How to Build a Dividend Portfolio?

Why Build a Dividend Portfolio?

– A well-structured dividend portfolio provides regular income.
– Helps in long-term wealth accumulation through compounding.

Steps to Create a Strong Dividend Portfolio

1. Identify reliable dividend stocks (strong history, low debt).
2. Diversify across sectors to reduce risk.

Key Factors to Consider

Dividend Yield – 2-6% is optimal for sustainable growth.
Payout Ratio – 30-60% ensures dividends won’t be cut.

Common Mistakes to Avoid

Chasing high yields – High yields may indicate financial instability.
Ignoring diversification – Invest across industries to minimize risk.

Investment Insights

– Look for Companies Expanding Fiber Networks: Telecoms with a strong broadband presence will see sustained growth.
Monitor Subscriber Growth & ARPU: Higher broadband adoption leads to steady revenue