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InvestED: The Rule #1 Investing Podcast

26- Reducing Basis With Dividends

InvestED: The Rule #1 Investing Podcast

Phil Town & Danielle Town

Business, Investing

4.61.6K Ratings

🗓️ 6 October 2015

⏱️ 30 minutes

🧾️ Download transcript

Summary

How cool would it be to have a stock portfolio that pays more every year through dividends? Learn one of the few ways to take your money off of the table by buying companies that produce dividends. For show notes and more information visit www.investedpodcast.com Learn more about your ad choices. Visit megaphone.fm/adchoices

Transcript

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0:00.0

Hey everybody this is Phil Town this is Phil Town this is Danielle Town and we're

0:07.6

here to talk about getting invested which is our clever way of saying you're going to really poor your, well no you're not,

0:16.2

you're just going to kind of look into the possibility of investing in stocks.

0:19.6

That's what we're going to do.

0:20.8

And being committed to it and learning about it and

0:23.4

focus exactly that's what being invested it's not about a lot of time it's about a

0:29.8

commitment to learn properly that's what we're doing here.

0:32.8

And we're very much following Ben Graham,

0:37.0

Warren Buffett, Charlie Munger, go look him up,

0:39.2

wicki him, David Einhorn, ManeshPabry, those are the modern versions.

0:45.0

Although Buffet still pretty modern.

0:48.0

Charlie's still kicking.

0:50.0

Where the fundamental focus is to buy as Manesh puts a free lottery ticket

0:56.4

something that has so little downside that really the only thing really left to worry about is how big an upside if there's going to be one at all.

1:05.9

And so, you know, obviously you have to know some things.

1:08.4

We've been talking about that on the podcast.

1:11.0

In order to find really good companies that are on sale. The three keywords of

1:15.6

investing according to Ben Graham who started all this and taught everybody

1:18.7

our margin of safety so we really look to understand the value of a business which we've been talking about.

1:24.4

But let's assume Daniel that we're not geniuses and we buy a company at, let's say $25 a share, and it still goes down. It goes down farther.

1:37.0

It goes to 20, and then it goes to 15 over, let's say a year's period of time.

1:42.0

This would scare most investors out of ever wanting to do

...

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