I Reached a Milestone! Over $100 in PADI! Um, What Does PADI Mean in Investing?
Celebrating small victories helps new investors keep going. Increasing your PADI is one of those small victories. But what does PADI mean in investing?
Celebrating small victories helps new investors keep going. Increasing your PADI is one of those small victories. But what does PADI mean in investing?
Investing is all about buying and accumulating assets, and then watching them grow over time. One type of asset is a dividend-paying stock. But what do you do with a dividend? I heard this term (I thought they were referencing coffee) called DRIP Investing and quickly asked, “What is DRIP Investing?” Most people ignore dividends…at
Dividends grow! A simple concept, yet so powerful. Dividend Growth is one way wealth can be gained within the Stock Market. Read how investments get a raise.
The Dividend Payout Ratio is the relationship between the size of the dividend payment and the earnings of a company. Expressed as a percentage, a higher percentage means more of its earnings is going towards paying a dividend to shareholders. If the Dividend Payout Ratio is too high, then that leaves little left over for companies to reinvest back into the business. The Sustainability or “Health” of a dividend can be interpreted by the Dividend Payout Ratio.
Dividend Yield is a great metric in understanding Dividends. New investors will see how much they are earning in dividends versus how much they need to spend.
What is a dividend? A payment that is paid out regularly to investors who own shares of a company. But there is more! Beginning investors read on to learn more.