Equity Investing & Dividends, Important Thought
Why invest in equity
shares? Why do we become investors? It is return. Return on our capital. The
return while investing into any company is dividend. We get return from or in
the form of dividends. But how many people investing today think about dividend?
There is an ill-awareness and mis-education going on in markets. Most analyst
or investment manager does not emphasize this point. All give targets and
calculate the percentage rise. While real investing is aimed at earning
dividends and of course the capital appreciation in terms of bonus issues and
rise in the share’s quoted price in addition. The return counted by the
buy-price and target price is practicable only when the shares are actually
sold and till it is only on papers.