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Strategies & Market Trends : Dividend investing for retirement -- Ignore unavailable to you. Want to Upgrade?

To: RetiredNow who wrote (9244)	6/14/2011 8:51:25 AM
From: chowder	2 Recommendations Read Replies (2) \| Respond to of 34328

The ironic thing is that the younger you are when you start, the more conservative you can be with your investments because of the power of compounding. They don't have to chase growth. When you have a 3% yield that grows at 10% per year and the dividends are being reinvested, you are doubling the dividend about every 6 or 7 years. There are quite a few 7 year cycles for someone in their 20's. Now, start compounding the cycles! Double up every year over 6 or 7 cycles and we're not just looking at pocket change. This is the point I think most people miss when it comes to dividend growth investing. I'm also seeing people in retirement that are taking on more risk than they should because they must meet their income needs. Ahhhh! I wish I had gotten the concept sooner. Oh well, my kids will get it. They already own these "Old Folks" stocks.