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equity income

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Financial Dictionary

Equity Income

1. Income that is earned through an investment in equity.

2. A type of mutual fund whose portfolio is invested in companies that are determined to be of high quality and have a strong history of dividend growth.

Investopedia Commentary

1. A shareholder receives equity income usually through dividends or capital gains. 2. This type of investment strategy attempts to provide a stable income for investors by choosing securities that will provide both capital appreciation and consistent dividends.

Related Links

The Importance of Dividends
How Dividends Work For Investors
Mutual Fund Basics Tutorial

See also: Capital Appreciation, Capital Gain, Cash, Dividend, Equity, Income

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