Just a few weeks ago, I have mentioned in my 2017 Updates that I have bought some units of Indofood Agri (5JS) and concentrated about one-fifth of our portfolio. Half of this amount of investment was from me, and BF decided to jump in together with me on the other half.
While we were discussing about our buy, BF asked me about the dividend yield. He uses dividend yield as a gauge to know how much “interest” he is earning from his investment. When I told him that the dividend yield was only 1.6%, he obviously had some problems accepting it because his REITs were already yielding 6-7% on average in distributions.
Of course, dividend yield is just one of the reasons why I buy a stock. The more tantalizing reason was because this business was reasonably priced.
I explained that we should be glad that Indofood Agri is giving out …