As a tool for the creation of a stable residual income, the dividend was the test of time. Studies show that from 1926 to 2004, dividends accounted for 35% of shareholder value. But to increase after the addition of the strong impact of the reinvestment of dividends and composition, the dividends of more than 25 times the price.
To buy during the tech bubble / dot.com boom of the late 90s, many investors ignore dividend yield to find the best stocks. But that is no longer the case, as now, “Today, many high-tech companies also started to pay off.
In fact, since 2003, told CNN that “There were over 100 dividend increases and initiations in high-tech companies, from 4 cups of dividends. Initiating dividends helped these companies have the confidence of investors shortly after the bursting of the Internet bubble to get it back. “