As you well know, TW is the central location for the world's best investors. So I have a question for you:
I've read a variety of strategies that seem hell-bent on finding quality stocks / funds that pay high dividends, but I don't really understand why I should care about the dividend. As I understand things, when a div. is paid out, the stock's price adjusts an equivalent amount to reflect the fact that the div. has been paid (nobody wants to pay the same price for the stock since they won't be getting that div.). In my mind, this means that the dividend and stock price are "a wash" and speaking in raw dollars, there is no difference in your position.
So why, then, do dividends matter to some people as a stock selection criteria?
I've read a variety of strategies that seem hell-bent on finding quality stocks / funds that pay high dividends, but I don't really understand why I should care about the dividend. As I understand things, when a div. is paid out, the stock's price adjusts an equivalent amount to reflect the fact that the div. has been paid (nobody wants to pay the same price for the stock since they won't be getting that div.). In my mind, this means that the dividend and stock price are "a wash" and speaking in raw dollars, there is no difference in your position.
So why, then, do dividends matter to some people as a stock selection criteria?