Dividend Growth vs High Income: Which is Best?

In this video we’re gonna take a look at the pros and cons of both dividend growth investing and income investing, and compare both strategies. Hopefully this video will serve as a resource for people who might not know which method would suit them best, or maybe it’ll get you to consider a different approach to your current investing style. For myself personally, I hold a combination of both dividend growth investments and income investments. But if you watch my channel on a regular basis, you’ll know I lean more towards income investing. Regardless, in this video, my objective is to be fair and equal toward both strategies. Because the truth is, each strategy is better geared toward different people based upon their motivations, how much they have to invest, and stage of life.

[hersdera]

Because of dividends, I first began investing in stocks. It's important, in my opinion, to be able to live off of dividends without selling if you invest and make other income in addition to payouts. It suggests that you may pass that down to your kids and give them a leg up in life. Over the years, I've invested over $600k in dividend stocks; I continue to buy more today and will keep doing so until the price drops even further.

[kortyEdna]

I have been a dividend focused investor for a long time. This does not mean I don't own growth stocks, I do. A well rounded portfolio should be a mixture of both categories. One way to minimize the anxiety out of stock market investing, is to make sure you keep a large cash cushion. I invest in the market, but never put all my money in market.

[milepottsman]

The ability to apprehend the advantage of proper money management techniques, understanding its no gamble or game of luck, the need for the right approach brings about no losses rather ensuring its most rewarding

[wellsHannahh]

Scholars who study the stock market’s historical performance estimate that over time, the payment (and reinvestment, and compounding) of dividends have contributed anywhere from 30% to 90% of the S&P 500’s total returns. I want to spread across $400k into profit yielding dividend equities but unsure of which to get into.

[rajabehera]

You definitely have my sub. This content is next level. For me Eledator was the turning point. Please keep doing what you do and keep being you, love it.

[TheMule]

Started with high income and am moving to dividend growth as the income comes in. I did this as it would not feel too slow at the start.

[TotallyRegWhatelse]

Absolutely great! ❤ I was way too impatient for 'dividend growth' so I chose pure 'growth' (single tech stocks, no ETF) and after the outstanding last decade I'm now converting a part of 'growth' to 'income' - predictible dividends.

[Disneymagic]

I think it's important to have a mix of them

[jorieboy]

I'm 26 and the core holdings in my portfolio are all dividend growth stocks like AVGO and Visa. I love dividend growth stocks because they are very free cash flow rich and typically have less debt and a strong balance sheet overall.

Like dividend bull says, it takes a long time to build dependable income but if your young like me and have the time, man these stocks are absolute compounders.

[carlosarodriguez]

High income is the best investment for me 👌

[TortoiseInvesting]

Absolutely going to dip my toes into the high income investing. I basically did a hard reset on myself, sold off a bunch to pay off all my credit cards, medical bills, car, etc. now I'm looking to build it back up quicker than ever, and I think your methods of investing will get me where I want to be quicker.

[molsinghmarabi]

Revux is being mentioned everywhere – definitely a project to watch!

[loakland]

Great video DB.... Very well done.... I am retired and do both as I don't need the income at this time.... I believe that people should do both to keep up with the times and inflation.... Love your work.... Thank you...

[ZZ-tqwh]

just buy both. problem mix treasury bond+ junk bond also aristocrat+high yield.

[DunRovinRanch-]

I started with higher dividends. I’m 62 and retired. I don’t need as much income thought so I’m transitioning to higher dividend growth and lower yields right now. Still have 50% portfolio in total market index.

[Wolfhammered]

Income is best, no matter who you are.

[bhpkdop]

I would love to see an analysis on the yield on cost over time for growth vs income.

[Girraj_meena]

Thank you for your research. I find your videos are well done. RIght now I'm keeping an eye on Eledator

[evilzzzability]

My portfolio yields 8% and I also expect dividend growth to keep pace with inflation rate over the long term.
Obviously no guarantees it's going to deliver that but that's what I aim for. It's perfectly possible to construct a portfolio likely that if you are prepared to look beyond overpriced US markets.

[mihatle]

Great job with the videos. People dont know how much work it really is to make videos like this. What type of editing program do you use to make your videos?