Quiz: Benefits

What is the primary objective of dividend growth investing? *

Creating a reliable, growing income stream

Short-term capital gains

Currency hedging

Grow your emergency fund

How can dividend growth investing serve as an inflation hedge? *

If you sell a portion of your portfolio to cover increased costs

If portfolio dividend growth outpaces the rate of inflation

If a company spins off an underperforming division

When the company offers a DRIP program

What benefit can dividend growth investing provide, even if stock prices go against you? *

Capital appreciation

Buyback yield

Cash return on investment via dividends

Diversification

What does successful dividend growth investing require from the underlying operations of a company? *

Reliable cash flow generation to cover dividend payments and grow them over time

Focus on rapid growth plans

Acquisitions to increase the size of the company

To issue debt for increased liquidity

How does compounding via dividend reinvestment work in dividend growth investing? *

Dividends are used to pay off debt

Reinvested dividends reduce the number of shares owned

Dividends are used to purchase store of value assets

Reinvested dividends purchase more shares

How does dividend growth investing support long-term minded, disciplined investor behaviour? *

It incentivizes investors to sell during market downturns to take advantage of lower prices

You don't need to worry about business fundamentals

It provides a cash return in all market conditions, incentivizing investors to keep hold of their shares during market uncertainty

It offers rapid capital appreciation potential

Dividend Growth Investing Course - Building Wealth Through Steady Income