Damien Talks Money's video: How DIVIDEND Investing COSTS you MONEY

Investing in Dividend growth stocks or the Dividend Aristocrats is a favourite strategy here on YouTube. Today let's cut through all the monthly dividend passive income reports and look at why a focus on Dividends is probably not the best thing for your portfolio. There are literally not many better feelings than receiving a dividend payment. It feels like completely free cash, a bonus on top of owning a share, for this reason companies that have traditionally paid higher dividends attract investment and are seen as a safe place to park your hard earned de-niro . Add to this the fact that YouTube is littered with creators doing monthly dividend reports advertising how much they earn from dividends and it is easy to see why as a new investor this ever elusive dividend and the passive income it promises can become the focus for you when picking a business to invest in. I am here today to tell you to stop caring about dividends so much when looking for companies to invest in and instead provide a more common sense approach to it all Because i know how it is, you see a company pays a 6% dividend and you get a bit hot & flustered Freetrade free share https://magic.freetrade.io/join/damien-talks-money 🕑 Timestamps: 00:00 - The only thing that gives me pleasure 00:46 - We all want passive income 01:54 - What is a dividend to a business? 03:16 - Dividends feel great 03:46 - Dividend Irrelevance debate 04:55 - Business lifecycle 06:20 - The dividend tax no one mentions. 07:00 - Once you pop you can't stop 07:44 - Dividend pay-out ratio 08:46 - How I approach it 10:16 - Polly want a cracker? 🎬 Do you want to make videos like me? The Gear I use: Background: https://amzn.to/3fO3ArL Background stand: https://amzn.to/2F9vhPo - Make sure you get the right size! Tripod: https://amzn.to/3iq8YmJ is easily the best tripod I have used. Very sturdy. Audio: https://amzn.to/2EmJeJ9 Lighting: I use this facing me directly, set to the lowest setting https://amzn.to/33Kscj5 I light the backdrop with this: https://amzn.to/2Dwz4pA Camera: I currently use a Galaxy S10.. The Visuals: I use Story blocks for all the sexy B rolls. The sounds: Epidemic sound is where I get all my Music and sound effects – for a 1 month free trial click this link! https://www.epidemicsound.com/referra... 📚 5 books to shape your financial future: Either click the link for the book or use this link for a free trial on audible and then you can just listen to them all! https://amzn.to/34ThMy5 Investing books: The richest man in Babylon: https://amzn.to/33Icvsq An engaging tale that teaches the fundamentals of saving and attitudes you should have towards money. I listen to this at least once per year. A random walk down Wall Street: https://amzn.to/31CXfud Let Burton Gordon Malkiel, explain everything you need to know about trying to beat the market. Rich dad poor dad: https://amzn.to/2PHweQZ There is a reason this features on all lists of the best books. You will walk away from this truly understanding the importance of income producing assets. The Millionaire next door: https://amzn.to/2Dth13B I love this book because it destroys the conventional perception that all millionaires are one type of person. Read this and you will so realise being a millionaire is well within your grasp! The 4 hour work week: This is the book that inspired me to build multiple income streams. https://amzn.to/2YUSZ8P 📹 My Videos: Premium Bonds: https://www.youtube.com/watch?v=jVlaV... The options for investing explained: https://www.youtube.com/watch?v=h2xVk... How to stop your investments being taxed: https://www.youtube.com/watch?v=kA9W7... Investing in stocks and shares: https://www.youtube.com/watch?v=yG5pl... Disclaimer: Any information provided in this video is meant purely for entertainment purposes and does not constitute any form of recommendation, They are simply my opinions. If you want financial advice tailored to your circumstances please consult with a licensed professional.