Some general points about investing & the reinvestment of dividends with respect to the model you use (nothing to do with Perl).

  • stock prices are not constant, it might be $100 right now but how about 3 years from now?
  • dividend is not constant, typically you would like to see dividend go up over time:)
  • reinvestment of dividend... "cash is king!" Personally I don't reinvest dividends (in the same stock) unless I get something extra out of it, like a DRIP but only when it offers me some additional advantage. I would like to decide for myself at what price I buy a stock!
  • CountZero raises an interesting point, some brokers allow you to buy fractions of shares, not just mutual funds but of specific stocks as well.

    • So I suggest to complicate things:)

  • Model the volatility of the stock and the (slight) increase of dividends over time.
  • Maybe factor in the buying of fractions of stocks?
  • A bare number some years from now doesn't mean anything, if you want a more meaningful number you will have to take into account costs (your broker), taxes (sigh) and inflation.

    • Cheers,

    Harry

    In reply to Re: dividend with recursive routine by dHarry
    in thread dividend with recursive routine by derpp

    Title:
    Use:  <p> text here (a paragraph) </p>
    and:  <code> code here </code>
    to format your post, it's "PerlMonks-approved HTML":


  • Posts are HTML formatted. Put <p> </p> tags around your paragraphs. Put <code> </code> tags around your code and data!
  • Titles consisting of a single word are discouraged, and in most cases are disallowed outright.
  • Read Where should I post X? if you're not absolutely sure you're posting in the right place.
  • Please read these before you post! —
  • Posts may use any of the Perl Monks Approved HTML tags:
    a, abbr, b, big, blockquote, br, caption, center, col, colgroup, dd, del, details, div, dl, dt, em, font, h1, h2, h3, h4, h5, h6, hr, i, ins, li, ol, p, pre, readmore, small, span, spoiler, strike, strong, sub, summary, sup, table, tbody, td, tfoot, th, thead, tr, tt, u, ul, wbr
  • You may need to use entities for some characters, as follows. (Exception: Within code tags, you can put the characters literally.)
            For:     Use:
    & &amp;
    < &lt;
    > &gt;
    [ &#91;
    ] &#93;
  • Link using PerlMonks shortcuts! What shortcuts can I use for linking?
  • See Writeup Formatting Tips and other pages linked from there for more info.