In recent years, dividend payments from corporations have become an increasingly popular option for investors keen to boost the value of their portfolios. The increasing importance of dividends has made the concept of the ordinary dividend per share (ODPS) even more important. Here's why an ordinary dividend per share should be part of any investor's investment portfolio.

The main advantage of incorporating an ordinary dividend per share into an investment portfolio is that it provides the investor with a steady source of income. By investing in stocks that pay out regular dividends, investors can receive income from the companies they invest in regardless of the direction in which the stock price goes. This can provide investors with much-needed security if the markets are volatile or the stock price is dropping.

Another positive of ODPS stocks is that they often provide more consistent returns than stocks that do not pay out dividends. Studies have shown that, on average, stocks that pay out dividends have a higher total return than those that don't. This means that investors who choose to invest in stocks that pay out regular dividends are more likely to generate better returns in the long run.

Additionally, stocks that pay out dividends can help in reducing the risk of a portfolio becoming overly weighted in one stock. If a company cuts its dividend or stops paying out dividend altogether, it won't have as great an impact on the overall portfolio. This is because the income provided from the regular dividend payments has shielded the portfolio from the turmoil that can come with a single company's dividend being cut or not paid out at all.

Finally, stocks that pay out dividends can act as a form of tax-advantaged investment. Rather than paying out in capital gains, which are subject to taxation, stocks that pay out dividends can pass on some of the tax benefits to their investors. This is beneficial for investors looking to save on taxes due on investment income.

Overall, an ordinary dividend per share can be a great investment option for any investor looking to build a strong, long-term portfolio. It provides a steady stream of income, has the potential to generate higher returns, offers a degree of protection against market volatility and serves as a tax-advantaged investment. Incorporating ODPS stocks into a portfolio can prove to be a wise choice for any savvy investor looking to get the most out of their investments.

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