Is investing in high dividend yield stocks better form of investment? As your principal capital is “returned” in a form of dividends in a few years and thus stock becomes free(almost)?
kindly share the pitfalls of investing in high dividend yield.
Yes, but for this you really need a very long term approach. For example Infy gives out an annual dividend of approximately Rs.60/- per year…at Rs.2200 per share it would take 36 years to recover the value of stock with a dividend yield.
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