"Beware: Buffett's Warning on How Smart People Go Broke Through Dividend Investing"
Warren Buffett warns against the dangers of leverage, cautioning that it can lead even the smartest investors to financial ruin. This applies to dividend investing as well, as excessive reliance on debt can undermine the stability and growth of a company's dividend. Prudent balance sheet management is crucial for dividend investors, and examples of companies with attractive yields and strong balance sheets include Enterprise Products Partners, Realty Income, and Brookfield Infrastructure. Smart investors should prioritize slow and steady compounding over the allure of quick gains through leverage, as the long-term rewards of value investing and dividend compounding are substantial and attainable.