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The New American Hustle: Dividends Over Day Jobs

2 months ago
Young Americans are abandoning traditional retirement planning for dividend-focused ETFs that promise immediate income and freedom from traditional employment. Income-generating ETFs captured one in six dollars flowing into equity ETFs in 2025, pushing the sector to $750 billion -- with the most aggressive funds offering yields above 8% quadrupling to $160 billion over three years. The r/dividends subreddit has grown tenfold to 780,000 members over five years, while YouTube channels and Discord servers dedicated to dividend investing proliferate. YieldMax's MSTY fund, offering a 90% distribution rate through complex derivatives, has underperformed MicroStrategy stock by 120 percentage points since February 2024 when dividends are reinvested -- nearly 200 points when payouts are withdrawn. Speaking to Bloomberg, finance professor Samuel Hartzmark identified this as the "free dividends fallacy," where investors fail to recognize that dividends reduce share prices rather than creating additional wealth.

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IDC Makes Ebullient AI Spending Forecast Out To 2029

2 months ago

Ever since Nvidia reported its most recent financial results, where company co-founder and chief executive officer Jensen Huang said that there would be somewhere between $3 trillion and $4 trillion in spending on AI between now and the end of the decade, we have been on the prowl for any market research that backs up this claim or is its source. …

IDC Makes Ebullient AI Spending Forecast Out To 2029 was written by Timothy Prickett Morgan at The Next Platform.

Timothy Prickett Morgan