Dividend Stock Investing The Importance of Dividends |
| For the S&P 500 from 1980 to 2010, dividends and the reinvestment of dividends provided a greater portion of total return (60%) than appreciation alone which contributed just 40% of total return. |
| Dividend growth can provide a very powerful source of return over time. |
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| Past performance of dividend stocks is not indicative of future results. |
| Timberline Investment Management, LLC. 503-657-7100 Info@TimberlineInvestment.com |
| Investing with Integrity |
| ABOUT TIMBERLINE |
| ABOUT DIVIDEND & GROWTH |
| DIVIDEND STOCK INVESTING |
| ORIGINAL INVESTMENT CURRENT INVESTMENT Yield on 10-year 12/31/01 12/31/11 Original Growth of Price DPS* Yield Price DPS* Yield Investment DPS* Microchip Technology 25.13 .00 .00% 36.63 1.39 3.79% 5.53% - - Chevron Corp. 44.81 1.40 3.12% 106.40 3.24 3.05% 7.23% 231% *Dividend Per Share Dividend growth can be a very powerful source of compounding return and income over time as companies, at their discretion, raise their dividend. Please observe the Yield on Original Investment and 10-year DPS* Growth. The examples provided may or may not be utilized in the Timberline Dividend & Growth strategy and are only provided to illustrate the potential impact of dividend growth over time. Not all companies raise their dividend and dividends can be cut or eliminated at any time. Information source: company websites. |
Data Source: Ibbotson/Morningstar |
$21,626 (Total Return Value)
$9,265 (Appreciation Alone Value)
| $1,000 Investment in the S&P 500: 1980 - 2011 |
Reinvested dividends provided
$12,361 = 60% of total return.
$12,361 = 60% of total return.
Appreciation alone provided
$8,265 = 40% of total return.
$8,265 = 40% of total return.
$1,000