Investing in companies with a history of increasing dividends is a winning strategy. The strategy works even better when the dividends are reinvested. Entire books have been written on the subject and even Standard and Poors has designed an index to track the dividend aristocrats.

A new blog by The Dividend Guy is devoted to building a portfolio of mainly dividend paying equities. There are only a few posts so far, but it is worth checking out.

A few caveats about dividend investing though: It does entail performing at least some research as opposed to passive investing using index funds (like the Sleepy Portfolio). Dividends may not always be an efficient allocation of capital as explored in an earlier post.