Monthly update: January

The first month of 2018 is already behind us again, this is my monthly overview!

Contributions:

 

My total contribution to my dividend portfolio in January was:

€1.939,85

Not to bad considering I quit my fulltime job midway 2017, I hoped I could keep contributing a lot of money even into the new year, and so far it’s working. And it’s only ‘just’ shy of my January contribution of 2017 which was €8607,29.

Transactions:

 

Sold my entire ORC (Orchid Island Capital) position of 30 shares for $7,46 per share (incl transaction fees), because it did not fit in my DGI portfolio. It is a high yielding mortgage REIT which I solely bought for the high yield when I began investing. Luckily this has always been my smallest position BY FAR. So even though I was -35% it only cost me $70,11. It was a good lesson to not chase yield never the less, I am just very happy it was such a cheap lesson. This has decreased my yearly net dividends by -$42,84.

With some fresh Christmas funds I financed another buy of O (Realty Income) of 20 shares for $55,93 per share (incl transaction fees), to make it a position of 30 shares total. As a young person I know very well how big of a threat the internet is for shopping malls and shops. But with the portfolio Realty Income has I believe them to be the most resistant to this substantial change. Partner this portfolio of great real estate with an excellent management and the pride they take in calling themselves ‘the monthly dividend company’ and you got my reasoning for increasing my position. I am looking to increase my position even further the coming months if their share price drops a little further. This has increased my yearly net dividends with $43,35.

Sold my entire CVS (CVS Health) position of 15 shares for $79,42, they recently announced a dividend freeze to get their new debt for the acquisition of Aetna under control. I decided this didn’t fit my portfolio so I decided to sell them for a net profit of $104,43. It decreased my yearly dividend income by -$25,5.

With my new capital from the CVS sell and a deposit I made early January I bought 12x JNJ (Johnson&Johnson) for a share price of $143,06. They dipped nicely on their earnings report but for me nothing changed. They are still a solid company which I want in my portfolio, 55 years of consecutive dividend increases, wow! This added $34,27 to my forward dividend income.

Sold my 10 shares of CSCO (Cisco Systems) for $41.11. I sold this because I made a nice 30% profit ($96,79) and it was just a tiny position, I’d like to redeploy these funds together with some fresh cash into a larger position. This decreased my net dividends by -$9,86.

And my last transaction for the foreseeable future will be 30 shares of SBUX (Starbucks). I believe Starbucks to be the best of the best and a future dividend aristocrat. I added on the earning release dip for a price of $58,227, making my new average cost per share $57,788, I now have 40 shares delivering a net $40,80 in dividends per year.

This results in a change of +$30,02 yearly dividends, and a realised profit of $131,11.

Increases:

 

OHI (Omega Healthcare Investors) increased their dividend by 1,50% which means with my 52 shares that I get an extra $2,08 before taxes yearly, a total of $137,28. OHI usually increased their dividend every quarter, and after recent earning reports which showed us OHI was having a bit of trouble with a few of their tenants, this dividend increase boosted faith and sentiment.

O (Realty Income) increased their dividend by 3,10% which increases my yearly dividend on my brand new 30 shares by $2,34 before taxes to a total of $78,84. Like OHI, O also increases their dividend every quarter and I am already looking forward to the next increases!

KMB (Kimberley-Clark) also increased their dividend by 3,10%, to a round number of $1,00 per quarter. On my 6 shares this means and increases of $0,72 before taxes. No matter how little, a raise is a raise!

Total January increases: $5,14

Received dividends:

 

The total net dividends for January were:

€ –

$35,93

Making for a total of €29,93

These are the companies who contributed to my January dividends:

This comes down to a 2993% increase YoY, but considering I had €0,00 last year in this month this big number doesn’t mean a whole lot. But it’s great to see I have improved never the less, I can’t wait for February!

Book:

 

This month I read the book ‘The storyteller’s secret’ by Carmine Gallo.

It has a lot of real life examples from Steve Jobs, to Elon Musk to Martin Luther King, to Oprah Winfrey, about how they used storytelling to make a crowd excited for their product, program or idea.

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

Let me know what you think!

Happy investing!

Leave a Reply

6 Comments

  1. DI,

    Where do I start. There are so many great things to congratulate you for in this post. Love the dividends you received and the progress you made towards last year. Love the investments you made during the month. You are crushing it right now and are on the right track for sure. Stay focused and keep up the great work.

    Bert

    • DutchIndependence

      Thank you so much Bert! I love these inspiring words! I’m more motivated than ever to make something of this financial journey! Thanks for visiting and let’s keep this journey going!

      DI

  2. That is some amazing deployment of capital for the month. I agree with all most everything except the Cisco sell. I believe the company has been making a great transition from legacy to cloud and connecting services which will keep it a powerhouse in the future. The recent 15% dividend increase helped strengthen my believe in them. Besides that awesome stuff and solid results!

      • DutchIndependence

        Not so much, it was a nice book with a good and great message, but the entire book is about the few lines I described it in, it just gives a lot of examples which come down to the same thing! There are more useful books out there!

        DI

    • DutchIndependence

      Thank you so much, great to hear! I agree about Cisco.. I regret only buying 10 shares back when I did. They are most definitly on my buy list when the price drops a bit. I believe the company has a bright future but as they were just 1% of my portfolio I figured I would lock in 10 years of dividend gains by selling, and bundling the capital with fresh capital to buy a new position. The dividend increase was very nice and reassuring for everyone believing in this company!
      Thank you for commenting!

      DI

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