Index Funds vs. Index ETF’s

Index Funds vs. Index ETF's

Investing dividend allows investors to generate income without selling shares and reinvesting, potentially compounding their returns over time. However, high yields can signal trouble, so it’s important to evaluate the sustainability of a company’s dividend payments.

A well-managed business should be able to sustain and even increase its dividend payments. Qualified dividends receive preferential tax treatment over ordinary income, which can enhance an investment’s after-tax return.

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