What is “Price Appreciation”?

Your portfolio should grow by your annual dividend payments and increases in the per share price of your holdings. Dividend payers are likely to experience slower price appreciation growth since they devote some of their profits to dividend payments. A growth stock with no dividend payments should have higher price appreciation growth. Overall, it is unlikely to experience total growth (Dividend Yield + Price Appreciation) in excess of 12-15% over a long period of time.