AAII Dividend Investing

AAII Dividend Investing

Free Cash Flow Is the Lifeblood of Dividends

June 20, 2025 | Free cash flow fuels dividends and long-term returns. Discover why it's central to AAII’s Dividend Investing strategy and the FCF Aristocrats index.

Charles Rotblut's avatar
Charles Rotblut
Jun 20, 2025
∙ Paid
Share

The best-performing subset of the S&P 500 index over the past 15 years is one you have likely never heard of: the S&P 500 Quality FCF Aristocrats index. FCF stands for free cash flow. Free cash flow is not only key to that index, but also to the Dividend Investing (DI) strategy.

I explain why free cash flow is so important, the role it plays in the DI mo…

Keep reading with a 7-day free trial

Subscribe to AAII Dividend Investing to keep reading this post and get 7 days of free access to the full post archives.

Already a paid subscriber? Sign in
Charles Rotblut's avatar
A guest post by
Charles Rotblut
VP at American Association of Individual Investors, AAII Journal Editor, Speaker, Author and Runner
© 2025 AAII
Privacy ∙ Terms ∙ Collection notice
Start your SubstackGet the app
Substack is the home for great culture