Core Insights - John Bogle, founder of Vanguard Group and pioneer of index funds, emphasized the importance of earnings growth over high dividend yields in investment strategies [2][4][5] - Bogle's investment principles can be applied by investors with smaller portfolios, promoting a focus on solid companies rather than risky high-yield stocks [3][6] Investment Philosophy - Bogle advised against chasing high-yield stocks, likening them to junk bonds, and instead recommended focusing on earnings growth as a key driver of long-term wealth [4][5] - The fundamental value of stocks is likely to increase over time due to a combination of dividend yields and earnings growth, which aligns with Bogle's investment philosophy [5][6] Practical Application - Investors are encouraged to avoid risky investments and instead seek a balanced approach that includes both dividend yields and earnings growth [6][7] - American Express (NYSE: AXP) is suggested as a potential stock that aligns with Bogle's investment principles, representing a solid company with growth potential [6]
The John Bogle Method for Building a Dividend Portfolio Under $10,000
Yahoo Finance·2026-02-04 15:55