Dividend Portfolio Update - March 2015

Dividend Portfolio Value

As at March 31, 2015 my dividend portfolio balance is at $20,246.10, up by about $515 from the previous month. The main increase in portfolio value was caused by the new contribution of $800 to my Tax-Free Savings Account. The stocks pulled back by mid-March as they historically do and now they are back up to their previous highs except for REITs which are still lagging behind. There’s uncertainty in the market about REITs growth as Target and Future Shop are closing in Canada. Half of Future Shop stores will be converted into Best Buy stores. There will be a lot of vacant space coming on stream.

My TFSA consists of 21 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 quicker. I will pursue my strategy for this year and the next, until I double monthly dividends to $200 per month. Then I will be adding Utilities and Banks to my portfolio.

Dividends

For the month of March, I received a total of $109.76 in dividends vs $83.23 for the same period a year ago. That's an increase of $22.15 or 32% on year-over-year basis. My total Year-to-Date dividend income for 2015 is $322.82. All dividends are reinvested back into dividend paying stocks.

Dividend increases

EnerCare (ECI.TO) announced a 15.9% dividend increase in March when they released their quarter earnings. The increase should reflect on April payout.

Contributions

During the month of March, I contributed $800 to my TFSA. My objective for 2015 is to contribute $6,000. So far, the total contribution for 2015 is $2,400. If I continue to put $800 per month, I will reach my contribution objective by August 2015.

Transactions

Alaris Royalty (AD.TO)

I purchased 26 shares of AD at $32.65 per share. I decided to take advantage of a recent pull back in share price. Alaris Royalty has a 4.53% dividend yield and this purchase will bring additional $3.25 per month in dividend income.

Dividend Portfolio Update - February 2015

Dividend Portfolio Value

As of February 28, 2015 my dividend portfolio balance is at $19,731.50, up by about $970 from the previous month. The main increase in portfolio value was caused by the new contribution of $800 to my Tax-Free Savings Account. The net result of stock fluctuations had a little effect on portfolio balance.

Dividends

For the month of February, I received a total of $105.38 in dividends vs $83.23 for the same period a year ago. That's an increase of $22.15 or 26% on year-over-year basis. My total Year-to-Date dividend income for 2015 is $213.06. For the past 5 months, my dividends were over $100 per month and I hope that it will continue to go higher.

Contributions

During the month of February, I contributed $800 to my TFSA. My objective for 2015 is to contribute $6,000. So far, the total contribution is $1,600. If I continue to put $800 per month, I will reach my contribution objective by August 2015.

Transactions

First National (FN.TO)

I purchased 35 shares of FN at $22.87 per share. First National is Canada’s largest non-bank lender for both commercial and residential mortgages. This is the great way for me to get into the mortgage play and take advantage of future interest increases. First National has a 6.85% dividend yield and this purchase will bring additional $4.35 per month in dividend income.

Milestones

During the month of February, my portfolio reached two milestones. It crossed the 19K mark and then the 20K mark. It’s back down under 20K. Also, on February 3, I had the best 1 day gain of $486.

Dividend Portfolio Update - January 2015

Dividend Portfolio Value

As of January 31, 2015 my dividend portfolio balance is at $18,759.35, up by about $700 from previous month. The main increase in portfolio value was caused by the new contribution to my Tax-Free Savings Account. The net result of stock fluctuations had a little effect on portfolio balance. The loss from energy stocks was offset with gains from real estate stocks. In January alone, my REITs have gone up in value from 10% to 12%. I think the decrease in interest rates played a major role for REITs to go up.

Dividends

For the month of January, I received a total of $107.68 in dividends vs $87.30 for the same period a year ago. That's an increase of $20.38 or 23% on year-over-year basis. My total Year-to-Date dividend income for 2015 is $107.68. For the past 4 months, my dividends were over $100 per month and I hope that it will continue to go higher.

Dividend increases

CT Reit has increased their distribution by 2%, so my monthly income from CT is up by 5 cents to $2.49 from $2.44. Insignificant amount but better than nothing.

Contributions

During the month of January, I contributed $800 to my TFSA. My objective for 2015 is to contribute $6,000. If I continue to put $800 per month, I will reach my contribution objective by August 2015.

Transactions

Dream Office REIT (D.UN.TO)

I added 15 shares to my existing position at $26.88 per share. Dream Office has a 8.25% dividend yield and this purchase will bring additional $2.80 per month in dividend income.

Regal Lifestyle Communities (RLC.TO)

I added 50 shares to my existing position at $8.95 per share. RLC has a 7.92% dividend yield and this purchase will bring additional $2.90 per month in dividend income.

Milestones

On January 16, 2015, my portfolio gained $466.55 - the best 1 day gain ever. This amount is still shy from the worst 1 day loss which is $597.60.

Dividend Portfolio Update - December 2014

Happy New 2015 Year!

To all my readers, I would like to wish you a happy new year. May the new year set a positive trend for your portfolios. May all your wishes come true sooner than later.

 

Dividend Portfolio Value

As of December 31, 2014 my dividend portfolio balance is at $18,036.00, down by about $900 from the previous month. My portfolio value is down amid my energy stocks. I did not make new contributions in December so I didn't have new capital to offset the decline of energy stocks. Hopefully my energy stocks will gain some value in the next couple of months.

 

Dividends

For the month of December, I received a total of $115.11 in dividends vs $97.64 for the same period a year ago. My dividend income increased by 18% on year over year basis. My total Year-to-Date dividend income for 2014 is $1,133.86.

Portfolio Value Update - November 2014

Market overview

 

 

 

 

 

 

 

 

 

 

November was a tough month for the markets, especially for the energy sector. Last month, I was speculating that TSX would rebound and it did advance by 600 point by mid-November, but then it pulled back by about 400 points mainly due to the oil sector. The past couple of weeks, the price of crude dropped by another $10 to close at around $65 per barrel.

I don’t want to talk about oil too much, but in my opinion, the recent drop in oil prices is just fundamentally unjustifiable. Yes, ok… the OPEC people decided to keep the current production rate at 30 m barrels of oil per day. So I decided to do a little research about how much oil we produce and consume globally. Here’s what I found out. The global oil production in 2014 is average at 91.95 mbpd vs global oil consumption of 91.38 mbpd. I do not see an oversupply of oil here. Where is the oil glut that most analyst refering to? To me those numbers are at par. What OPEC is doing is a price war. They want the small players out of the market and then the prices will go up again.

I see oil prices rebounding like a "V" shape for a few good reasons. First of all, oil is not natural gas. When natural gas prices collapsed, there was an abundance of supply and very low demand. For oil, the demand is still strong and it’s growing, maybe not at the rate as everybody was anticipating. And second, were are approaching winter season and the temperatures are going down no matter what. When temperature goes down, the energy consumption goes up. And last but not least, the job growth in the States is increasing by 200,000 per month, thus, more people are driving to work.

 

Dividend Portfolio Value

As of November 30, 2014 my dividend portfolio balance is at $18,964.35, up by $444 from a previous month.

 

Dividends

For the month of November, I received a total of $110.32 in dividends vs $97.64 for the same period a year ago. My dividend income increased by 13 % on year over year basis. My total Year-to-Date dividend income for 2014 is $1,018.75.

I reached my dividend goal of a $1,000. Additional dividends in December will be considered as a surplus.

 

 

Dividend increases

So far, no dividend increases were announced and I don't expect any increases in the 4th quarter due to the correction that we had in October and November.

 

Contributions

During the month of November, I was able to contribute a total of $1,000 to my TFSA. My objective for 2014 was to contribute $5,000 inside TFSA and I reached my goal this month.

 

The total contribution room for TFSA in 2014 is 5,500. I already invested $5,000 and the rest $500 I plan to contribute next year. If in 2015 the contribution room for TFSA stays the same, at $5,500, then I will contribute a total of $6,000 for 2015.

 

In December, I will take a break from investing and will just collect my dividends.

 

 

Transactions

RioCan Real Estate (REI.UN.TO)
I added 20 shares to my existing position at $27.00 per share. RioCan has a 5.2% dividend yield and this purchase will bring additional $2.35 per month in dividend income.

 

CT Real Estate (CRT.UN.TO)
This is a brand new position for me. I bought 45 shares at $12.19 per share. CT Reit has a 5.2% dividend yield and this purchase will bring additional $2.40 per month in dividend income.

Milestones
On November 26, my dividend portfolio surpassed $19,000 mark for the first time, closing at $19,366.20. The following day it dropped by $597.60 when oil prices collapsed. This was the worst day for me. Very soon, my portfolio should rebound and stay above $19,000 for good.

 

Market outlook

As the weather cools down for the next couple of weeks, the oil demand should pick up and drive the prices up. However, we are entering the tax loss season and there will be additional selling pressure on bear stocks.