Many people are confused when it comes to setting sound financial goals for investing. Finding the right strategy and sticking to that strategy can be tough, especially when conditions get stormy in financial markets. It’s easy to become swayed by emotions when our financial future is at stake, but with a little understanding of some key investment principles, you can be confident that your financial future will give you long-term income and value.

The concept of dividend investing is as simple as buying a rental property for the income that it will provide throughout the years you own the property. Just like a rental property, you can buy a portion of a company, stock in the company, and earn dividends on the share of the company you own. In general, just like the cost of renting an apartment or house increases, companies that pay dividends will increase the amount of their dividends over time. Therefore, an investment in a company will generally increase its value based on the dividends it can generate.

Not only does dividend investing provide a growing income source, the value of your investment in the company will generally increase as well. Just as long-term values of real estate will rise, so will the value of the companies you invest in.

While short-term fluctuations in market conditions can cause real estate values to change rapidly, the stock value of companies will also be subject to variability in the market based on the perceived value of buyers at a given time. It’s important to remember that dividend investing is a long-term strategy and that with the right guidance, it will provide long-term income and value over time.

At XXXXX Financial, our investment advisors are trained to give you just that guidance. They seek out sound businesses that have consistently outperformed larger market indexes over time and are likely to increase value. With the understanding of dividend investing and the proven experience of a XXXXX Financial advisor, your future is in good hands.