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Many investors buy shares by looking only at the dividend percentage, but this percentage is calculated on the face value, not on the price the investor actually pays. This makes dividend percentage misleading. To understand real income, investors should focus on Dividend Yield, which shows the actual return based on the market price.
Example 1:
Face value ₹10, dividend 100% = ₹10
Market price ₹500
Dividend yield = 2%
Example 2:
Dividend ₹5, market price ₹100
Dividend yield = 5%
Conclusion:
👉 Always check Dividend Yield, not dividend percentage, to know real dividend income. (उच्च प्रतिशत में दिखाए गए डिविडेंड से भ्रमित न हों)
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