2022 was a tough year for the ASX share market, and thus for most investors' portfolios. That sadly includes my own. Last year saw the value of my share investments slide meaningfully.
But, far from despairing, this has only hardened my desire to spend 2023 buying even more dividend-paying shares.
We've all heard the maxim 'buy low, sell high'. This is a principle I try my best to stick to. The S&P/ASX 200 Index (ASX: XJO) is still lower today than it was a year ago. That tells me that there might still be opportunities out there to buy myself some cheap shares.
But on a broader note, I think buying shares is almost always a better choice than not buying. History shows that trying to time the markets is a very bad idea. None of us knows what's coming down the road.
If today ends up being the last time the ASX 200 is at its current level, and the index surges 10% higher in 2023, we're all going to feel a little silly if we decided today that it's better to try and wait for a cheaper entry point.
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Shares beat cash, so I'm buying more ASX dividend shares in 2023
The historical returns from shares trump the returns of cash over any long stretch of time. Shares also go up more than they go down. Thus, investing in shares rather than leaving your money in the bank is usually the better choice, if the past is anything to go by.
Plus, having dividend cash flow means you can have extra cash to reinvest back into those dividend shares too.
So this is why I'll be putting any extra dollars I have at my disposal in 2023 into ASX dividend-paying shares.
But not just any shares will do. I try and seek out the best-performing shares on the market. So I'll be looking to the likes of Washington H. Soul Pattinson and Co Ltd (ASX: SOL), Brickworks Limited (ASX: BKW) and MFF Capital Investments Ltd (ASX: MFF) to add to my portfolio.
I try and end each calendar year that passes us by with more assets to my name than what I had at the start. 2023 is no different.
