Monthly update: February

For the second month of 2018 I struggled a lot.. There have been a lot of dips and I did not have enough money to get more invested. It was frustrating but in a sense it was also great to get both my legs back onto the ground and not put all my savings into the stock market.

Contributions:

I’ve transferred €1045,69 to my broker in February, ideally it would have been more.. But not every month can be a homerun.

 

Transactions:

On the 2nd of February I bought 8 shares of Apple for $164,73 including fees. I decided the drop of 3% was enough for me to get into this behemoth with +$200 billion in cash. I am looking to increase this position to a core position in the future when the price drops significantly and I have some cash on hand.
This acquisition added a net yearly $17,14 to my dividend income.

I sold my 20 shares of Nike on the 21st of February for $67,31 after fees, I had the shares a little over a year and decided to take a 26,63% profit ($285,78) including dividends. I think of Nike as one of my long term core positions, although as my portfolio just started and Nike was a relatively small position with just 1,49% YoC bringing in $3,40 every quarter (after their most recent raise). I decided to take 21 years worth of dividends to raise some cash to increase existing positions or add a new position with my free, extra $285,78. I will definitely look at Nike in the future, hopefully at a slightly more yielding price. This decreased my net yearly dividends by -$13,60.

On the 23th I bought 18 shares of Sanofi on the Paris stock exchange for €65,06 including fees,this totals €1171. This improves my currency diversification and my net yearly pay out in Euro by €46,36 to €141,05. Sanofi is a pharmaceutical company which I wrote a piece about in my ‘Watchlist Update: February’ post. The yield on cost is 4,66% and their entire dividend will be paid in May, all at once.

This results in a change of +€46,36 & +$3,54 yearly dividends, and a realised profit of $285,78.

 

Increases:

-Pepsico raised it’s annual pay out to $3,71 from $3,22 last year, a 15,22% increase, on my 10 shares this added $4,90 pre-tax to my annual income. This was twice as much as I expected, I guess those new tax laws will give us investors quite a bit more yearly income, thanks! This increases my YoC to 3,65%.

-Gilead raised it’s annual pay out to $2,28 from $2,08 last time around, a 9,60% increase, on my 15 shares this added $3,00 pre-tax in yearly dividends. Gilead continues to increase their yearly distributions by around 10%, this is enough for me while the company keeps searching for potential take overs of other companies. They are currently sitting on a lot of cash and need to improve their pipeline, so low double-digit increases are all I can ask for currently. This increases my YoC to 3,11%.

-Ahold Delhaize raised it’s dividend to €0,63 from €0,57 before, this represends a 10,53% raise. On my 70 shares this adds €4,20 pre-tax to my yearly dividends and gives me a YoC of 4,14%.

Net February dividend increases: €3,57 and $6,72

 

Received dividends:

The total net dividends for February were:

€-
$93,53

Making for a total of €75,18

These are the companies who contributed to my February dividends:

This comes down to a 355,91% increase YoY.
Looks like some solid DGI at work! Can’t wait for next month already!

 

Book:

This month I read ‘Pour your heart into it’ from Howard Schultz&Dori Jones Yang. The fantastic tale of Howard Schultz building up Starbucks. Very inspiring to read how a kid from a ‘hopeless’ childhood made it this far with not just an eye for money, but an eye for treating people right. It’s all about the heart and soul of the company, how to expand a company nation and even worldwide without losing your roots. A great inspirational read and it definitly makes me proud to own 40 shares of Starbucks myself!

Up next will be ‘Onward’ by Howard Schultz to continue the story of Starbucks.

 

Thank you for reading, I hope your February was just as great!

Let me know what you think!

Happy investing!

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11 Comments

  1. A nice month. And yes you can’t have a homerun everymonth 😁 but keep up the good work and your passive income will definitely grow!
    Keep pumping fresh cash in your beast!

    Cheers,

    Pollie

  2. You’re building your portfolio very nicely!
    I used to own Sanofi but had to sell in August as I needed cash. That time the share price was around EUR 80, so I was lucky. Since then I didn’t pay too much attention to it. I just see the price hasn’t been this low for nearly 6 years!
    It’s either a great entry point or catching a falling knife. We’ll see. If they can keep their dividends, it’s more like the first one. I’ll look this closely.

    • DutchIndependence

      Hey Roadrunner, indeed you got out at the right time! I’m confident in them sustaining and raising their dividend as their pay out ratio is a healthy 44%. If it keeps on falling I might have to look at them again and average down on cost price. I can only see positives!
      Thanks for the comment!

      DI

  3. A very nice month Dutch Independence! Great to see your purchases and dividend increases. I also really liked the Ahold Delhaize dividend increase. Funnily enough it’s exactly what I predicted their raise was gonna be: €0.63.

    Question: considering Binck charges relatively high transaction fees, do you have a minimum transaction value? Personally I try to invest my money in €1,000+ batches.

    Take care!

    – SD

    • DutchIndependence

      Nice predictions SD! I love the increase and I’m already curious to next years raise, does that make me greedy?;)
      Yes currently I also have the minimum limit set at €1000, at least that way the transaction costs are 1% or less, when I started sometimes I made a few smaller purchases due to a free €200 of transaction fees.
      Thank you for your comment!

      DI

  4. Nice month! Got some Ahold myself as well so that was a nice and welcome payrise! I’ve got some CVS as well and bought Bayer last month.

    • DutchIndependence

      Thank you M&M, seems like you have gotten yourself some quality assets yourself! I only recently found out about Bayer and am quite interested in it. I just sold my CVS position myself last month as I didn’t totally love the coming merger and dividend freeze. But solid long term play anyway, congrats!

      DI

  5. Nice income and great yr over yr growth!

    Congrats on all those dividend raises! Got to love the start of the year!

    Keep it up
    Cheers

  6. DI -These results are incredible and truly inspiring! I don’t even know what else there is to say. Amazing results and keep up the great work my friend.

    Bert

  7. Looks like you are doing amazing with your DGI portfolio. Keep up the good work and buy when you can. I know we can’t always have money at the ready to take advantage of dips but as long as you remain consistent with your buying you should be fine long term. Nice to see a few names in common paying us last month.

  8. Again a serious cash deposit, you are really crushing it DI!

    Also great results, allmost 75,-+ is not too shabby, thats more than my 2017 total 🙂

    We share T, OHI, O and HRL this month.

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