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Dividend Growth Investing Market Recap 8.13.2014

Today was a very strong day for the market. The Dow got back into the black for the year and many companies wiped away losses from the dip last week. Having said that, I do hope the market drops a bit more in the coming days.

As a dividend investor, the greatest opportunity to buy is when the market dips. The primary goal is long term portfolio growth through the reinvestment of dividends. Thus, it’s always great to buy or add to your positions when the market dips. This allows you to buy companies with consistent and steady earnings growth for a great value.

But, remember, the number one rule still remains. You must only invest in companies you believe will continue to perform well and increase their EPS and, as a result, their dividend yield. If that’s the case, a 1-2% pullback allows you to get shares cheaper and doesn’t really influence your long term evaluation of the company.

If you didn’t buy anything last week, like me, we missed a great buying opportunity. Don’t worry though, there are still great companies out there to invest in. It just requires a little bit more research. I think I may have found a great buying oppurtunity in today’s video. Take a look and let me know what you think!

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