ECCX - Panic Selling Costs More Than A Dividend Cut - A Review Of America First Multifamily

Co-produced with Beyond Saving

Selling on a dividend cut is a knee-jerk reaction for many dividend investors. As with most knee-jerk reactions, it is almost always the wrong decision. Consider a few examples.

EPR Properties (EPR) announced they were suspending all dividends on May 6th, the stock immediately went down. Three weeks later, the price is 21% higher than it was pre-suspension and solidly beating the market.

AGNC (AGNC) announced a cut on April 8th and since then has more than doubled the performance of SPY.