|
Dividend
A portion of a company's quarterly profit
is paid to its shareholders. This is known
as a dividend and is issued in the form of cash or stock.
The higher the proportion of your share then the more dividend you will
gain when profits
are made. Each share is allocated a dividend and the
values are decided by the board of
directors of the company.
When you identify dividend paying stocks you must remember that the dividends
may be
taxable. Some dividend related stock can outperform trades with other
stocks and can be
a worthwhile investment.
A dividend can be seen as a reward for your continuing commitment.