The Magic of Rising Dividends

There are potential benefits to investing long-term in a company that regularly increases its dividend. The longer you hold your shares, the higher the yield you will receive on your original investment, assuming dividends increase over time. Additionally, the compounding of reinvested dividends could generate increased investment returns over time.

As an example: Investors who purchased Realty Income shares on 12/31/2008 and collect their dividends have received (as of 3/31/2019):

11.7% yield on cost (vs. an original yield of 7.3%) | 59% increase in the amount of dividend income
218% increase in the value of shares | 94% of the original investment paid back as dividend income

The Magic of Rising Dividends Over Time The Cumulative Dividend Effect
1K Shares Purchased on Original Investment Investment Value as of
3/31/19
Original Annual Dividend Income Current Annual Dividend Income (1) Original Yield Current Yield on Cost at
3/31/19
Dividends Received through
3/31/19
% of Original Investment
Paid Back in Dividends
10-18-94 $8,000 $73,560
$900 $2,712
11.3% 33.9% $38,790 485%
12-31-94 $8,563 $73,560
$900 $2,712
10.5% 31.7% $38,490 450%
12-31-95 $11,250 $73,560
$930 $2,712
8.3% 24.1% $37,578 334%
12-31-96 $11,938 $73,560
$945 $2,712
7.9% 22.7% $36,532 306%
12-31-97 $12,719 $73,560
$960 $2,712
7.5% 21.3% $35,585 280%
12-31-98 $12,438 $73,560
$1,020 $2,712
8.2% 21.8% $34,603 278%
12-31-99 $10,313 $73,560
$1,080 $2,712
10.5% 26.3% $33,560 325%
12-31-00 $12,438 $73,560
$1,110 $2,712
8.9% 21.8% $32,469 261%
12-31-01 $14,700 $73,560
$1,140 $2,712
7.8% 18.4% $31,348 213%
12-31-02 $17,500 $73,560
$1,170 $2,712
6.7% 15.5% $30,197 173%
12-31-03 $20,000 $73,560
$1,200 $2,712
6.0% 13.6% $29,015 145%
12-31-04 $25,290 $73,560
$1,320 $2,712
5.2% 10.7% $27,774 110%
12-31-05 $21,620 $73,560
$1,395 $2,712
6.5% 12.5% $26,428 122%
12-31-06 $27,700 $73,560
$1,518 $2,712
5.5% 9.8% $24,991 90%
12-31-07 $27,020 $73,560
$1,641 $2,712
6.1% 10.0% $23,430 87%
12-31-08 $23,150 $73,560
$1,701 $2,712
7.3% 11.7% $21,768 94%
12-31-09 $25,910 $73,560
$1,716 $2,712
6.6% 10.5% $20,061 77%
12-31-10 $34,200 $73,560
$1,731 $2,712
5.1% 7.9% $18,340 54%
12-31-11 $34,960 $73,560
$1,746 $2,712
5.0% 7.8% $16,603 47%
12-31-12 $40,210 $73,560
$1,821 $2,712
4.5% 6.7% $14,832 37%
12-31-13 $37,330 $73,560
$2,186 $2,712
5.9% 7.3% $12,684 34%
12-31-14 $47,710 $73,560
$2,201 $2,712
4.6% 5.7% $10,492 22%
12-31-15 $51,630 $73,560
$2,292 $2,712
4.4% 5.3% $8,221 16%
12-31-16 $57,480 $73,560
$2,430 $2,712
4.2% 4.7% $5,830 10%
12-31-17 $57,020 $73,560
$2,550 $2,712
4.5% 4.8% $3,303 6% 
12-31-18 $63,040
$73,560
$2,652 $2,712
4.2% 4.3% $672 1%
3-19-19$73,560$73,560
$2,712$2,7123.7%3.7%  

(1) Current annual dividend income based on annualized dividend per share of $2.712

$73,560
$73,560

Investors who have elected to reinvest their dividends have enjoyed the following returns over time
(as of 3/31/201):

Comparison of $100 Invested in Realty Income in 1994 vs. Major Stock Indices

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LEGAL DISCLAIMER:
Past performance is not a reliable indicator of future performance. There is risk that dividends will not always increase, that dividends will not be declared according to past history, or that dividends will be declared at all.