DRIP Simulator
Multiply your wealth by reinvesting every cent. The secret of great investors.
DRIP Simulator
Final Value with DRIP
€365,747
Total Dividends Received
€271,539
Final Annual Income
€44,497
Final Yield on Cost
63.57%
What is DRIP?
DRIP (Dividend Reinvestment Plan) is a strategy where dividends paid by a company are automatically used to buy more shares of that company, instead of receiving them as cash. This accelerates compounding by increasing the asset base that will generate future dividends.
Why use a DRIP simulator?
In the short term, the difference may seem small, but over the long term (10, 20, or 30 years), dividend reinvestment often accounts for more than 40% of the stock market's total return.
How to interpret results
The dashed line represents your capital value if you took dividends as cash and spent them. The solid line shows how that same capital grows exponentially by using dividends to buy more shares, creating an ever-increasing cash flow.