RE: This Weeks Winner30 Jun 2024 18:28
Hi gwm121, yes using blue chip dividend shares for topping up your pension and getting appreciation sounds like a great idea on paper, but in reality they don’t always meet those expectations, I had the same plan myself as I’m drawing my state pension and about to fully retire
Getting an 8% dividend is very nice but if the share price drops by 8% what have you made ? lgen was one of my most reliable dividend shares but even that one has been disappointing lately, it was over £3 a share a few years ago now trading around £2.27
My dividend shares are lgen/aviva/mng/vod/lloy\psn,
So I’ve opted for a 50/50 split dividend shares and funds, which seem to be meeting my needs at the moment, but I always hope they will do better, one good thing with HL is there’s no charge for buying and selling funds, I have quite a lot of lgen tracker funds the reason for that is the ongoing charges are very low and they have also been performing very well over the last 5 years, so you may want to take a look on the HL website where you can compare the 5 year accumulated growth for yourself
My funds are
Fundsmith/rathbone global opportunities/fidelity index world/lgen future world//lgen global100/lgen global technology/lgen us index/hl select uk growth shares/and lgen international index (my favourite)
Maybe Vodafone will outperform them all over the next 5 years, I will be quite happy if it does
This is just my personal opinion and not advice
Best of luck whatever you choose to do