What is a dividend?
A dividend is a distribution of a company’s earnings, a divvying up. Say you own shares of Coca-Cola, and Coca-Cola makes some profit. If those shares pay dividends (not all do), you get a certain amount of the profit the company distributes to its shareholders. That amount is determined by how many shares you have. Your share of the dividends is in proportion to how many shares you own.
Dividends are almost always paid out in cash payments (occasionally additional shares of stock are issued, but it’s usually cash).
Many of the ETFs you can invest in on Stash pay dividends. These payments usually occur four times a year (at the end of every quarter).
Q. What is diversification?
Diversification means making multiple investments so your portfolio is not tied to a single asset class, industry, company, or region. When you diversify, you are ensuring that your investments are not subject to the exact same risks, and are less likely to suffer the same losses. Diversification is often described with the old adage, “Don’t…
Q. How can I invest in a specific company on Stash?
Stash now allows users to invest in both ETFs (exchange-traded funds) and individual stocks. In the app you will find a tab called “Companies” where you can view the individual stocks available. The other investments available on Stash are ETFs (exchange-traded funds), which are baskets of investments that include many companies and/or securities. So say…
we've already answered.
Now That’s What I Call an Investment! ETFs Explained
You may have heard that Exchange-Traded Funds are a great first investment. But what's an ETF? We use a helpful analogy to break it down
Saving vs. Investing: What’s the Difference?
Stay up to date on Dividends and learn something new each week.