Dividend Portfolio Update - July 2015

Dividend Portfolio Value

As at July 31, 2015, my dividend portfolio balance is at $21,628.99, practically unchanged from the previous month. The Canadian market experienced a lot of volatility in July, but then recovered most of the losses right before the month end. This could be a beginning of a summer rally which usually lasts until the end of September. The banks might help to push the TSX higher, but the energy sector will cap the gains.

TSX gained over 450 points in four days

Last month I wrote that we might have further downside pressure on oil prices because oil companies are still pumping at records high. The demand cannot keep up with supply. At this point the oversupply of oil stands at 3 mb/d. The question now is will the price of oil test $43 level or will it bounce back from here? This will be evident by the end of next month. I haven’t been adding energy stocks since last summer, but I plan to do so probably this fall. I will be looking at pipelines and energy royalty stocks before adding the producers.

My Investment Account (Tax Free Savings Account)

My TFSA consists of 23 Canadian dividend paying stocks. Most of my stocks pay dividends on monthly basis. This allows me to collect dividends and reinvest them into dividend paying stocks more rapidly.

Dividends

In July, I received a total of $141.19 in dividends vs $93.29 for the same period a year ago. That's an increase of $47.90 or 51% on year-over-year basis. My total Year-to-Date dividend income for 2015 is $805.24. My dividend goal for 2015 is to receive $1,400. All dividends are reinvested back into dividend paying stocks.

Contributions

In July, I added $800 of fresh capital to my account. So far my total contribution for 2015 reached $5,600. My priority is to maximize my TFSA account each year. The current TFSA contribution limit is $10,000 per year.

Transactions

July was a busy month in terms of transactions and capital cycling. I sold 150 shares of Regal Lifestyle (RLC.TO) at $12 per share because it got acquired. I decided not to wait until the deal is closed and sold my shares to the market. I liked the stock, it paid good dividend and it brought me a decent capital gain. My average price was about $9 per share. I held the stock for over a year and collected over 6% in dividends.

Sold RLC.TO 150 shares at $12 per share.

Bought GRC.V 600 shares at $0.89 per share.

Bought DIV.TO 290 shares at $2.95 per share.

Bought PLZ.UN.TO 130 shares at $4.37 per share.

Bought PZA.TO 45 shares at $13.58 per share.

Bought ECI.TO 45 shares at 13.59 per share.