I am a passive dividend investor. I purchase quality dividend stocks, with the expectations that I will hold on for decades. I do monitor my investments however, and typically sell when one of these three factors occurs. I am not a big fan of active dividend investing, since it leads to paying taxes on capital gains, transaction costs as well as opens me for the opportunity to make mistakes. Buying a stock that will perform much worse than the stock it just replaced in my portfolio, is one of the items in my decision process that might prevent me from active portfolio management. Dividend investing is not a black and white process however, which is why investors should sometimes act to break their rules, if the right opportunity arises.