Core Insights - The article discusses the debate between using dividends versus drawdowns as a retirement strategy, emphasizing that for many soon-to-be retirees, dividends are the preferred approach [1][2]. Group 1: Retirement Strategies - Many retirees are anxious about ensuring their savings last throughout retirement, leading to various strategies, including the 8% drawdown approach, which has both supporters and critics [2]. - An income-first approach with dividends shifts the focus from depleting savings to maintaining a durable income stream, promoting a more secure retirement [2]. Group 2: Capital Preservation - Traditional systematic withdrawal methods, like the 4% rule, can erode principal over time, especially during bear markets, making retirees vulnerable [3]. - Dividend investing allows retirees to generate income without selling assets, preserving capital and enabling continued compounding, which enhances long-term financial security [4][5]. Group 3: Benefits of Dividend Investing - Dividend strategies provide a consistent cash flow, reducing the need for forced selling during market downturns, which is crucial for maintaining wealth during retirement [6]. - Realty Income (O) exemplifies successful dividend investing, having increased its monthly dividend from $0.234 per share in November 2020 to $0.2695 in November 2025, showcasing the potential for income growth [6].