Parallel to investing in individual dividend growth stocks I also invest €100 into two mutual funds. One fund is a mixed fnds with both bonds, shares and some liquid assets. This fund automatically reinvests all the dividends and interest payments, resulting in a higher price.
The other mutual fund, Kempen Global High Dividend Fund, pays a quarterly dividend. This dividend was raised for 2017.
The quarterly dividend is raised from €0.33 to €0.35 per share. This is a dividend raise of 6.06%. The current price for the fund is €31.40, a dividend yield of 4.46%.
At the moment I own 11.5 shares of this mutual fund so this raise increases my yearly dividend with 78 cents.
However, I purchase for €50 each month and reinvest the dividend automatically.
The first payment will be in February the exact date is not set yet.