Select Dividend ETFs

[laila]

Am looking at investing 80% (80,000) of my capital in ishares dividend based ETF's across the board - DJ Euro Stoxx, US, Asia Pacific and UK. I would like to have some income at the same time as investing in equities. I know that potentially dividend shares might not grow at the same rate as non dividend shares but the dividend combined with a slower growth rate might work out much the same and a way of living for today and tomorrow! Would really welcome any opinions on this as a long term strategy. Many thanks.

 

[mlane51]

A really intresting idea and worth considering

 

[Labguy]

Have you looked at this in detail ? What is the tax situation on dividends paid from US, Asian, etc. ETFs ?

This might be important for your nett returns.

 

[Janman07]

Am looking at investing 80% (80,000) of my capital in ishares dividend based ETF's across the board - DJ Euro Stoxx, US, Asia Pacific and UK. I would like to have some income at the same time as investing in equities. I know that potentially dividend shares might not grow at the same rate as non dividend shares but the dividend combined with a slower growth rate might work out much the same and a way of living for today and tomorrow! Would really welcome any opinions on this as a long term strategy. Many thanks.

I quite like the strategy above at the moment as a) the euro is so strong at the moment b) share prices are depressed c) some strong companies are paying very high dividends. I would look at it as a medium term strategy though (5 years-ish) as when markets do recover to more "normal levels", conservative, dividend paying companies are probably not the optimum solution for long term growth from there. As always, the right solution for you depends on your individual circumstances and you should seek proper financial advice etc.