(What I'm buying) Dividend Champions Vs. Achievers Vs. Aristocrats Vs. Kings
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My name is Alex and I love creating streams of passive income. My goal is to help you do the same.
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Dividend Aristocrats
Dividend Aristocrats are stocks that have raised their dividend for the past 25+ consecutive years and are also part of the S&P 500 index. That means these types of companies tend to be large in size but no longer experience massive amounts of growth like they used to. However, they are very much recession-proof (great for hedging your risky plays) and as an investor, you can enjoy growing dividends during the good and bad times.
There are currently 65 Dividend Aristocrats. Check out the full list here.
Dividend Champions
Dividend champions are stocks that have raised their dividend for the past 25+ consecutive years. Unlike dividend aristocrats, dividend champions do not need to be part of the S&P 500, increasing the number of stocks that can be apart of this list.
There are currently 141 dividend champions as of January 2022. You can check out the full list here.
Dividend Achievers
Dividend Achievers are stocks that have consecutively raised their dividends for the past 10+ years. To be included on this list, the company must be a member of the NYSE or NASDAQ and meet specific liquidity requirements.
You can check out the full list here.
Dividend Kings
And finally… CROWN THE KINGS.
Dividend Kings are stocks part of the S&P 500 that have consecutively raised their dividends for the past 50+ years. Think about how insane that is…
50 years is a long time. These companies managed to raise their dividends through recessions, inflationary periods, market crashes and wars.
There are currently 38 Dividend Kings. You can check out the full list in order from highest to lowest yielding stocks here.
Which Ones Should You Buy?
Here’s the truth, there’s no correct answer to this question. It would be smart however to own a mix of all of the above.
Dividend Achievers and Champions give you the ability to experience a bit more growth because they aren’t necessarily large-cap stocks as they do not need to be a part of the S&P 500 (500 of the largest companies in the US) and may not be a mature company like some of those operating in the financial services, the tobacco or automotive industries.
Dividend Aristocrats and the KINGS give you a longer leash during periods of high volatility (as we’re seeing now). You can be close to certain you’ll continue getting a dividend hike year over year. These companies are also holding loads of cash on hand from years of profiting off their markets. Great for the sustainability of future dividends, which is what we want.
How you decide to allocate your money is 100% up to you.
But if I were starting a dividend portfolio from scratch as someone in their mid-20s to mid-30s, I would own 1 of each and make that the core of my dividend portfolio.
I always preach “building up your core”, essentially what this means is owning 3-5 dividend stocks that make up the bulk of your dividend income and raise their dividends every single year. When your core is a collection of dividend GROWTH stocks, your passive income practically grows on itself. Easy money baby.
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Some resources to help you make more money:
Money Mastermind - the “Money Bible”. Myself and 29 other expert creators teamed up to create the most all-inclusive 280-page finance book on the market. Over 100 topics about money including real estate, crypto, budgeting, dividend stocks, online business, and more.
The Complete Investors Accelerator Pack - everything you need to build a dividend portfolio that grows on itself. Learn more about dividend investing, how to analyze dividend stocks, what to do with your dividends and how to build a stream of passive income through the stock market.
The Molina Letter - the only product that’s helped me grow my Twitter account to 30,000 followers. Fill in the blank templates you can copy to help you create viral content with minimal effort. A big following gives you the key to creating products and making money online. There’s a reason why 500 people are subscribed to this letter.
TweetHunter - let the software do the tweeting for you. The only scheduler you’ll ever need. This tool makes me money in my sleep. Give it a try for free.
Hipster Budget Guide - having trouble saving money? Learning how to budget is your solution. This book will show you ways to save money you never even thought of. Worth every penny.
My 2 Cents - my other newsletter where I voice my personal opinions on life, money, and people. Beware: I have zero filter. But it might give you a good laugh.
