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re: Some common myths about the markets that are untrue and/or 99% do not know

Posted on 4/18/24 at 4:23 am to
Posted by CecilShortsHisPants
One Foty Fo uh uh Magnolia Screet
Member since Oct 2012
3062 posts
Posted on 4/18/24 at 4:23 am to
quote:

What does that mean? Why would I reinvest my dividends in the company? It's the exact same if they just left it in the stock and didn't pay dividend.


Its not the exact same. Your share of the company increases as you reinvest dividends.
That’s the logic…. Even though, yes, a larger share of a smaller company = a smaller share of a larger company.
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