Value Walk tells the story of Russ Gremel, who recently donated $2.1m of Walgreen stock to a wildlife refuge — having acquired the shares about 70 years ago for $1,000. Walgreen has kept growing over the years, and by the time Gremel parted with his shares they were generating $42,000 in annual dividend income — that’s 42 times their original cost, every year. Dividend Growth Investor tells of a similar success story — this time of Grace Groner, who turned a small, $180 investment in 1935 into $7m by the time of her death in 2010. Groner, who worked as a secretary at Abbott Laboratories for 43 years, invested $180 in three shares of Abbott Laboratories. She then simply reinvested the dividends for the next 75 years. Both stories rely on two essential ingredients: a company that keeps raising its dividends for years on end, and an investor who’s happy not to sell during this time. But the latter may be the more important of the two, as another tale from Dividend Growth Investor, that...

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