Age 25: Why should I not invest in dividend plays long possession?
Answers:
i can't construe of a judgment. a accurate dividend stock will grow tremendously if you reinvest the dividends. use a stop loss decree to protect yourself against a crash.
It make a honourable sector of a capably in proportion portfolio.
But don't look at dividends by itself. It still requests to be a perfect company.
Here's one caveat.. If you're really rich, and you want to avoid paying more taxes, it's better to invest in companies that buy backbone stocks instead of dividends. This will allow you to avoid paying taxes until you vend, which you can wages a much lower wherewithal gain toll.
What is a dividend play? Is it approaching a comedy play where on earth the actor salary the audience?