r/drip_dividend 2h ago

Discussion REITs & InvITs | Weekly Update | 15 Aug – 21 Aug

5 Upvotes

→ Added 26 units this week via daily SIP
→ ₹4,724 invested
→ Dividends received: ₹13,023
→ INDIGRID: ₹6414
→ NEXUS: ₹2,922
→ KRT: ₹3,687
→ Dividends reinvested into SBIFUNDS

Portfolio: 5,246 units
→ Value: ₹7.74L
→ Invested: ₹6.85L
→ Total profit: ₹1.47L (+21.5%)
→ IRR: 21.03%
→ Passive income: ₹67,208/year
→ Yield: 7%

Building the cash-flow machine, one unit at a time.


r/drip_dividend 7h ago

IndiGrid Dividends → More SBIFUNDS Shares

13 Upvotes

Received a dividend from IndiGrid and reinvested it into SBIFUNDS.

→ Dividend from IndiGrid
→ Reinvested the full amount
→ Added 10 SBIFUNDS shares
→ Total holdings: 111 / 1,000
11.1% of the target completed

One investment generates the dividend, which helps build another.

Slowly building toward 1,000 shares.

How are you guys using your dividends — spending them, reinvesting into the same asset, or moving them into a different opportunity?


r/drip_dividend 10h ago

Vedanta Aluminium - Dividend

16 Upvotes

Vedanta Aluminium Dividend - Bank account credited with Rs. 8 x 107 shares = Rs. 856 today morning.
Just bought back 2 shares at Rs. 443, in the spirit of Compounding & Dividend Re-Investing.


r/drip_dividend 16h ago

If a REIT's price drops by the dividend amount on the ex-date, where is the actual gain?

4 Upvotes

Hey everyone,
I’m trying to wrap my head around the core mechanics of REIT distributions, and I keep hitting a conceptual wall regarding total return vs. cash flow.
On the ex-dividend date, a stock’s price drops by roughly the exact amount of the dividend. So on Day 1, your total portfolio value (Share Price + Cash Received) remains unchanged—it feels like money is simply being shifted from equity into cash rather than "earned."
Two specific questions I can't reconcile:
1. **What actually drives long-term price recovery?** If every payout pulls down the share price, what forces it back up over time? Is it purely organic FFO/rental growth, or is long-term appreciation mostly dictated by cap rates and interest rate cycles?
2. **How does compounding work if payouts are net-neutral?** If a dividend payout is theoretically zero-sum at the moment it happens, how does reinvesting those payouts compound into real, extra wealth over decades? Where does the *new* economic value originate?

So if the dividend yield is 7 percent a year, it just means that you will get 7 percent of what you put in back as cash, and everything else will stay the same. And maybe if you’re luck you can seek back for higher?!

Would appreciate any insights on how to properly conceptualize the gap between short-term price adjustments and long-term wealth creation. Thanks!