DRIP

ChadFullStack

Canadian banks are a good investment for their dividend factor, not growth. This year just happens to be a great year because Canada lowered interest rates and overall positive outlook. In economic downturn, bank stocks will suffer a lot. Most long term holders have setup DRIP so we’re buying into ATH when dividends payout. If you want equal exposure to all banks, zeb.to is the etf for you. Otherwise pick your favourite flavour.

Simp3204

Just set a DRIP on the dividend payment so you don’t pay tax, easy fix

_hiddenscout

I used to not care about dividends as much, but they are kind of rad. Like you are least get .20 a share every quarter, so even when it's flatish, you're still getting free shares if you DRIP.

jgnexus

DRIP that shit!

crazybutthole

today was exdividend date - which means in a few days they will pay out on the pay date. if you own 6000 shares you probably receive between $12000 to $20000 maybe more? i cant find the official number yet but its been between $2.50 per share to $3.40 per share last few years according to fidelity. if you have automatic reinvestment turned on (DRIP) - it will just automatically buy you 250 or 300 more shares whatever the number is based on the price but if drip is turned off - you will have that money in your account in a few days

sobanspirit

NGL, I don’t understand the hate towards this stock. Business fundamentals are solid. There is a lot that goes into a stock, but on a pure EPS play you are not going to find many stocks that beat PFE that has bond levels of dividend performance which if things bomb for the stock in a worse case scenario they are likely to just hold and not cut. This stock has a sky high dividend rate for a company 100+ years old. It has survived recessions and depressions and it acquires new biotech in line with industry standards. We can have a debate on their internal innovation, but for a company with EARNINGS in the 10+ billions of dollars range they can probably buy their way out of every patent cliff they have and are actively diversifying their product pipeline as well as investing in LLM partnerships that will keep them current when personalized medicine becomes a reality. I’ll be honest with my vision for this. I hope you all sell. I hope this stock drops below $20 so my DRIP buys me more stock than it would at 40. I’m not selling for the foreseeable future if ever. I’d rather stake my financial future and that of my family on a stock with a solid financial sheet that the public hates for XYZ reasons than just investing in the latest crypto trash or meme stock with an EPS over 30. Do I want PFE to bounce so option traders get a buck? No. Honestly I’d rather you short the stock. Please, from the bottom of my heart prove me wrong. I’ll post on wallstreetbets when everyone shows me the error of my ways. Until then I’ll trust in my understanding of biotech.

carspreferred

Buy DRIP🇺🇸

Illustrious_Lie_954

A wash sale is only triggered if you sell at a loss and then BUY the same (or substantially identical) security within ±30 days of that sale. Simply selling shares even multiple times doesn’t cause a wash unless there’s a repurchase involved. In your case: Selling the 0.076 shares to round down to 200 shares does not create a wash by itself. Selling the remaining 200 shares later (whether manually or via covered call assignment) is still just a sale not a repurchase. Covered call assignment is treated as a sale, not a buy, so it doesn’t trigger a wash either. The Google quote you found is misleading because it assumes there’s a buy between the two sales. Selling twice at a loss doesn’t wash anything unless you bought shares within that window (including via DRIP, which you already turned off — good move). So unless you: Bought shares within 30 days before or after the loss sale, or Accidentally repurchased via DRIP / auto-invest your capital loss should remain fully deductible. You’re not overthinking it wash sales are genuinely confusing but based on what you described, you should be fine.

kitties_ate_my_soul

Yup! They always make me happy. Cats and DRIP. It's something! Yay!

stickman07738

I started investing in HON DRIP in the late 1990s after a work colleague talked incessantly about them. Initially $100/month then switched to $500/quater and occasionally added some bonus dollars. I stopped contributing about 4 years ago. Today, it is by far my largest individual holding nearing 7 figures. I only sold once - 100 shares to redo our kitchen in 2021. I would add extra dollars back in the day and sold their spin-off ASIX, REZI and GTX and reinvested back into HON.

SlickRick941

Pay to play. The more money you put in the more you'll get back.  Cant count on growth. SP500 has been carried by 5-7 tech stocks the last 5 years and it could come crashing down at any minute. No way to time it, but when it happens have cash on stand by to buy up a bunch for cheap.  Diversify by having solid dividend players and DRIP. Dividends are a guarantee return in bad market years, at least you'll get something back. 

QiwiLisolet

I know. It's nothing. Set it to DRIP right?

Interesting-Power-69

Originally chose Robinhood, because they had DRIP and webull didn’t at the time. Now they both do.

Big-Sand5360

Unfortunately... Yes ..... my stop loss of triggered... I had to take loss... need to wait for 30 days. After 12/19 , I will be able to buy BTCI again ( no wash sell ) , I will start to build BTCI again. Probably start buying a few thousand shares first, and continue DRIP in 2026

Dr_Dick_Dastardly

Think it's an individual circumstance type of decision. The advantage is that you may make a little extra money, which is nice if you're talking about a stock that doesn't pay a dividend. Disadvantages are you can't control which of your stocks are lent, dividends become cash payments (if you were trying to DRIP), and it can cause some weird tax implications. Liquidations or being wiped out is a bit more difficult to say. You maintain ownership and can sell your shares at any time, but you're no longer covered by SIPC insurance. You won't lose the shares no matter what happens to the borrower, but if Robinhood itself goes under, you could lose them. Robinhood claims it will pay you a cash equivalent if that happens, but who really knows what would happen. When I looked at it, I realized the little bit of money I might make wasn't worth the headache if something went wrong.

LongevitySpinach

First of all, congrats, awesome wins! To get 75%, you've taken on a lot of risk - so far you've managed it well enough...but never a bad idea to review risk management - position sizing, concentration risk, trading some non-correlated assets, etc. When I get assigned, I like to sell covered strangles, rather than straight covered calls. Double the premiums, because I'm selling a call and a put at the same time. Only do this if my thesis on the stock is intact, I'm not too concentrated in the stock already, and the position size is manageable. If the stock keeps falling, I get assigned, and I've lowered my cost basis (as you mentioned), but I also collect the premiums on the short call. The short call and short put offset each other and gives you lots of options to manage or defend either leg. Check out tastytrade youtubes on defending strangles. Favorite wheelers: TSLL (tesla leveraged) ETHA (ethereum etf) SOLT (leveraged solana) PAAS (Pan American Silver) GDX (gold miners) SOXL (semiconductors, leveraged) NVDL (nvidia levereaged) DRIP (inverse oil services...not currently playing) TAC (canadian energy play - monthly only)

adognamedpenguin

Totally understandable. The re entry is confusing. Capital inflows to major etfs are still outpacing withdrawals. Those funds have to buy on DRIP investments

sprezzatard

I think this is great advice and I think the key here is how active you want to be For most people not looking to actively manage, SPY LEAPs are great, especially if you combine with a DCA approach. Consider buying deep ITM LEAP every month and let it expire. Use profit to buy real shares and DRIP. Sell monthly calls and puts, especially if have portfolio margin A much more capital and tax efficient approach to investing, not trading, and can be largely automated. You can read some of my prior comments about this if you're interested

stickman07738

There is a story behind it. In 1994, I knew nothing about investing but I had a work colleague that would talk incessantly about HON, Larry Bossidy, and their patents; thus, I decide to enroll in the HON DRIP. I started to educate myself as I was beginning my professional career. The Dotcom era started and I was making a lot of money in QCOM and CSCO - all to lose it in late 1999 - early 2000. Lost $300K because I thought I was a "f-ing genius" buying more on dips then BOOM. It taught me slow and steady wins the race. I revised by investment strategy to max out retirement accounts (401K, HSA, Roth IRA) with low cost mutual funds and develop a blue chip portfolio while continue to invest in a couple of DRIPs and some individual stocks make sure I had a strategy to control downside risk as well as capitalize on upside gains. I retired early 12 years ago this Dec 31. I have a hold and forget portfolio that include AMD (cost basis - $2.50/share), LLY ($60), META (FB-$19), BRK.B ($180), GE ($6 pre-reverse-split). My average cost for HON with dividend and spin-off reinvestments is a little over $32. I stopped cash contributing to the DRIP in 2017 but dividends are still invested. My plan is to give it to my heirs at a stepped up cost basis to minimize taxes and they could then sell if they desire. I find it amusing now because what happen to the Internet infrastructure companies (QCOM, CSCO, ORCL) in the late 1990s is replaying itself with the AI boom - where hardware companies are financing the build-out and when equipment sales reach steady state - there will be an earning disappointment and new technology / competitors will catch-up that will cause a drastic decrease in revenue and BOOM. The key is knowing when to get out. Good Luck

stickman07738

I have been a longtime holder of HON since the late 1990 via their DRIP program. I initially was invest $100/month then switched to $500/quarter, added extra cash along the way. Sold previous spin-offs ASIX, REZI and GTX and purchased more HON. It is my largest individual position nearing 7 figures. I have only sold (100 shares) once to redo the kitchen during Covid. SOLS is not as slow growth as people think as they have unique positions with little competitions - it will do well in the long term.

WestEstablishment719

Do you plan to add DRIP at NAV for CEFs like CLM and CRF? To my knowledge only 3 brokers allow this fidelity, Schwab and E-Trade. I'm not a fan of their platforms they all seem outdated. Thank you

United-Prompt1393

You didnt include DRIP

Consistent_Rule101

Get real. I got AXP at 5.00 . 40,000 invested in MS is now more than million worth in my portfolio and giving around 30,000+ in DRIP. Of course, we can have fun money aside, but very few get rich with trading.

HeckleHelix

Just DCA into $VOO, set to DRIP & ignore it. Seriously though, this is not a rational market, but rather it is a casino fueled by fear & greed, based on confidence or the lack thereof. What's changed is we cannot beat the computers; they have all the data & all of our positions. Best of luck to you. I will stay here with my fellow regards & apes, DCA'ing into $VOO but also doing little regarded plays because I'm human & can't help myself.

duke9350

CRF under $8 and CLM under $8.30. DRIP at NAV with 20-25% discount. Can sell your drip shares every month and maintain your core shares. I make $1000 a month. Only caveat need to watch for when there is a rights offering at least once year around March, April or May. After right ls offering rebuy at lower price.

Massive_Confusion_23

Good thing your young. Stick with DRIP into VOO youll be rich by retirement

AtXrt

It's more for people who are retired and living off of their portfolio without an income. Bond funds function like cash in the portfolio, but generate income through dividends. If you are retired and there is a crash and you need money, you can sell bond fund shares instead of selling stock and locking in losses. Bonds usually are comparatively stable during a crash. When you draw from the portfolio in retirement you draw 1. Checking account 2. Cash from the cash sweep/HYSA/money market 3. Sell bond shares 4. stocks only if you have to. You keep DRIP off in retirement, so your yearly rebalance has a sell high buy low effect. For example if you keep a 70/30 stocks to bonds split with 50/50 VTI/VXUS you would first use unspent cash to buy bonds, VTI, or VXUS to reach your desired allocation. If you don't have cash, you would sell high on whatever had a good year; VTI, VXUS, or bonds and buy whatever is under your desired allocation.

stickman07738

I have been a longtime holder of HON since the late 1990 via their DRIP program. I initially was invest $100/month then switched to $500/quarter, added extra cash along the way. Sold ASIX, REZI and GTX and purchased more HON. It is my largest individual position nearing 7 figures. I have only sold (100 shares) once to redo the kitchen during Covid. SOLS is not as slow growth as people think as they have unique positions with little competitions - it will do well in the long term.

plasticbug

As others have said, yeh, just turn off DRIP, and use future purchases to balance your portfolio over time. Given your investment horizon, it doesn't really make sense to give up some of the gains to taxes (unless you are doing this in a tax advantaged account)

DennyDalton

The short answer is: A wash sale is triggered by the acquisition of substantially identical replacement shares (stock or option) within 30 days BEFORE or AFTER realizing a loss. So figure out if you have a loss and if you violated the 60 day window. If you carry a wash sale violation into the next tax year, you lose the deduction for the current tax year (DEFERRED) - you can claim it when you close the position. You can incur as many wash sale violations as you like during the calendar year without consequence as long as you close the position by the last trading day of the year and then wait 30 days before taking a substantially identical position. Note that losses realized in December can become wash sale violations with acquisition of replacement shares in January (direct purchase or DRIP). The only time that a wash sale is truly DISALLOWED is if the loss is in a taxable account and the replacement shares are in a sheltered account (IRA, etc.). It all amounts to meaningless accounting unless it's a carry over violation into the next year.

JOOT94

Idk about OP but I’ve had this for 5 years with DRIP and accumulated a total of 4 shares in that time. Overall I’m up about 162% on my position based on average cost basis. But I’m fixing to offload simply because it’s ADR and I don’t know enough of the international market/don’t want much exposure to mining as volatile as it can be.

DennyDalton

Here's what you need to know: A wash sale is triggered by the acquisition of substantially identical replacement shares (stock or option) within 30 days BEFORE or AFTER realizing a loss. If you carry a wash sale violation into the next tax year, you lose the deduction for the current tax year (DEFERRED) - you can claim it when you close the position. You can incur as many wash sale violations as you like during the calendar year without consequence as long as you close the position by the last trading day of the year and then wait 30 days before taking a substantially identical position. It all amounts to meaningless accounting unless it's a carryover violation into the next year. The only time that a wash sale is truly DISALLOWED is if the loss is in a taxable account and the replacement shares are in a sheltered account (IRA, etc.). Note that losses realized in December can become wash sale violations with acquisition of replacement shares in January (direct purchase or DRIP).

zooka19

I've just gone 80% ETF at this point and monthly DCA with DRIP on. Means my single stocks aren't getting much now, but it's better than guessing.

FrankDrebinOnReddit

Yeah, and that's true with Schwab, too, you can DRIP into partial shares of ETFs.

Mjolnirbull

I know this 2 months in , but I was hoping any new comers to see my story. Yes you can make quick LARGE returns trading options, you can be consistently profitable but one trade will wipe out everything. No matter how much you try your emotions will get in the way. Even if your emotions are in check the market will just say, "you have played enough, time to bend you over" lol. My story, I recently played with it, I tried options, studied it, decided to gamble with 100$, to start I picked the right things and went with OTM Calls and Puts. Gradually coming to ATM Puts and Calls as my account grew. I did multiple trades in a day we, are talking 15-20 trades. Commission was a $1 each trade. I managed to grow my account from 100$ to 3500$ish in 5 days my goal was 500$. I felt like a Genius lol and have figured out a plan to become a Millionaire Muhahahahahahah. Yes!!! Then I wiped it all out in the next trade lmfao, I got greedy, Instead of sticking to my plan of taking 10-15% profit. I went for a hail mary. I tried replicating afterwards knowing that " hey I know now what to do" the 100$ to 3500 again, nope didnt work, turns out I just got LUCKY! A great lesson lol. But thankfully I only lost 100$ plus the commissions which was avg $175. So if you dont know the markets inside out, then dont bother with OPTIONS!. LEAP OPTIONS are the safest even that is a gamble I would say. safe bet, buy ETFs, contribute to it monthly or bi weekly basis. You will get a consistent return and perhaps dividends depending on the etfs, also initiate DRIP on them so the dividends will automatically buy more of that said etfs, this way your investment compounds the profit. THIS STRATEGY is Called BUY AND FOERGTTTAAA BOUT IT!!! till you retire. Please make sure to verify ETFs before you buy. there are some etfs that a re bad. SPY is has been the most consistent one out there. Also dont invest just because someone told you, DO YOU OWN DUE DILLIGENCE. GOODLUCK!.

DennyDalton

A wash sale is triggered by the acquisition of substantially identical replacement shares (stock or option) within 30 days BEFORE or AFTER realizing a loss. If you carry a wash sale violation into the next tax year, you lose the deduction for the current tax year (DEFERRED) - you can claim it when you close the position. You can incur as many wash sale violations as you like during the calendar year without consequence as long as you close the position by the last trading day of the year and then wait 30 days before taking a substantially identical position. Note that losses realized in December can become wash sale violations with acquisition of replacement shares in January (direct purchase or DRIP). The only time that a wash sale is truly DISALLOWED is if the loss is in a taxable account and the replacement shares are in a sheltered account (IRA, etc.). It all amounts to meaningless accounting unless it's a carryover violation into the next year.

WellAintThatShiny

DRIP stands for dividend reinvestment program. It’s where you automatically reinvest your divs back into the stock or fund. DCA means you just keep contributing the same amount each paycheck regardless of price. QLD is just a 2x leveraged QQQ. And QQQI is a covered call fund for QQQ. I prefer holding a split of those two to QQQ itself.

Admirable-Sun8230

both QLD and QQQ Imove similarly. DCA and DRIP... is tht the program where you lend out your stocks and you just keep holding the stocks?

EightFolding

I used to DRIP everything and trim when positions got too big. But a few years ago I started doing it differently Now I use dollar value targets (in a tax advantaged account, so YMMV). I set a dollar value for each position. If it's over by at least one whole share, I sell. If under, I buy. Over time as volatility harvesting accumulates cash I bump up all the targets. This smooths out the dips and peaks a bit and allows me to choose where the money goes. The primary reason I switched to this is because I needed a non-emotional way to make buying and selling decisions, a trigger based on rules that would tell me when to buy and sell in order to stop me from making emotional decisions and buying high and selling low. This system ensures I always buy low and sell high, works very well for my thesis, portfolio, and needs. Bigger more stable positions don't get much trading, but more speculative volatile ones generate a lot of cash.

WellAintThatShiny

Around 15% on the year with that account. QLD is to take advantage of bull markets, QQQI is for sideways markets. If we’re in a bear market, whatever. That’s why I DCA and DRIP my QQQI dividends, if the market continues its long term growth then it should perform fine in the long term.

OhtaniStanMan

VZ Solid dividend for DRIP. Has next to no competition due to their cell towers. Long term winner on that dividend alone.

suckfail

Yes, but most funds aren't accumulating funds. Most issue the coupon and the customer can use DRIP (or not).

derfahrer924

Also iShares has a set of bond ETFs that have a fixed maturity data (going out to 2034 as I recall). There are investment-grade, high yld, treasuries, etc. I started buying individual bonds, maybe 2021-22ish, through Fidelity, but the inventory in the past seems to have gone down (in terms of much that seems attractive). So I started building a ladder with the iShares ETFs, DRIP'ing the interest payments. When they mature, I will withdraw and use for living expenses.

redracer67

Idk if this is smart or not, but I essentially do both. I'm DCA and DRIP and I have 1 years worth of emergency funds in a HYSA ready to use if there is a market downturn. I increased my emergency fund because of the likelihood I will be laid off. If the market decreases, I also use it as an opportunity to tax loss harvest gains and reinvest into the market. So, when covid happened and liberation day, I lump summed into the market. And in parallel, I continue to DCA. As long as the math works out, I don't worry about if it's an ATL or whatever, if I think it will eventually work out, I'll go for it.

Doctor-MTJ

Income ( dividend) stocks are also cheap at the moment with Energy, Utilities, Basic Materials and REITS being the primary players right now. Rotation into these " safer" sectors will likely drive up the prices of these stocks while also enjoying the nice income along the way. Those dividends, if not needed as current income can be reinvested back into more shares through DRIP ( Dividend re-investment plans). DRIPs also allow you to take advantage of dollar cost averaging of your shares ( like being able to buy more shares when the stock price is going down and buying fewer shares when the stock price is expensive).

ILoveThiccBitchez

I whole heartedly agree; I bought so many shares in in 2017. The dividend alone adds more to my position via DRIP. I like this company and believe it should be up much more than this subpar $200 floor 😒

drummer820

In my “fun money” brokerage account for learning and investing, a big part of my outperformance above S&P500/Nasdaq this year was rotating away from US equities in April and reinvesting in VXUS, BND, and several international and domestic high dividend vanguard ETFs with DRIP to stack gains during chop and sideways market. Recently I’ve entered positions in GLDM and VGMPX for precious metal and mining exposure, and I have a smaller position in VT to not totally miss US market performance. I’ve made decent profits with coreweave puts and SQQQ calls. I haven’t touched my longer term portfolio that I put money from selling a company into a bunch of broadly diversified Dimensional ETFs, or my 401k rollover IRA, which is in a bunch of annuities that track the Russell 2000 and SPY with downside protection.

greenpride32

This is the correct answer. I've done a few ACATS transfers in my time, from others sources going into Fidelity. I owned many shares since before 1/1/2011 and had to manually enter the cost basis, and it required review and approval by Fidelity. Not sure how thorough they check it, but I was never questioned or asked to supply any additional information. I assume they at least confirm the acquire date matches the day's price range. Only PITA was having to recalculate some stock splits as my original paperwork was pre-split shares, but Fidelity only recognized post split share counts, then 4 times a year since I did DRIP.

Consistent_Drop1006

Just buy an S&P 500 etf, DRIP, and focus on other things in life

AICHEngineer

https://testfol.io/?s=fVoDTlSqs59 Here is YTD. BITO drags IBIT by 4.8% so far with reinvested dividends and BITO without DRIP is actually -31.5% YTD.

fdatbish

🤣🤣🤣 Yeah bro set up an IRA and 401k, auto investment on a biweekly basis into vanguard ETFs with DRIP enabled. Set and forget….the market is not for you. This place will eat up emotional investors.

VicTheSage

Look up Bogglehead style portfolios. Your money splits roughly ⅓ each between a US Blue Chip Index, a foreign/world stock index and a bonds ETF. Very boring, very reliable way to make steady returns. Generally you do all 3 funds from the same company, Vanguard indexes are popular. If you wanted to diversify more you could do multiple sets of ETFs from multiple financial services companies to try to stabilize return further and guard against fund x being too deep on a company that dips or too shallow on something that moons big. Either way set them up and dollar cost average into them equally. Alternatively you could direct index. Make a massive brokerage account where you're directly buying shares or fractionals of most of the blue chip companies and any other companies producing staple brands. Same deal here, slow boring returns that compound over the years but near daily dividends for DRIP once you've got your fingers in hundreds of companies. As long as you DCA into everything equally it'll basically manage itself with DRIP ensuring you're gradually deeper and deeper positioned into the regularly profitable companies that pay the most consistent dividends. Both are perfectly viable paths to being a multi-millionaire by the time you retire if you hold, DCA out of every paycheck for decades and leave DRIP on. Having money in the market and stocking up on precious metals when the economy is booming are the best safeguards against inflation. Given the current sky high metals prices your money is probably best served parked in a safe but boring portfolio style like Boggleheading.

Jeeperg84

I am a long term investor...unfortunately bought the top soo now it's just DRIP and covered call money at this point

Sign_Outside

DRIP is also another one to watch out for. Pure garbage, daily loser even when oil drops, same with KOLD. Stay away from these even in bear markets, their daily rebalancing will make sure you ALWAYS lose.

MomWhoNeedsALifeX2

JPM. I started with \~$2k worth in 2024 (at approx $37/share). Set to DRIP. And now, 21 years later, even though I've sold about $28k of my holdings over the past 5years, my holdings in that one stock are now valued at just shy of $70k

Margaritashoes

10k in SCHD? DCA and DRIP for the next 50 years or so.

TheNextPresidentUSA

Hey man, some advice here. I’m 25, almost 26. I too had a loss that was painful. Took 4 years to finally get over it. I had to admit I wasn’t smart and was an idiot who got lucky with a few options. You might be depressed for awhile, but think about it this way. You can only go up from here. Take that 1.7k you have. Pay off all your debts. Have a HYSA and put a percentage of your money there(the money you get from work). Grind yourself back up and STOP WITH THE OPTIONS TRADING. I’m gonna invest safely in VOO/qqq or some sht. None of that options shit unless I’m spending less than 10$-100$. 1% to play around with options. But better to just stop the options and start putting 100-1$k a month in safe passive income dividend stocks. Set up the DRIP and you’re good to go. Grind away from 10-20 years. By the time you mid 30’s you should have 100k. Maybe by mid 40’s you could have 1 million. Just depends who disciplined you are

Prosecco1234

Buy a solid blue chip dividend paying stock. Have it automatically reinvest the dividend (DRIP)

qaz135wsx

You may as well buy stablecoins if you are so sure of a huge downturn. Buy VOO with DRIP and get the dividends in my opinion.

West-Philosopher-680

Savings- 6 months emergency in HYSA, rest in money market, buy some TBILLS or CDs and create a ladder.(if you have state tax TBILLs can be a better optiony, as they are not subject to state taxes. You can also just use SGOV or VBIL ETF for TBILLS or buy CDs through your bank.) Retirement- max out ROTH IRA, contribute to 401k and HSA (you can invest excess $$$ HSA after you've hit your cap.) Visit r/bogleheads for tried and true ETF's Personal Brokerage- create a dividend portfolio. I use QQQI and SPYI ETFS currently. It pays for my monthly spending. I also have a little gold just to hedge and put spare change towards BTC. And if i get excited about a up and company company ill bet on that if I have extra cash to toss around. DRIP- Enable reinvestment for your Retirement and savings positions!!! Set it and forget it. Also use DRIP methodology until you get your dividend portfolio where you would like it to be. LIVE BELOW YOUR MEANS and budget EVERYTHING (including tine) ! - No matter what stay humble and live far below your means. Don't pay above 25 percent of your income for rent, keep your grocery budget reasonable. Instead of eating out shitty every week go to one nice restaurant a month etc.. No one knows what tommorow holds. Dont piss away your hard work buy making your day to day bills eat up your whole paycheck. All it takes is a lost job and now you have lost everything.

AICHEngineer

The fairest comparison is always the CC etf with the underlying holdings, so for QYLD that would be QQQ Since QYLD inception with DRIP, QYLD +152% vs QQQ +704%. Absolutely abysmal dogcrap lmao. XYLD same story. XYLD +154% and SPY +438%

rackoblack

It varies every time, but lately it's been to book LTCG for expenses in FIRE. I try to choose holdings that are a hold rating, at best, rather than selling those at a buy. Over the 30y getting to here, about 1/3 of our nw ended up self-managed in from 10-25 stocks/ETFs at any given time, ended up about half of that is in rollover IRAs. I got in and out of BP, in after they blew up the gulf out with some profits. I got into GE from teh get go because who didn't want GE! Bought more at their low of $6 going into 2009, made plenty of dividends along the way but ultimately closed the position and moved on when it became clear they were not good at being a conglomerate or doing more than one thing at a time. Generally, if Morningstar rates something I own at a hold or better, I'll hold. I'll consider adding more at four or five stars. I always had DRIP turned on up until FIRE, now the taxable account divs we keep as cash for expenses while the IRAs. Some core holdings, I'd sell around the core - trim a bit at low 4+ stars, add some back at lower share rates, sometimes doing so with TLH in the taxable side if losses were there to be booked. TL;DR The answer is basically it varies, bordering on never.

theduderino38

Yeah man I’m still holding all my (shitbag) longs I started buying in 2018-2019 through 2021 peak- into major DCA during bear market 2022 - current and here for fun and weedstockholm syndrome with the boys. But I’m for real getting hooked on my divis stocks, DRIP program, snowball effect and have refocused on dividend growth. The drip program on monthly and quarterly payouts is the exact opposite of what I’ve experienced with heavy losses on cannabis shares. ( I NEED MONEY -lol ) Also glad I’ve hedged in chips, cloud, cyber, crip toe, SaaS- but should’ve timed things differently.

SeniorVibeAnalyst

Went out to a nice dinner with my coworkers tn on the company, ordered the halibut. Talked about stonks, had most at the table saying they just buy index funds, a couple degens trading options and crypto, and one guy who said he just buys stuff with high dividends like Coca Cola and Campbell’s and does DRIP lmao.

HeckleHelix

100 shares of $MCD, & the rest goes in $VOO set to DRIP.

secondbushome

I think you need to understand what bonds do. They pay out interest, they don’t ‘grow’ the way companies do. They can fluctuate in value but there isn’t any ’growth’. If you just want the share price to go up, BOXX is the closest thing that does that. Or just turn on DRIP on SGOV so your share count increases over time.

AICHEngineer

If you turn on DRIP, SGOV will be as stable and linear up and to the right as BOXX is. https://testfol.io/?s=hRZechuecLM

VicTheSage

Just turn on DRIP, DCA and heavily diversify. Sets of Boggle head style accounts or direct indexing will both work. A mix of both is probably a better strategy with ETFs for many foreign nations but direct indexing the US stocks. Europe is all hands on deck building up a more robust military industrial complex due to the shit show we're putting on over here in the US. They also have all sorts of EU regulations on cottage industries to protect them. Only sparking wine from Champagne can be called Champagne, only pork from Iberico fed a certain diet can be called Iberico Pork, etc. none of this is to say they won't be hurting but they'll weather the storm better than us because they're preparing for it while we're actively tearing things down. Multi-nationals producing staples are a good bet. Everything from toilet paper to food to building materials. If we crash as hard as the rest of the world is preparing for they already have production assets and foreign revenue streams. A lot of these "US" multinationals are also already headquartered overseas for tax advantage so even if it gets physically dangerous here they'll still be in business. Project 2025 is an accelerationist plot designed to collapse US institutions, they hope to remould them during the chaos but it's more likely they just ruin the country and we're headed for a USSR style slow collapse. I think we're past the point of investing to grow and now investing to hedge against a much deeper dip or even total collapse of the US dollar. In the past 2 years the market has seen roughly 20% growth but the dollar has fallen 10%. I'd expect the best case scenario is this trend continues and the market functions as a hedge against inflation but we avoid hyper-inflation. The AI bubble will pop eventually but I'm betting the loss of stock value will be outpaced by the loss of the dollar's value when the dust settles. If you can keep enough liquidity to continue Dollar Cost Averaging and maintaining heavy diversity through this mess you'll be in an excellent position in 10-15 years even if we're all trading in Euros or Pounds by then.

angelcoal

Was let go from my job the beginning of the year. Decided to focus on my hobby of options trading to make a living. Was fortunate enought to get a decent severance and already have a decent portfolio and 401ks. I sell daily credit spreads on SPX and NDX, sometimes turn them into iron condors during the course of the day. Also sell spreads, mainly call spreads, on stocks WSB gets hyped up about and that I think have run their course. Making more than my salary. I have my 401ks to fall back on if needed. Also have a number of dividend stocks in my portfolio that pull in about 100k per year---currently have them on DRIP, but if push comes to shove can turn off the DRIP and live off the dividends.

InfamousShow8540

I'm in an adjacent boat. Already retired and have $800k of $NVDA $ $175 of $AAPL. I can't convince my wife to offload some of. But we do have bigger chunks in both $UOPIX for appreciation but no income and $QQQI for 14% dividend income paid monthly that we DRIP w/some appreciation. $UOPIX in taxable acct and $QQQI in IRA. Be aware that stock sales can impact your SS tax rate and your Medicare premiums. It's a difficult 3-legged stool balancing act. Definitely talk to your CPA/CFA& Medicare agent.

DRR3

Setup some sort of DCA/401k reoccurring purchase of Global index funds like VT, setup any DRIP, and have a trusted friend or partner change your brokerage account password and password recovery email and promise to not give you access until ATHs following a crash or 10 years, whatever happens first.

pigglesthepup

If you have earned income, open a Roth IRA. Buy VT and set up the dividends to auto reinvest (DRIP). Only check it make a contribution and forgot about it the rest of the time. If you want to buy an individual stock, do it in a taxable account. If you own any kind of total market fund (or total world, like VT), that stock will be in there. And that's okay as long as you account for it and know your exposure. You could add a bond fund to go along with your VT if you want. It'll teach you to rebalance. But you should learn how bonds work first and what they're good for, else you could end up getting burned/disappointed.

Initial-Culture2445

I don't wanna hear none of that lip I'm gonna buy that deep down dirty dip While my dividends just go DRIP-DRIP-DRIP

crazybutthole

(turn on DRIP) dividend reinvestment plan it just uses all the dividends to buy more of whatever paid you a dividend. Set it and forget it. No need to check it every week

terraresident

First thing you do is address your anxiety. Take care of your mental health. Get out the pad of paper and play the worst case scenario game. Pretend you are getting the pink slip tomorrow. What is your exact situation and what are your next moves. What we fear most is the unknown. Know exactly what your position is. Now then. Scrounge up a few hundred bucks. Buy in on some high dividend yield stocks. Something like Pennymac Mortgage. Look up the ex div date. Wait til a week after, when the price has crashed. Buy in. Set a calendar alert for two days before the next div date. If the value is significantly above breakeven (stock + div), then sell out. If not, hold. Do not use DRIP. It will reinvest while the price is still high. Wait til the price drops down, when you receive the div money, to buy more. This is not going to make you rich. But you will always have the knowledge in your subconcious that money is coming to you. You will sleep better.

AntoniaFauci

You don’t need to. People here have been fed the DRIP philosophy so much. The theory is in a perfectly efficient market you get a dime discount every time your stock pays a dime in dividends. This creates a sort of micro version of DCA theory that is forced. There’s also the fact that you don’t have to pay commissions on DRIP buys. That mattered a lot more when commissions were $50 or $100. There are/were some situations where drip also got bonus shares or discount. But you using your dividends to buy superior stocks isn’t bad at all.

BucksBrewPackInOrder

$VOO & $VXUS - invest it, set the dividends to DRIP and chill

anteatertrashbin

even with DRIP it would only yield about 5% yoy. it would compounding to roughly 100% gain in 15 years. meanwhile VOO would have compounded to about 500%. ouch….. homie would have had $100k, but now he’s looking at $16k….

urnutspal

HYSA for cash I truly put away as savings. Otherwise, Fidelity offers SPAXX, which is the money market where all my investable cash and non-DRIP'd dividend payouts are held. Looks like current annual rate is at 3.79%

StudentFar3340

Thanks for reminding me! I've got to make sure that DRIP stays on after I'm Gone

herefromyoutube

Damn they’ve been doing a stupid for 1810 years! Can’t go wrong with that. I also thought you’re gonna say that those dead people’s accounts have DRIP turned on and so it just keeps investing into the market thus propping it up.

Crumpet-Blue19

I have over 90 % in one of my accounts in TSMC. Granted, I DRIP and I bought 900 when it was $18 in 2012, and it hit $300 this week. I haven’t sold any. Obviously there have been some concerns with China invading Taiwan, but I sleep reasonably well, because we have other accounts.

slevenznero

Both of you should read about ETFs, basically the same but with slightly better results and less annual costs normally. You should also aim to diversify to reduce exposure risks. At 20 different securities, your risk becomes marginal if your portfolio is diversified enough by countries or continents, and by industries. I personally invest in ETFs in banking, tech, energy, utilities and REIT across 4 regions (my country, my continent, and 2 other continents), and I blend value investment (price is aimed to rise) with dividend growth with DRIP. My own personal investment strategy, a financial advisor would better help you with recommandation for India (a market that I know nothing about sorry).

Micronto65bymay

I heard she has them set to DRIP.

AmericanScream

Do NOT do crypto. You will lose your ass. It's a giant ponzi scheme. At any age, the best all around investment is putting money into a S&P 500 ETF with a DRIP and letting time work for you. If you have certain material needs, you could also go the real estate route where your investment is also something you use.

stickman07738

HON - been investing via it DRIP program since the late 1990's, by far my largest individual holding having have sold 100 shares once during Covid to re-model out kitchen.

WealthVenue

got it, more clear now. I was assuming that dividends were always distributed but apparently ETFs have the option to retain them and re-invest them in the same stock, like a DRIP. How do they extract those fees from the NAV or the underlying stocks? I would like to see that mechanics.

CoC_Axis_of_Evil

401k and DRIP. It is not infinite 

CoC_Axis_of_Evil

If 401k and DRIP money slows down for 5 seconds, the tires deflate. 

arlitsa

Why not DRIP the dividends

AICHEngineer

Use testfol.io. You can compare total return and just price return ex dividends by checking or unchecking the "total returns" box https://testfol.io/?s=dVHee0Y2zwP Here is a link to how TSYY w/ DRIP vs TSYY no drip compare. Also for reference is the underlying stock TSLA. (Spoiler: the underlying stock outperforms the covered call fund, not even including taxes on distros yet).

Nuclear_N

My mother bought a few Mcdonalds shares in the old DRIP fund system. Statement would show up and the dividend would add up to some fractional share. Eventually it grew to about 1300. This was back in 1978ish. I eventually sold them. I bought GE stock for my son in the 2008 crash. He put in his birthday money of about 300 bucks, and I matched it. It was at the bottom...I continued to purchase in the account, and it grew in the dividends and he went to college with 30k. I have funded my kids Roths as a wealth transfer. We put it in set and forget it funds. They have learned the value of time in the market and seen the growth. Beyond that they are not really interested in deep knowledge, but ADC investing.

beautiful-world777

No benefit from a dividend? At 5% with DRIP reinvestment you have a pretty attractive financial product.

mojavetheory

$DRIP

MarketCrunchAI

**TL;DR:** The headline is *technically* close to true if you bought near the 2000 dot-com peak and look at **price only**. But **total return** (dividends) is meaningfully higher than zero, still well **below inflation** and an **S&P 500 index** alternative. It’s a great case study in entry timing, diversification, and why price-only charts can mislead. What the chart misses * Dividends exist. Intel began paying a regular dividend in 2003 and (despite a cut in 2023) has paid for \~22 years. Price-only ignores those cash flows. [Nasdaq+1](https://www.nasdaq.com/market-activity/stocks/intc/dividend-history?utm_source=chatgpt.com) * Inflation matters. $10,000 in 2000 has the buying power of roughly $17k–$19k today, so even a small nominal gain is a big real loss. [In2013Dollars](https://www.in2013dollars.com/us/inflation/2000?amount=10000&utm_source=chatgpt.com) * You probably picked the worst entry. “25 years ago” targets the 2000 dot-com bubble top—a known outlier. Anchoring on an ATH skews any single-stock backtest. * Splits don’t save you. Intel’s last split was in July 2000; the post-split price path is what hurt late-cycle buyers. [Intel](https://www.intc.com/stock-info/stock-splits?utm_source=chatgpt.com) If you include dividends (not DRIP): You’d have received many years of cash payouts that lift total return above $10k—but still typically below inflation and well below an S&P 500 total-return investment over the same period. (Index total returns from 2000–2025 are substantially positive.) [SlickCharts](https://www.slickcharts.com/sp500/returns?utm_source=chatgpt.com) Bottom line: * The meme highlights real opportunity cost vs. the S&P 500. * But saying Intel delivered *zero* over 25 years is misleading—dividends mattered, just not enough to beat inflation or a passive benchmark from that specific (unlucky) start date. Do your diligence (http://marketcrunch.ai/stocks/forecast-price-target/INTC)

Perfect-Tennis3270

and pretty sure tomorrow is a green day because of DRIP

AlGAdams

Nah it'll rebound on their dividend payout date from DRIP

Fritzkreig

I bought about 17 years ago, and with DRIP that invest annualized 6% per year........not great, not terrible, pathetic though.

LiberalAspergers

I was trading then, and we used to buy directly from company's DRIP programs to avoid paying 20 dollar a trade fees. 7 dollar trades was HUGE when that came out.

CarlosTheSpicey

I am about to retire and I continue to DRIP into income producing securities yielding ~8%+