Sorry for the potentially dumb question but i wanted to clarify something about the SP500 dividends which i couldnt by just googling.
I read up that the historical dividend yield of SP500 is 1.3%. My question is this annual or quarterly?
To put it into numbers:
Do i get?
1000USD + 1.3% = 1013USD?
or
1000 USD + 4×1.3% = 1052 USD?
Also – if i reinvest my dividends straight back into the stock does the compounded interest get calculated every quarter or every year?
Thank you for anyone bothering to answer this!
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