DRIP

alwayslookingout

They need to come with a new feature for DRIP to auto buy 0 DTE.

KimboFL

Then don’t ever DRIP your divvies 🫣

ajaykumar2023

JEPI is a solid contender for an IRA when you're 5 years out from retirement, but it's important to understand exactly what you're buying. Here’s a breakdown for your situation: Income vs. Growth: JEPI is designed for income and lower volatility, not capital appreciation. It uses a covered call strategy (via ELNs). In a massive bull market, it will underperform the S&P 500, but in a sideways or slightly bearish market, it shines because of the monthly dividends. The Expense Ratio: At 0.35%, the expense ratio is actually very reasonable for an actively managed income fund. It won't 'eat up' your returns as long as you value the monthly cash flow and lower beta. The DRIP Strategy: Since you have 5 years left, DRIP-ing those monthly payouts is a great way to compound. By the time you retire, you’ll have a larger share count generating the 'supplemental income' you mentioned. Market Outlook: You're right that it's better in choppy markets. It won't protect you from a total market crash (it will still go down), but the volatility will likely be much lower than a pure equity fund. One tip: Since it's in an IRA, you don't have to worry about the tax drag on those monthly distributions, which makes JEPI even more attractive there compared to a taxable account. Overall, at 7%-12% of your portfolio, it sounds like a well-measured allocation for a 'sleep-well-at-night' income stream.

BlindTreeFrog

> over the past few months. yeah, but at the same time over the last 10 years, VOO ran away from SCHD. 10,000 invested with DRIP on Jan 1, 2016 SCHD today -- $30,279 VOO today -- $38,793 That said, I feel like most of VOO's growth was in the last 3 years and the two were close enough to pace each other 2017-2022. https://portfolioslab.com/tools/stock-comparison/SCHD/VOO

unurbane

At the same time you can do DRIP relatively successfully. What matters though is tax efficiency over time.

nivek_123k

all that is so wrong. 1- anyone with earned income should invest some of it. a roth IRA allows a person to withdraw contributions penalty free. 2- the s&p returning 6%-7& was historical before wanton money printing. recent returns (though not indicative of future returns) is much higher. DRIP and DCA is a superpower for investors. 3- $1 today is more valuable than $1 in the future, which is why an interest yield has to exceed inflation. without risk there is little reward (the risk free rate). 4- you should invest in yourself AND invest in the market. these things are not mutually exclusive.

Stunning-Mobile-3979

Congrats, you accidentally started an Intel DRIP in reverse 😂 Roll that shit out if you can, give it some time value and pray for a pullback, or just accept you’re the proud owner of a boomer stonk now and start selling covered calls till retirement. We’ve all sold “easy coffee money” and ended up paying for the whole damn Starbucks franchise, you’re not alone.

Emotional-Breath-838

SCO DRIP OILD These are inverse and leveraged. YOLO!!!

clunkclunk

My Nana (well actually she was "Grandy") bought me 2 shares of Intel on my birthday in 1995. Somewhere around $16.50/share I think. I still have them. With splits, and DRIP - it's up to 75.6 shares. $5700 in 30+ years, that's actually an annualized growth of 18.5%; not as bad as I thought. I'll probably keep holding them.

OCDano959

Well, time will tell if that was a good move. I get it, because I’ve felt that same way a number of times. I actually timed the dot com bubble and made out quite well. However, after that, I may have made less than 10-15 sells since (decades) and committed to keeping my “core” which made up more than 70% of my portfolio, and just reinvested, every two wks, DRIP and hold. The thing that I do change when I feel the market is way overbought, is just rebalance and stop the drip. That way, I’m still in the game, but not purchasing at a higher valuation AND accumulating powder. So I’m guessing you sold when S&P was ~ 6600? Personally, I think we test that level again this Summer, but who knows? Thats the problem w selling, as you may be waiting awhile to get back in if your waiting on a lower entry pt than your exit. Nevertheless, I hope you’re not actually in real cash. Inflation which is already forecast to be in mid 3%, ain’t showing much sign of abatement and will eat up your buying power. At least put in a MM to get some yield. G’luck OP. 🍺

barrel4barrel

if you’re young there’s like next to no point in heavily dividend investing. I’m not saying write it off completely but it’s kinda tarded imo. Divs are for when you have already amassed a fat cash pile and need to bump your risk down. I guess everyone has their own tolerance to risk but given that you’re a few decades to retirement, why not leverage that? If you’re young and you’ve got 2k I would be putting that into something that can actually grow meaningfully. QQQ pretty easy but if I was you I’d honestly do enough DD to pick 1-3 single stocks you feel confident on. Just don’t see 2k going a long way for div investing even with DRIP, can prob use capital in much more efficient way for now

greenpride32

QQQI sells covered calls to generate distributions. It's very different than a company which pays dividends from profits. What is a covered call? It means you own the underlying stock (it's "covered"), or in this case the QQQ ETF, and then you sell a buyer the rights to future gains, in return for upfront cash today, the options premium. Your options premium is set at current market value, but future gains have limitless potential - or in other words, you might collect a $1 today and that's it, but the buyer of your option has potential to gain $2, $5, $10, $20. Why this is important is QQQI has limited upside gains, but has no downside protection. When QQQ goes down by 10%, your QQQI NAV goes down by 10%. But when QQQ goes up 10%, QQQI will just get a small fraction of that (in theory if QQQ goes up very slowly and below call strike price, QQQI could capture all upsdie - but odds of this happening long term is about zero). I'm not going to lookup exact numbers, but from my memory, QQQ was up about 25% in 2024 and about 20% in 2025. QQQI debuted in FEB 2024, so not quite the full stretch of 2024-2025. However, QQQI NAV only gained about 5% during that near 2 year stretch. Why such different results? Because all the upside gains were sold off in return for the immediate options premium. But if you calculate out the distributions, and even better DRIP it, it doesn't look so bad for QQQI compared to QQQ in total return. Let's look back to QQQ gains - 25% and 20%. Those are both over the historical average yearly return for QQQ. So what happens when QQQ has more muted years, or even worse, negative ones? QQQI will surely lose NAV. It looks "great" today because QQQ had 2 overperformant years. It won't look so great when it has 2 underperforming years. When QQQI loses NAV, it means the amount of underlying QQQ it holds is going to be less (this is very different than holding QQQ and riding out the ups and downs - you're losing cash to buy the equity rather than just owning the equity). Holding less underlying means your options premium and distribution amounts will be a smaller nominal amount, despite the yield likely remaining in the same high band of 13-14%. VOO is considered safe because you own shares in companies that have trended up over time. When the shares increase in value, you own every single cent of those gains. Let's say hypothetically VOO goes from $500 to $300 and the back to $750; the entire recovery is yours. QQQI is considered risky because it has no downside protection, yet the upside/recovery is capped. So you're banking on the options premium outweighting the "losses" or "missing chunks" of recovery increment that you sold off. In the short term, it seems reasonable. But as you stretch out the timeline well odds are you're going to lose a sliver here and a sliver there. If 25% and 20% underlying (which compounds to 50%) only gets you 5% NAV gain, I think it's fair to say long term NAV is flat or negative and nominal distributions have little chance to grow over time, and more likely declining. Disclosure: I own both VOO and QQQI. My QQQI is meant strictly for income. I view it as always better than HYSA return, even in the long run, and I need/want the income today. If you don't want income today, and want growth no way do I suggest QQQI. Fun fact - SCHD yields 3.5-4%. Over past 10 years, it has roughly gone from $12 to over $30 and distributions went from $0.40/share to over $1/share. That puts the returns for each at over 150%. It also means your yield on cost is over 8%. If time is on your side, SCHD will beat (crush really) QQQI in the long run with both capital appreication and yield on cost.

2Loves2loves

Slowly, with compounding over decades. buy high quality equity stocks and hold them. look at DRIP's & dividend aristocrats [kiplinger.com](http://kiplinger.com) is pretty good.

roastshadow

Hello. It seems that a definition is needed: Withholding and taxes: Regardless of whether tax is withheld from dividends, you must pay the taxes. DRIP might have withholding, might not. Still you have to pay the taxes. All brokers have standards for when withholding is required, suggested, default, or can be avoided with dividends or gains. But, you still have to pay taxes. So, if you have stock, do DRIP, and no withholding, yes, the full dividend is reinvested, and you pay the tax from somewhere else. Back to transfers - if it is stock, then consider selling from one account, and then buying in the other instead of transferring. You'll pay capital gains - possibly long term cap gain rate - and then reset your basis. As long as you have a gain, then there is no wash sale issue either. Double check on the transfer fees. With that high of a fee, you must have a whole lot of stock. IBKR lists ACATS transfers as "no fee", so it would be whereever you have the stocks now charging a fee. [https://www.interactivebrokers.com/en/pricing/other-fees.php](https://www.interactivebrokers.com/en/pricing/other-fees.php) Sofi is $100 ACATS fee to transfer out [https://support.sofi.com/hc/en-us/articles/360044740731-Is-there-a-charge-for-an-ACAT-transfer-Does-SoFi-reimburse-other-fees](https://support.sofi.com/hc/en-us/articles/360044740731-Is-there-a-charge-for-an-ACAT-transfer-Does-SoFi-reimburse-other-fees)

Itchy_Document_5843

I suppose you're in HK? Anyway, regardless of which broker you use, the taxes are still the same. There's no way around them. All brokers deduct the taxes automatically. Also, I'm surprised that any broker doesn't offer DRIP. Lastly, talk to your new broker and see if they would cover the transfer fees. They might if the transfer is big enough. Otherwise, why not sell all shares, withdraw to your bank account, and then fund your new brokerage to avoid the transfer fees?

Itchy_Document_5843

I suppose you're in HK? Anyway, regardless of which broker you use, the taxes are still the same. There's no way around them. All brokers deduct the taxes automatically. Also, I'm surprised that any broker doesn't offer DRIP. Lastly, talk to your new broker would cover the transfer fees. They might if the transfer is big enough.

Proper-Travel-1089

With Sofi, each dividend faces a 30% withholding tax. IBKR offers DRIP; dividends are not withdrawn but reinvested, which helps reduce that unnecessary loss of money. Most importantly, they don't provide NON-US Stocks, so in the long run, I would be affected by estate or inheritance tax if the total assets exceed 60K.

nth_derivative

100 shared of $DRIP bought on Apr-14-2026.

OhtaniStanMan

DRIP is always a big portion of my portfolio  Always easy money longterm

NecessaryOk6148

Yo Bros! Buy DRIP Good entry spot. Then hold

Heavenisaplace176

$DRIP

MzSassy2U

Keep what you have, let the dividends DRIP and put all new money into the World ETF.

Stonesfan03

You could buy some shares on margin, say 10 or 20 shares. Then wait 30 days, and sell some of your higher cost basis shares and lock in a tax loss and lower your average basis. Or even best case scenario, the stock skyrockets in the next month and you can sell your higher basis shares for a gain and keep your lower basis shares. Just make sure you have DRIP turned off in case you sell for a loss so you can avoid a wash sale.

NecessaryOk6148

Anyone else shorting oil? DRIP

nivek_123k

have a plan to invest in broad market ETFs with a low expense ratio. set a schedule; monthly, quarterly, semi-annually and STICK TO IT. DCA/DRIP is the only investing superpower that most retail investors can obtain.. in times of panic maybe add a few more shares in drastic selloffs. maybe cut back investing when the market is panic buying near ATHs.

HeftyTNVols

If it’s a ceasefire u Best Buy DRIP

NecessaryOk6148

My DRIP oil short is doing nice. Just gonna stay in until tonight

SwingTradeMasters

You stated investing, so if it's a dividend paying company simply enroll in the DRIP & enjoy. Also understanding that the opportunities are abundant and the Market isn't leaving within our lifetime helps

trsx5

OILD / DRIP if you want some leverage against the oil trade. NFA

HeftyTNVols

Guys! Maybe make up your losses by buying DRIP Double oil short etf

Lingweenie2

Well yes buy the fear and sell the greed. (If you’re going to sell at all.) But overall, investing is more about the accumulation of wealth over time. Not exactly buying this and selling that when times are “good” or “bad.” People need to buy and hold, DCA, DRIP, and repeat over the course of years. And that’s about it. You have no idea how good or bad things can get. Getting in and out has been a fairly bad strategy overall. Buy during the good the bad and the ugly. Don’t think about it, don’t touch it, just let it automatically do its thing over time. I personally only sell for one of two reasons; Either I’m using margin at the time and I need to reduce debt. (Which can be risky if you’re inexperienced or get too crazy over leveraged .) Or I’m deliberately tax loss harvesting to reduce taxation. I always have auto buys each week regardless of what’s going on. The frequency and amounts don’t matter. It’s whatever you can afford to do and personal preference. Anyone needs to do this all of the time. Along with DRIPing dividends. Usually in markets like this is when I’ll do addition buying though. I’ll hike my weekly DCA in what I own. And I’ll manually buy incrementally when fear becomes strong and the market grows increasingly weak.

Unemployable1593

waitaminute… how is DRIP up like 4%

cdude

I'd get rid of SCHD and JEPI. Did you watch a tiktok influencer mention the terms DRIP, cash flow, or passive income?

Incorgnitos

Do both. It's not about one or the other but your risk tolerance and whether or not you think long term, accumulation of an ETF or specific dividend equity like Coke will be better on the back end with DRIP + return growth.

Ok-Improvement-3670

What is the allegation? This is a very vague statement regarding the DRIP.

bullmarket2023

If the market trades sideways, great time to write options and collect a premium or invest in dividend paying stocks and DRIP. Or maybe rebalance and look for value in other markets like real estate. Maybe your miserable life will remain stagnant but certainly not mine. You're welcome on the free advice.

angelcoal

You sound like me. Been trading about 20 years, then got "serious" in January of '25 when I was let go. Was fortunate enough to have a decent severance payout and quite a bit of company options to start with. I have a "safety net" of dividend paying stocks currently on DRIP that would probably be enought to modestly live on if I stopped the DRIP. Sell options (call and put spreads depending on market) on SPX and NDX most days (tax advanatages of 1256 contracts). Also sell weekly/monthly options on "over-hyped WSB" tickers. Round it out with CSPs on beaten down stocks that I would like to owns, and some covered calls on some of the shares I own. Only been 15 months of full time, but so far so good.

Jumpy_Nose863

Why would you sell now?? They are one of the biggest beneficiaries of all this stuff going on. They pay a nice yield, are shareholder friendly, buybacks etc. Most importantly the current oil prices are being held down based on reserves and so forth. The best is yet to come. I'm not sure how many shares you have and cost basis, but I'd see no reason to let go of this gold mine at this point. Enjoy your rewards for being positioned in probably the best shareholder friendly Oil company on the planet my guy. I'm not saying you should continue to DRIP at these prices, but the true fallout of all that has been done isn't even close to showing where we could go with XOM as a whole. Whats your YOC at this point? Is this holding in a tax deferred acct, roth, or brokerage?? Either way, congrats on your nice play...

Electronic_Bee3134

Fair enough, if I didn't have fractional shares enabled, then that would be a very different case. It's surprising though that there are still brokers that don't offer fractional shares on US equities. I have IBKR and Ally Invest, though the latter just acts as an augmented savings account for my Ally account (all in SGOV). Interactive Brokers offers fractional shares. Ally doesn't, so for Ally I specifically do have DRIP on to maximize my SGOV holdings.

bam2350

I like DRIP on -- my broker doesn't do fractional shares so I find it advantageous, particularly for things with high share prices such as VOO

A_Crafty_Platypus

I'm a 35M, and my total Vanguard overall investment portfolio currently sits quite equity-heavy with 76% in VTSAX, 17% in VTIAX, both in my taxable brokerage, and the remaining 7% in my 401K, invested in C975 Fidelity 500 Index Fund. This leaves me 100% in equities, with the US performance skewing my initial 70-30 approach I set a few years ago. I've currently turned off DRIP in my account, and am planning on using dividend dispersal from my accounts to fund slow diversification into VTAPX and possibly VBTLX with the intent to protect purchasing power, reduce early-retirement failure risk, and provide flexibility during market downturns. Does this sound like a good plan moving forward?

Snoo_67548

Just tell her you’re holding and will get it back. Any DRIP going on here? It will keep buying for you at the lower price.

Any_Jicama5208

Just holding FSKAX there already isn't the issue. Wash sale risk comes from a new buy or DRIP inside the window, not old shares just sitting there. I'd still turn off IRA auto-invest/DRIP if you want zero footguns.

markprice211

This is the main reason for my concern. I know reinvested dividends and, of course, forgotten auto-buys can trigger a wash - and recently discovered that if you trigger wash from TLH an asset in a taxable account and buying it in an IRA too soon you lose the ability to ever realize the loss, big yikes. Aside from the known concerns - DRIP & auto-buys - is there anything else I might be missing in terms of the small execution details you mentioned? Thanks!

Creative_Squash_1083

I'd just drip man. I do a very similar strategy as you, rebalancing as I inject capital every pay period. You're realistically just adding a lot of overhead and mental weight to the notion of more appropriately investing what amounts to cents in the long run. If you're getting dividends from things you don't believe in and wouldn't care to own more of, I think that might be a more pressing thing to think about. DRIP is what turns a handful of shares into several handfuls of shares.

pmotiveforce

I keep trying to time the bottom on oil and do a DRIP play, but chickening out. Today I said fuck it riding GUSH to valhalla, this retard has no idea what's going on and has no control over anything but bombing shit.

AskMeAboutETFs

DRIP on makes things simpler and keeps your money working immediately. DRIP off gives you more control to buy underweight funds instead of automatically adding to whatever paid the dividend. Since you’re already putting new money toward underweights monthly, leaving DRIP off fits your current style and helps you rebalance without selling. One thing to keep in mind is that in a taxable account, turning DRIP off might create more small tax lots to track, but that’s manageable. Either way, it’s more about what keeps you consistent than a right or wrong answer.

markprice211

Totally makes sense. I’m mostly on top of DRIP and auto-buys too. Just to confirm though, even if I accidentally trigger a wash sale by buying a share too early, I can wait 30+ days to sell that share and the original loss will then become allowable, correct?

Any_Jicama5208

Those swap pairs are the least scary part here. I'd worry more about stray DRIP / auto-buys in any taxable account, and about estimated-tax safe harbor, than about VTI -> FSKAX or VXUS -> FTIHX.

mahend72

This is the "snowball" that everyone talks about, but the magic really is in the *automatic* nature of it. I think a lot of beginners (myself included) see a dividend as "free cash" to spend, not as fuel for the engine. When u turn on DRIP and just let it run for long time, u stop thinking of it as income and start seeing it as the accelerator pedal for your share count. Thanks for the reminder.

Phlawless_Phallus

1. Then there’s no significant difference between them. I suppose you could argue DRIP is slightly more optimal since it will keep you fully invested pretty much all the time, but that’s a tiny difference. 2. Yes. Though you can (arguably should) be tax loss harvesting either way

angelcoal

Full time for a bit more than a year now---part time for about 15 years. Moatly selling spreads on SPX and NDX daily. Also have a good sized portfolio of didvidend paying stocks on DRIP currently as my safety net. Biggest challenge lately is Trump tweeting something......my three largest losses (by far) are all due to his truth social messages.

pmotiveforce

Hmm.. brought some DRIP shares. Gonna sell covered calls on them, pretty cheap decent return, should be low risk.

mike_alpha22

Honestly, your system already works DRIP off just gives you more flexibility when you rebalance each month.

The-Dividend-Bible

Difficult to say... I think I'd wait for a decent timing, sell 50% of that and use the 50% to DRIP on ETFs

Electronic_Bee3134

Is there any theoretical financial/economic/mathematical reason to keep buying the same amounts (not what I'm doing), do DRIP, and then every quarter sell and buy to rebalance? Forgetting for a moment convenience and conviction. Like allowing momentum to take its course for a bit? Or is it purely a convenience factor (allowing people to just automate and only check every few months)?

lgbgb9

DRIP off is the smarter play here. You're already doing the work manually, so let the dividends pull double duty as your rebalancing lever.

Kaymish_

I only do DRIP if it comes with a discount. Otherwise it goes in the same pot as all my other money and gets spent or invested as by budget dictates.

Prachishrama78

I’d probably keep DRIP off in your case. Since you’re already using new money + dividends to fix underweights, it gives you more control over your allocation. DRIP is great for simplicity, but it can push more money into already overweight positions. Your current monthly rebalance approach sounds solid and disciplined

IllllIIlIllIllllIlll

How you're doing it is fine. DRIP is nice for convenience because it's all automated and you don't have to think about it. But if you're diligent about reinvesting it manually monthly, nothing wrong with that. It's also perfectly fine to maintain balance how you are doing it, buying what's underweighted each month and doing a yearly rebalance only if needed.

throwaday24

Yeah robinhood looks good and is really easy to use for beginners but it lacks several key features that make it hard to take seriously as a brokerage for investors or traders. No money market settlement fund and their high yield cash sweep program has only very recently started counting cash held as options collateral in your account. And the comission free trading isn't so free. Payment for order flow is a very real thing that impacts the options market the most. I've used Robinhood and Fidelity to trade options and I've noticed the fills I get on Fidelity are mostly better than Robinhood. Often more than enough to offset Fidelity's fees. And you still cant own mutual funds on Robinhood but they started advertising short selling to retail investors. Im glad Robinhood exists because it helped me and many others get into investing. But in my opinion, if you want to do anything besides DRIP VOO and chill you should get out of Robinhood

Elegant-Display-5228

Sorry you’re dealing with that. In a situation like this, I’d usually try to work the paper trail from multiple directions: \- old tax returns / dividend statements \- unclaimed property databases in every state he may have lived in \- transfer agents / DRIP records \- old brokers or banks \- probate records if any were filed Sometimes the fastest progress comes from identifying even one old account number, statement, or dividend issuer and then working outward from there.

bigboyvapesinc

\- 50% VOO, 25% VXUS, 10% BND, and 15% individual stocks you research that you might like/believe in. \- Set up auto buy so you buy VOO, VXUS, BND, etc monthly to dollar cost average and build your porfolio. \- Make sure DRIP is on (dividend reinvestment plan) so when your ETFs pay you 4x a year, you buy more of the stock using the dividend. I recommend using Fidelity or Charles Schwab as your platform. \- Finally, leave it all alone and never sell until its time for retirement or to rebalance your porfolio. Profit. And one last tip, don't ever fuck with options, ever.

HeckleHelix

No more trading for you. This will suck ass, but you can still claw your way out: Work, invest 75% in $VOO & 25% in $VPU, set both to DRIP & don't look at it or jack with it (hopefully your name isn't Jack). Learn Lean methodologies & live Lean. Come back to r/WSB & post a screenshot when your account hits $100k. Long & tedious, but do-able.

Plenty-Bill7296

As with all things in investing, that's only true sometimes. In particular, saying "high-yield dividend stocks with dividend reinvestment plans(DRIP) generate significantly superior compound returns compared to gold and silver" would be wildly inaccurate for the past 3 years. Just to pick a random ETF focused on high dividend income, HYBL is a quality fund and over the past 3 years, with dividends reinvested, you would have earned 25.3%. On the other hand, if you had bought GLDM, you would have earned 127%.

Purple_Piccolo_4258

Tax efficient is spot-on. Many are missing how much time this gives you to reinvest the monthly dividends into a sizable, income generating machine before taxes are due. At that point, just setting aside a month of distribution per year will aid in paying those taxes. It has seriously been working for me for about a year and a half. The key is staying consistent with the monthly buys (for me is $2000 a month), DRIP, and dont look back. In 6 years or so, Ill begin owing taxes but could be generating 70k a year in income. Other covered call ETFs will have you paying taxes yearly.

DSS111111

I beat the S&P for 15 years. My portfolio was 50% VOO and 25% COST, 15% AAPL, and 10% AMZN. I held all of these positions with a DRIP with out selling for 15 years…

Desperate-Move8067

Within a 3-year investment horizoz, high-yield dividend stocks with dividend reinvestment plans(DRIP) generate significantly superior compound returns compared to gold and silver. Gold functions as a long-term inflation hedge, rather than a suitable asset for 3-year capital sppreciation. we recommend investin in high-quality Dividend Aristocrat stocks.

johnny63137

DRIP lets gooooooooo !!!!!!

johnny63137

buying more DRIP

Hour_Writing_9805

No state or local taxes. Our taxable income is just below $300k, so we get 15% on the full amount (minus DRIP). This how I understand it.

johnny63137

DRIP - will it drip some more?

Unemployable1593

might trim some more UVIX and roll it into DRIP 🤔

GaylrdFocker

Buy high, sell low. Ya, that's a great plan. You lost nothing till you sell. Just stop looking at it. Also you will get dividends and if you are DRIP you can lower your average cost basis. Check back the year you actually need the money.

johnny63137

what you think DRIP can go to after trump says its over?

Consistent_Rule101

I am in dilemma too and I have 50k(because of DRIP) shares bought longtime ago around 5.00 Been collecting dividends. If I need to raise cash to buy something that doubles my investment, then i will sell few but not all. I like that production increased which would increase revenues and dividends(even at 75.00 oil price).

johnny63137

buy DRIP and SCO and watch $$$

johnny63137

buy DRIP

Three_of_a_kind3515

Have been buying F shares in a DRIP fund for my kids for 7 years.. the dividends are good.. about 4 percent.. yearly.. has grown shares count quite quickly… my kids each get about 600 bucks this year in dividends. But we reinvested it back in..

old_Spivey

DRIP

sea4miles_

I have actively avoided dividend heavy strategies throughout my 20s and 30s and will continue to do so. Most dividend focused investments aren't beating the market even with a DRIP approach and non qualified dividends are taxed at ordinary income which erodes gains. Appreciation isn't taxed. Dividend investing at a young age might "feel" good, but doesn't seem like a mathematically sound choice if you are earning income and in the accumulation phase of your life.

Unemployable1593

I’ve started to DCA into DRIP

Guilty-Deer-2147

Just full ported to being bearish on oil with DRIP/SCO. How retarded is this play?

Sean_VasDeferens

I'm going to try to help. After 25 years, and now gliding into retirement so needing to be conservative I finally have enough cash, mainly from not the markets, to be uber conservative. I now employ a slow and steady highly diversified multi-income approach with a goal of 15-25% annual returns. I wheel only non-tech blue chip stocks. Each target has an annualized ROI of 10%, closing early increases the return and is viewed as a gift from the Wall Street gods. The wheeling is backed by cash sitting in laddered 90 day UST's returning 3.6%. So right there I'm getting 13.6%! 30% of my funds are in JEPQ ad PEO using DRIP. That's giving me 10% compounding. Then for daily fun I have short term SPX Iron Condor strategies that are very conservative and work for me. I only swing at the easy pitches here. This is what I view as fun money and when added to the above it gets me to an annual return after taxes that gives me a consistent net after tax return of 15-20% each year. For me an annual return of 18.3% is 15% after taxes. Take $100K with 15% after tax return, that will double every five years and grow to $1m after 16.5 years. Now add to that other income generators like buying and fixing up real estate on the weekends and having a good 9-5 job with an employer match on the 401(k) and you to can retire in your early fifties. Added to the above is that I was raised to live like a peasant. This Sunday I'll be replacing the brakes on my truck for $175, it should take two hours. A garage would want $900 for the same work. Take this one act of peasantry and multiply it over the course of every day of your life and you'll save easily $1mil of your after tax dollars, and you know that when shit gets done it gets done correctly and not by some high school drop out.

LongevitySpinach

Thesis: Internal combustion engine sales peaked in 2017, those vehicles are starting to age out of the fleet, so basically fewer ICE engines on the road every year from here to forever. There will be ups and downs, but overall the direction is all but certain. China vehicle sales are over 60% EV, Europe just passed 50%. Much of the developing world are buying cheap chinese EV's. The world will be at 50% EV market share soon, and current oil price spike will only accelerate that. Trucking is now electrifying. The real violence is what happens when financial markets really start to price in the stranded assets of oil producers that will never be produced. Yes, I know jet fuel, plastics and a thousand non-vehicular uses for oil exist. I'm just saying that global demand will decline, slowly at first and then faster. Strategy: I'm still working on the trade. Open to ideas. Recently started a tiny position in DRIP, might just DCA into more of that. Another approach would be Poor Man's Covered Put (diagonal buy long LEAPS put and sell weekly or monthly short puts to reduce cost basis of the long put. Ticker selection further complicated by the fact I am bullish on natgas due to insatiable electricity demand from datacenters and EV's. I like to have some short exposure generally speaking to hedge my overall long portfolio. Oil will go down if we have an economic collapse - which could ironically be caused by oil being high.

Bravadette

What did he say? Opened a short as soon as I gave someone here the DRIP ticker lol

Bravadette

DRIP?

Embarrassed-Dig-6985

Makes sense to switch strategies as your portfolio grows. I'm still in the DRIP phase since my regular contributions can handle most rebalancing, but I can see how manually directing dividends gives you way more control over allocation when the numbers get bigger.

Jumpy_Nose863

I've held Couche Tard since early 2001 when I was 21 years old, only because my neighbor worked for the company and told me they were going to be expanding all over the globe etc. BTW Couche Tard in the USA is OTC ANCTF. They own all the Circle Ks globally. Anyways I used $3500 out of a good sized poker tournament I won back then and forgot about that stock I had bought back then, luckily she helped me setup the acct and manage it for me. It's now valued at 926k and the dividends are very large now. I just last month turned the DRIP off and had it moved to my other investment account. I've been buying and selling the company in my roth ira recently as well just because I know first hand what a compounding machine this company is. Id highly recommend this stock to anyone, especially going forward they have retired a huge amount of shares and keep raising the dividend. It's recession proof as people always need gas and beer, with an excellent management team. Best decision I ever made was to dump 3500 into the convience stores my neighbor was a director at.

basementdweller263

DRIP is fine for set and forget. If you care about allocations, use dividends to buy whatever is underweight. In taxable, I usually only bother when the dividends are big enough to matter.

ImmodestPolitician

I vary drip vs rebalancing on each individual company. If I think a company is still a buy I DRIP.

stickman07738

I have beeen investing in HON since the mid 1990 via their DRIP program. Only sold once during Covid to redo kitchen. Still holding and waiting for the spin-offs.

casualvisitor21

Both are fine. DRIP keeps things simple and compounding, while using dividends to rebalance can help keep your allocation in check. Most people just DRIP and rebalance with new money. Either way the key is staying invested 😅📈

Upset-Kaleidoscope45

My idea that I suggested to Schwab: a feature that turns DRIP on/off for a particular equity or fund when the P/E goes above/below your set ratio.

LikeAgaveF

Dividends, and especially DRIP, don’t pay for lifestyle.

taplar

DRIP just keeps you invested and not having money on the sidelines. Other than than, buying at the lower price isn't adding value. It's just a tax consideration.

LikeAgaveF

I used DRIP when my investment amounts were small enough that I could rebalance with my regular contributions. The amounts are high enough now that rebalancing requires more than my contributions so I stopped DRIP and manually rebalance with every dividend.

yesemel

Sure good point on the wash sale if buying it again within the 61-day wash sale window, but I’m thinking more of a sale outside of this window. It seems like you could take the dividend that offsets the capital loss and simultaneously tax harvest the loss, if outside the wash sale window. Unless I’m mistaken, this actually seems like the preferable exit if one had bought it high in the monthly cycle. DRIP would need to be disabled though.

Dry-Preparation2983

I just bought 1k of DRIP when oil hit like 84 ish

Joecalledher

Where I'm from that's called a DRIP