tag:blogger.com,1999:blog-3584696203336871201.post2552631905111992524..comments2014-09-15T23:03:05.358-07:00Comments on Dividend Growth Investor: S&P 8000 – The power of reinvested dividends in actionDhttp://www.blogger.com/profile/11197290990687067072noreply@blogger.comBlogger2125tag:blogger.com,1999:blog-3584696203336871201.post-35947543928262247742013-07-18T04:35:17.020-07:002013-07-18T04:35:17.020-07:00Your NYU data set differs from my data set:
http:...Your NYU data set differs from my data set:<br /><br />http://www.econ.yale.edu/~shiller/data/chapt26.xls<br /><br />How do you reinvest dividends? You start with one unit of S&P 500 in 12/31/1956. You collect $1.79 worth of dividends, and convert them into ~0.04476 units of S&P 500 at the end of 1957, at 39.99. You now have 1.04476 units of S&P 500 @ market price of 39.99 at 12/31/1957 = 41.78. <br /><br />In 1958 you receive $1.75 in divs on 1.04476 units, which you then reinvest at the price on 12/31/1958. Etc, etc. This is how dividend reinvestment typically works, given the set of data constraints I have.Dividend Growth Investorhttp://www.dividendgrowthinvestor.com/noreply@blogger.comtag:blogger.com,1999:blog-3584696203336871201.post-53466371017775548672013-07-17T17:14:18.173-07:002013-07-17T17:14:18.173-07:00Hello, Would you explain how you calculated divide...Hello, Would you explain how you calculated dividend reinvestment (with two years as an example perhaps or just the formula)? I was unable to follow what you did. Also, I noticed that your S&P 500 dividends data differs from the NYU data (http://pages.stern.nyu.edu/~adamodar/New_Home_Page/datafile/spearn.htm). How come? idansolonhttp://www.blogger.com/profile/07596601011664632535noreply@blogger.com