Portfolio Value Update - May 2018

Portfolio Value

As of May 31, 2018 my investment portfolio balance stood at $57,655.20. That’s an increase of $1,882.70 from last month. This is getting exciting as I’m getting close to 60K milestone. So far, May was the best performing month of the year. For the second month in a row, Magna (MG.TO) was the best performing stock, increasing in value by another 9%. 

Dividends

In May, I received $244.06 in dividends vs $200.91 for the same period a year ago. That's an increase of $43.15 or 21% on year-over-year basis. My total year-to-date dividend income is $1,238.63. May dividends are slightly lower than it should be because I did not receive the dividend from Student Transportation. The company was in the process of sale so there was no ex-dividend date in April.

Contributions

Every month I transfer $700 of fresh capital to my TFSA account. I plan to keep that pace until the end of the year. Next year I will adjust my contributions, depending on 2019 TFSA limit. 

Transactions
Sold 340 shares of Student Transportation (STB.TO) for $9.48 per share
Bought 110 shares of CT REIT (CRT.UN.TO) for $13.26 per share
Bought 75 shares of Riocan REIT (REI.UN.TO) for $23.42 per share
Bought 55 shares of Alaris Royalty (AD.TO) for $16.53 per share

Recent Purchase: Alaris Royalty

New funds are now deposited to my investment account so it’s time to put that money to work. Today I purchased 55 shares of Alaris Royalty (AD.TO) for $16.53 per share. I’m a few days late on this purchase because last week they were just under $16, but I did not have the funds available. My total position in Alaris now consists of 195 shares with the market value of $3,159. With the recent purchase, my monthly dividend income will increase by $7.40.

About the company

Alaris provides capital to private businesses in return of royalty payments. The company currently has 15 income streams with $98 million in annual revenue. Alaris has approximately 80% of its fair value of investments in US based companies; 49% of invested dollars are exposed to business services, 40% to industrials, and 11% to consumer products and services.

Dividend History and Sustainability

• Current dividend per share of $0.135 per month ($1.62 annual)
• 10 consecutive dividend increases totalling 93% gross increase
• Current annualized payout ratio at ~90%
• Included in the Canadian Dividend Aristocrats Index

Recent Purchase: CT & RioCan REITs

My Student Transportation (STB.TO) shares got sold last week and I received about $3,200 for my 340 shares. I will certainly miss this holding in my portfolio. It was one of those recession proof stock with good monthly dividend. 

I decided to use the cash and add to my existing positions instead of buying new companies. So I bought two reliable REITs to strengthen my portfolio. 

CT REIT

My first buy was CT Reit (CRT.UN.TO). I doubled my holding by adding 110 shares at $13.26 per share. They mainly lease properties to Canadian Tire stores and I feel very comfortable about Canadian Tire business model and growth. The dividend yield is 5.5% and they pay every month. This purchase will add $6.67 to my monthly dividend income. 

RIOCAN REIT

My second buy was RioCan Reit (REI.UN.TO). I almost doubled my holding by adding 75 shares at $23.42 per share. RioCan is the largest reit in Canada which owes 289 properties. Riocan also pays out every month and their dividend yield is 6.15%. The yield is slightly higher to its historical average, but that’s because the share price is low. This purchase will add $9.00 to my monthly dividend income.

Well, here goes my capital rotation! Happy investing, guys!

Portfolio Value Update - April 2018

Portfolio Value 

As of April 30, 2018 my investment portfolio balance stood at $55,772.50. That’s an increase of $1,658.24 from last month. The stock market rebounded slightly, helping my portfolio cross the 55K mark. Two stocks in particular that fueled my portfolio. Magna (MG.TO) and Pure Multi-Family REIT (RUF.UN.VN) increased in value by 9% and 16% respectively. 

3 Years Portfolio Value Growth

Dividends 

In April, I received $255.89 in dividends vs $208.59 for the same period a year ago. That's an increase of $47.30 or 22% on year-over-year basis. My total year-to-date dividend income is $994.57. So far my portfolio generates enough income to cover property taxes and energy cost, or 2 weeks of groceries. I don’t need to use that money so I reinvest it back into dividend paying stocks.

Purchased more shares of AltaGas (ALA.TO)

Hello folks. Today I made another purchase in AltaGas company. I couldn’t resist the sell-off of ALA stock and decided to take advantage of the low share price. I purchased 39 shares for $25.57 per share. This was my third purchase in this stock and my position in AltaGas is now full.

I started to accumulate ALA shares in 2016 by purchasing 30 shares for $33 per share. Later in 2017, I purchased another batch of 30 shares for $31 per share. In April 2018, I purchased my final batch of 39 shares. My total position of ALA consists of 99 shares.

 

AltaGas is a North American energy infrastructure company based in Calgary, Alberta. The company operates in three business segments: gas, power generation, and utilities. The company is in the process of acquiring WGL Holdings. 

So that was my purchase for the month. I’m glad I finally filled my position in AltaGas. Next month I'm planning to buy more shares in Brookfield Property Partners if the share price stays low.