orders once a week. Orders would be sent in the form of a function, q(p), where q is the quantity you are ready to buy/sell at p price. The market would find the price at which the largest amount of stocks could be traded (where there is the same number of buyers and sellers at a given price). Wouldn't this increase liquidity, reduce volatility and prevent daytraders from existing on that market? Wouldn't this render the milisecond advantages large companies have on the stock market useless? Are these good things? Or are we losing something else that I am not thing about?
@tyrabjurman35843 жыл бұрын
The markets are run by corporations id est Nasdaq Inc runs NASDAQ for example. The company wants the markets to be open during hours that satisfies their customers, the corporations which are listed, the brokers, banks and institutions that trades these stocks.
@alan55063 жыл бұрын
@@tyrabjurman3584 Thank you. It makes sense. I guess I am was just thinking too hard about it.
@fanofmany713 жыл бұрын
I understand the ease of set-and-forget with DRIPs but I just manually reinvest my dividends into stocks that are not over-valued or have not cut dividends :)
@precisionpainting71983 жыл бұрын
For me still the best KZbin channel without question! 👍
@shresthadipen3 жыл бұрын
Decent teacher
@precisionpainting71983 жыл бұрын
No doubt.I follow him since the beginning.
@-_MR666_-3 жыл бұрын
I'm not reinvesting my dividends automatically but I always check for investment alternatives and use the cash from dividends together with a fraction of income/savings while growing my portfolio and diversify more throughout other countries. Thanks for the video and DRIP is a GOOD PLAN but saving the cash for new opportunities to investments is better whenever you can!
Thank you for this video. I opted out of reinvesting the dividends in my brokerage account two days ago thinking the way you are. It’s good to know my thought is validated .👍🏻
@robertyoung4063 жыл бұрын
@@centrino538 Yes he says DRIP is good, but what if the stocks your dripping have run up significantly in its share price? Like his Disney example, he bought in at $99, and now it's worth $188. He thinks it's too overvalued now, so he opted out of his DRIP for Disney and is accumulating the Disney dividends to buy other stocks (or ETFs) that are more fair-valued
@andrelizotte99122 жыл бұрын
totally agree to reinvest dividend on other stocks that is undervalued at the time and this is a kind of rebalancing…
@martinthomas93712 жыл бұрын
REACH HER ON HER TELEGRM
@martinthomas93712 жыл бұрын
investwithStacie is her user name
@G00Btastic3 жыл бұрын
i think one of the flaws with dividend videos nowadays is that they only take into account their past buys. i would find more value in videos that talk about making a full dividend portfolio today starting from scratch. good luck if you do that, its a lot harder now when you get 2% yield on "great companies"
@G00Btastic3 жыл бұрын
@@Metal_Stacking nah a lot of dividend videos nowadays show you buying stocks that compound at 2% and will get smaller or have a stagnant yield as the stock price goes higher even if dividend increases. im just saying, as a dividend investor in an ATH market, you have to take risks on companies that have low PE and have higher yields. and when the generational dip buys happen, then you load up on the blue chips.
@CaseyBurnsInvesting3 жыл бұрын
It’s good when you don’t have any strong connection in which to place pooled dividends. Passive Investing generally outperforms though so it’s powerful.
@fh29903 жыл бұрын
Hey Jimmy, where can I acess the Analyst estimates for the free Cash Flows that you are using in your Stock valuation Videos?
@Goforitmanager3 жыл бұрын
Great video as always Jimmy, thank you. You have to move to Canada and open a TFSA and/or RRSP account, you’ll see your tax problem gets alleviated real quick. 🤣 Another option would be keeping the DRIP and periodically sell shares of that DRIP in an amount equal to the dividend earned. This way you would not have money sitting around.
@xst-k63 жыл бұрын
Does the same notion of not investing in the same stock via DRIP because the stock might be overvalued, apply to REIT investments aka Real Estate Investment Trusts?
@pivjohnson75593 жыл бұрын
Best teacher!!!!!!
@DuncanCunningham3 жыл бұрын
This is great, I was just watching a video by FastGraphs on this very same topic. Jimmy, I like your style better. Fastgraphs does have amazing information though. it's not one channel or the other, I'll take it from all sources so I can learn. What I'm doing is using my M1 Finance account where I have retirement accounts (protected from taxes during dividend pay outs) get all the dividends back in the same account, switch off auto investment, and I choose out of the stocks (that I already own) which are 'value buys' and then I buy those every month or so. Each month is usually a different stock. Thank you Jimmy for your excellent series of videos.. I'm trying to learn as best that I can from you.
@jkd19753 жыл бұрын
Both are good. I also like the guys at Dividends & Income and GenExDividend Investor.
@-mr3puttz-3103 жыл бұрын
@@Allen-L-Canada What in the heck broker is still charging you for stock trades?
@-mr3puttz-3103 жыл бұрын
@@Allen-L-Canada Nope. With Fidelity, TD and M1 and none of them charge for just stock trades. Just curious as to what broker is charging a commission.
@-mr3puttz-3103 жыл бұрын
@@Allen-L-Canada Didnt know you were in Canada. I think it was last year when all of the brokers here went to zero. I think Interactive Brokers Canada is cheap though. Something like .01 per share or a 1.00 min for their fixed pricing model. Might want to just use Fidelity if its free or IB if its worth it to leave that 9.99
@cesarsanchez96973 жыл бұрын
You make fantastic videos. Keep up the good work!!
@bretfeeney10723 жыл бұрын
I also have INTC at $46.12 and I thought about to reinvest the dividend but I did not want to buy in at the current prices to increase my average cost. Thanks Jimmy
Hi Jimmy, thanks for the video! Could you do a video of an actual example of analysing a business? Starting from scanning through a list of businesses to analysing a potentially good pick?
When I held TSM for 5 years I reinvested. At this price point - it is a tough one. Turned 10k into 110k+ but yeah when things are overextended I sold and took my profits. Kept the initial investment in to just ride. Picked up some DIS and LMT. But I am bearish for 2021 overall. Second half of 2021 is spooky A F. I am a buyer then - till then no thanks.
Also a resource to check out, drip calculators online to approximate future returns.
@red1493 жыл бұрын
Two points in favor of DRIP : - it is a kind of DCA - I think you get a discount when you use DRIP
@kage-fm3 жыл бұрын
not reinvesting dividends gives you an opportunity to rebalance without selling or coming up with outside cash.
@christopherlombardi43853 жыл бұрын
we know
@james41713 жыл бұрын
If you let your DRIP percolate for 30 years, how would you calculate the basis for capital gains tax when you finally sell? If the number of purchased shares and share price differ every quarter (for 120 quarters) you would have an accounting nightmare.
@LearntoInvest3 жыл бұрын
A couple things would likely happen, first we’ll be taxed for each dividend we collect. but after that, our broker should calculate our average cost. So when we do sell, it should just run off the average cost compared to the selling cost
@dividendsmatter31083 жыл бұрын
That makes perfect sense! I always wanted to have DRIP, but I guess it might not be so bad that I can't have one currently. Thanks for putting in the effort and passing on your knowledge! 🤗
@sagig723 жыл бұрын
I don't like DRIPs, I prefer to get the cash and decide for myself if, when and what to purchase. Committing to the same stock is just one possibility which isn't necessarily the best one with every dividend receipt.
@alan55063 жыл бұрын
If disney and intel stocks aren't a buy at the current level, should they be sold? If they aren't undervalued in your eyes, shouldn't you just sell them and buy another stock that is undervalued? Why didn't you sell some or all of intel or disney to pill on lockheed martin? Is there some sort of investor inertia going on or what?
@michelesbriglio3 жыл бұрын
Lucky you in US. In Europe, at least in Italy, fractional shares do not exist
I don't think my brokers have DRIP, but I just reinvest all my dividends anyway. Long T!
@feliksplotnikov64083 жыл бұрын
Where does a company get new shares each month for my reinvestment? Does it print shares? Like Federal reserve prints dollars? If a company creates every month or every quarter new shares for reinvestment, the value of each share becomes smaller
@feliksplotnikov64083 жыл бұрын
@@Allen-L-Canada Number of shares is a known number. DRIP or not, the number cannot be increased monthly on regular basis. A company should announce issuance of new shares, or announce a split. But these are rare events. So my question remains. Where does a company get shares on a regular basis to allow DRIP?
@peterwillam81403 жыл бұрын
@@feliksplotnikov6408 Thanks for watching... +:1-2 -1-3-8-7-3-9-7-5-2 Direct feedback 📥
@erikrungemadsen20813 жыл бұрын
@@feliksplotnikov6408 Usually the company or your broker holds a depot of shares for your DRIP, they are buying the dip so they can capitalise on your drip. But in all reality i think your broker feeds your DRIP via options trading to some extent, Your DRIP is after all just a long running purchase order at market value, should be relatively easy to get a nice profit out of you.
@LordPeabodyC223 жыл бұрын
What’s your take on RKT? Love your videos. Keep it up!
@andrejikh11013 жыл бұрын
+𝟙 𝟚 𝟝 𝟙 𝟛 𝟙 𝟛 𝟛 𝟝 𝟛 𝟠
@EscapeAll3 жыл бұрын
Good morning Jimmy and to you guys reading this, ive seen a lot of your videos Jimmy and i really like your content, these kind of knowledge isnt always for free to us and we have to appreciate that, tho im a stock holder for about 4 months now in an Oil and Gas company Enterprise Product Partners (EPD), do you guys think, or you Jimmy think, these type of companies are a good pick for a long term DIVIDEND REINVESTING PLAN (DRIP). I think EPD is trading in an undervalued price now maybe this is an opportunity.
@greekgeekconsulting3 жыл бұрын
Under 60 seconds and I’m 7th. You have some dedicated fans!
@resipsaloquitur17753 жыл бұрын
At least the first commenter didn't post: "FIRST!" (as if it mattered) ;p
@Hero3233 жыл бұрын
What do you think about At&t at its current price?
@wally1393 жыл бұрын
30$ is like a magnet
@Camille_Boomer770003 жыл бұрын
What a fantastic video. Thank you Jimmy!
@qataridervish3 жыл бұрын
There's been a lot of changes in how we're able to invest in the last few years, and I don't think that DRIP programs comport well with the current situation. I'm an old guy. When I was younger, brokerage fees were crippling, and DRIP made a ton of sense. These days, there are no commissions for most accounts, or at worst maybe a few bucks or so if you buy a foreign security. You can literally buy one share at a time, with no penalty, which is something I do on almost a daily basis. In light of this, it doesn't make sense to necessarily commit the dividend of a stock to buying that very same stock. I have a pool of dividends that I receive, staggered so that pretty much every month I've got something coming in. I commit those dividends to buying stocks that are highest on my priority acquisition list. A large percentage of those dividends do go back into my core list of dividend stocks, of course, because it's dividends that I'm after, but it's important to maintain the flexibility to position your resources to your greatest advantage. DRIP is obsolete. With 0 commission brokers out there, we can reinvest our dividends on our own.
@muffemod3 жыл бұрын
How many people are checking their account regularly for that dividend? Most payouts will sit idle in moneymarket account. The point of drip is getting automation and hands off ease of management.
@thavonephanthavongsa49623 жыл бұрын
im not a expert at the whole stocks thing but i would manual buy when the stocks falls to keep your average down so when later on in the future you will sell it for money you will get more than what you would of by buying close to the market price every month giving you no capital gain back when you bought it 10 years ago just what im seeing in the future and use that money put on another stock when its cheap to get the dividends you was gonna get from the 1st stock and still mantaining the captial gain Now am i right or am i right
@thavonephanthavongsa49623 жыл бұрын
@@Allen-L-Canada dammit man i got no time for that now agree with me
@peterwillam81403 жыл бұрын
Investing BTCETH XRP +12138739752 Whatsapp
@poohshmoo98923 жыл бұрын
I cant deny, Jim killed it with DIS and INTC . Im somewhat jealous yes
@markmethner88393 жыл бұрын
With brokerages allowing fractional buying of shares I use my dividend from one company to buy a value stock that has an Ex-Dividend date locking in soon so my compounding happens even faster.
@resipsaloquitur17753 жыл бұрын
DRiP is really the only way to compound returns, which is at least 50% of the point of dividend growth investing.
@harlemsfinest3 жыл бұрын
Reinvesting dividends manually achieves the same result except better if you trust yourself to be picking stocks. That’s the point of this video. If you aren’t actively managing your portfolio then DRiP makes sense.
@red1493 жыл бұрын
Jimmy : researches show that almost no active fund can beat the index in the long run. If this is true , even value investing and stock picking won’t work . What do you think ? Should we just go for a well diversified portfolio instead of trying to find value stocks ?
@Gman-693 жыл бұрын
New to your channel! Watched and liked and subscribed!
@andrejikh11013 жыл бұрын
+𝟙 𝟚 𝟝 𝟙 𝟛 𝟙 𝟛 𝟛 𝟝 𝟛 𝟠
@PamJernigan3 жыл бұрын
Okay, two caveats - AT&T is very unusual in paying such a high dividend. I get that this makes the compounding effect more exiting, but it's not typical, and I feel like people might assume that it is. I have this same beef with Dave Ramsey's FPU, by the way. They're still talking about getting a 12% return on your savings. Also, almost every stock in exisitence is up a crazy amount from last year at this time, because that was the huge pandemic crash. I bought in a year ago and am seeing huge returns, but I really can't see that continuing. So I really don't think "one year ago to now" is a fair comparison for looking to the future. I appreciate the discussion about the idea of re-investing dividends; it's a question I've been asking myself lately. I think your examples were a bit misleading, but the overall discussion was good.
@gonv44553 жыл бұрын
QYLD
@MH-dj5im3 жыл бұрын
@@gonv4455 Isn't that QYLD a bit risky?
@testigotarantigo2003 жыл бұрын
Should you pay a capital gain tax or any other taxes on dividends before reinvesment (DRIP)?
@testigotarantigo2003 жыл бұрын
oh, you answered it in the video
@alecgalbraith56043 жыл бұрын
Interesting thoughts. I like the idea a lot in theory, but I don’t know how practical it is for me right now. If I had a huge portfolio where I get hundreds or thousands of dollars in dividends each month, this could be a good strategy. But if I’m earning only $60 or so a month from dividends, I’m not sure how practical this is. Also, why not take this strategy further? If you don’t like the idea of investing more money at a certain price point, why don’t you sell what you currently own (assuming you’ve held for at least a year to get a more favorable tax rate) since it’s not at a good price anymore?
@peterwillam81403 жыл бұрын
Thanks for watching... +:1-2 -1-3-8-7-3-9-7-5-2 Direct feedback 📥
@cedsdividends43983 жыл бұрын
Great vid. Very informative
@dominikfrohlich62533 жыл бұрын
If the company you’re drippin changes for the worse and dumps in price as well as dividends you’ve just wasted 10 years of your life. Also dripping increases the share of the stock in your portfolio. So keep that in mind.
Here's the issue I have with your argument on why you stopped using DRIP. If Disney and Intel are too expensive for you to buy using your dividends, doesn't that also mean they're too expensive for you not to sell? The opportunity cost of your shares is equal to their current price. By choosing to hold Disney today when it could be sold for $190/share, that is equivalent to buying the shares today at $190/share. I don't think it's logical to say that a price is too high to not buy more of, but not too high to continue holding, since holding is the same as giving up the amount of money you could make selling them. To be consistent, you should sell your Disney and Intel shares today, and then give yourself a bigger cash balance to spend on the next undervalued company you come across.
That's how I look at. When someone say, "no I don't want to reinvest my dividends because the stock is over valued," I guess I would respond, "why do you own the stock if you think it's overvalued?"
@fundrisefanfam3 жыл бұрын
Jimmy wants Jimmy to make a video on Groupon!
@MutualistSoc3 жыл бұрын
My Dividend list is Intel, IBM, Phizer, IRM, APPLE, Verizon, Walmart, PG, S&P500 High Dividend ETF
Dividend withholding taxes eats up those dividends with drip. Buying stocks without dividends or companies that buy back stocks are better for investors overall.
@GregFries3 жыл бұрын
I love Nautica polos too. Is that a "white guy thing" like Crocs? I hope not. It's a great clothing company (not sponsored lol).
Just an fyi for those who have it. ATT is about to go ex dividend.
@travistritt19683 жыл бұрын
I have about 5% of my portfolio in uranium stock any advice on any other stock that I can grow my $300k capital to a million dollars?
@erikrungemadsen20813 жыл бұрын
I have been very happy with Porsche and Volkswagen since the start of January. Porsche is a holding company that only owns Volkswagen stocks. I like were VW is going with EV's.
@gurusukh3 жыл бұрын
DRIP investment plans are good for those investors who don't care about market timing or short term over valuation in DGI names they own and want to keep buying partial shares as currency for future income. I personally don't DRIP, but reinvest those dividends in undervalued to fairly valued names, so that the income growth can have a great enough chance of compounding at even greater rates than when DRIP is used..
@andrejikh11013 жыл бұрын
+𝟙 𝟚 𝟝 𝟙 𝟛 𝟙 𝟛 𝟛 𝟝 𝟛 𝟠
@banglevision82073 жыл бұрын
👍
@peterwillam81403 жыл бұрын
Thanks for watching... +:1-2 -1-3-8-7-3-9-7-5-2 Direct feedback 📥
@monsterboomer80513 жыл бұрын
DRIP is the same as share buybacks. Only makes sense when the stock is undervalued or fairy valued.
Are you still actively investing in Disney and Intel?
@thorstenbeuth13423 жыл бұрын
Unfortunately most of these actions are very US focused. In Germany, there is no DRIP and I have to pay taxes all the time when dividends are distributed. No ROTH or similar. I can just do my own reinvestment or throw money to one of the many stupid Riester or Rürupp retirement funds without having any control on the investment because the companies do that. So I stick with investing into stocks on my own, being very disciplined and at one point in my 40s, I will FIRE ... even if every structure and organisation around me does not support me in the effort. But, I am confident.
@erikrungemadsen20813 жыл бұрын
Investors in Europe buying foreign dividend stocks. Yeah we love applying for returned withholding tax. 2 Hours work for a 18 euro return 7 months later, followed by manuel tax filling. Now if Schengen had fixed that piece of free movement i would have been a happy camper.
@viperinvestor3253 жыл бұрын
I don’t necessarily reinvest in the company that paid me
@issemxfi3 жыл бұрын
Always... Keep the Dividends in, until you actually retire...
@wanderlust25223 жыл бұрын
not if you know how to optimize your returns
@leninmoreno40203 жыл бұрын
Jimmy: Hi, I’m Jimmy. Me: clicks on the thumbs up button
DRIPs are for lazy people. Just keep an eye on your account at least 3 times a year and use the dividends for other better options.
@billlin54493 жыл бұрын
Thanks for great info. However it is very tiring listening to you because you tend to pause mid sentence.
@andrejikh11013 жыл бұрын
+𝟙 𝟚 𝟝 𝟙 𝟛 𝟙 𝟛 𝟛 𝟝 𝟛 𝟠
@zoefofo77693 жыл бұрын
Reinvestment plan is pointless3. I rather manage my account myself
@peterwillam81403 жыл бұрын
Investing BTCETH XRP +12138739752 Whatsapp
@JamesBond-ny8bq3 жыл бұрын
Boy spam has really become a Problem in the Comment section of this Video
@susanna19943 жыл бұрын
Great video, really inspiring!! Dividend paying stock is something that I've just begun to invest in. Thanks to Mary Margaret Cartier I'am 33 and I'am pretty annoyed with myself that it's something that I haven't done along time ago. Seeing the returns