Tech Growth And Dividends Together Aren’t Impossible Anymore – Technology Dividend Index Fund Is How You Get Both

This week, I showed you that tech is one of the very best places to find great dividends. Here ‘s the thing; These are not your traditional dividend payers from years gone by. They’re an example of a new trend that we’re seeing in action right now. I still firmly believe that the road to wealth is paid with tech.

Not with staid dividend stocks, but with bona fide growth leaders. See, even ten years ago tech darlings put all their money into growing faster, leaving nothing to pay a dividend with. Today’s tech world looks very different. It’s all because of the digital economy. This new dynamic has created earnings giants that make so much cash, they can easily invest in the next round of growth – and still pay a nice dividend to shareholders.

You may recall that in my last article, I showed you three tech stocks that offered appreciation and yield. Today, I want to follow up with the flip side of this investing coin. It’s a way to cash in on all the great tech dividend players in one fell swoop.

The New Search for Dividends

With unemployment now down to 7.9% from its COVID-19 high of 14.7% in April, the economy is clearly recovering. But the pace at which unemployment is falling has stalled. You can see that in this chart from the Federal Reserve:

The current jobless rate is clearly much too high for the Fed’s liking, and the rate of employment growth is too slow, as well. That’s why the central bank has already said it will keep interest rates at their current rock-bottom levels for at least the next two years. No wonder investors are scrambling for a good, reliable source of yield.

Low interest rates mean that bank accounts, bonds, certificates of deposit, and most traditional dividend stocks are all paying scraps, at best. That’s where tech comes in. Now that the big tech leaders have “grown up,” so to speak, many of them have begun rewarding shareholders with handsome dividends while still investing billions into creating the next round of growth.

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