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What Is a Dividend?

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Created January 3, 2026

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Video Transcript

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What Is a Dividend? Ever get paid just for owning a stock? Ever get paid without selling your stock?

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A dividend = free cash 💸 A dividend is money a company pays you just for owning

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its stock. If you own ten shares and the company pays a one-dollar dividend,

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you get ten dollars. Straight cash. Some companies pay monthly. Some pay quarterly.

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And you don’t have to sell anything. You can spend that money, or reinvest it to

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buy more shares and grow faster. That’s how dividends build wealth over time.

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