If you invest in stocks you know how fun it is to receive dividends. An amount of $ is paid into your bank account just for owning shares in a company. For me, they have certainly paid for all brokerage fees. Also, over time, the dividend payments might be higher than the amount you invested in the company in the first place. If you are not yet an investor, you might want to consider 🙂

Personally, I always prioritise dividends when I buy stocks. I like to see the shares I invest in increase in value, but I also like that extra payment a few times a year.

In terms of financial independence, investing for dividends can be a great choice. If you receive enough of them to pay for your lifestyle, you won’t have to sell any of your stocks to pay your bills. You also won’t have to worry too much about prices going up or down and the short-term impact on your finances.

Dogs of the Dow is an investment strategy focused on dividends. It is a relatively simple strategy that can work well if you don’t want to do in depth research yourself. It is a long term strategy based on selecting the highest paying dividends in the Dow Jones.

On their website you can see past performance, and sign up for their newsletter to receive any revisions.

Dogs of the Dow is an interesting dividend strategy, but it is not the only one. Another easy way is investing in dividend Exchange Traded Funds (ETF’s) which are automatically diversified with a focus on dividends.

Of course you can also do your research and come up with your selection. I like to take other aspects of a company into account as well as the dividend yield.

Do you invest for dividends? Did you know about the Dogs of the Dow strategy? Let me know in the comments.

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