Calculateur de Réinvestissement des Dividendes (DRIP) — Formule
## Dividend Reinvestment Plans (DRIP)
A DRIP automatically uses dividend payments to purchase additional shares, creating a compounding effect.
### How Compounding Amplifies Returns
- **Without DRIP**: Growth from price appreciation only
- **With DRIP**: Growth from price appreciation PLUS reinvested dividends buying more shares, which themselves generate more dividends
### Formula
**With DRIP = Investment x (1 + Yield + Growth)^Years**
**Without DRIP = Investment x (1 + Growth)^Years**
The difference widens dramatically over longer time periods.
A DRIP automatically uses dividend payments to purchase additional shares, creating a compounding effect.
### How Compounding Amplifies Returns
- **Without DRIP**: Growth from price appreciation only
- **With DRIP**: Growth from price appreciation PLUS reinvested dividends buying more shares, which themselves generate more dividends
### Formula
**With DRIP = Investment x (1 + Yield + Growth)^Years**
**Without DRIP = Investment x (1 + Growth)^Years**
The difference widens dramatically over longer time periods.
Exemple Résolu
$10,000 invested in a stock with 3% dividend yield and 5% price growth for 20 years.
- Total return with DRIP = 3% + 5% = 8%
- With DRIP: $10,000 x (1.08)^20 = $46,610
- Without DRIP: $10,000 x (1.05)^20 = $26,533
- DRIP advantage = $46,610 - $26,533 = $20,077
- Reinvesting dividends nearly doubled the investment outcome