Monthly update: September

September is behind us, which means that 3/4th of the year has already passed. I remember the first day of my full year as a Dividend Growth Investor like yesterday. My first full year has been nothing short of awesome, and I can’t wait to show you how my portfolio will keep spitting out cash until the end of the year. But first, let’s review September!

 

Summary:

-Dividend income: €89,09

-YoY income growth: 70,87%

-Added shares of ASML, BABA and JD

-Sold all my shares in OHI

-Received one dividend raise, a whopping 0,2% from Realty Income

 

Transactions:

-I sold my 52 shares of Omega Healthcare Investors, after having reaped the amazing dividends for more than 1,5 year I decided to sell my position with a small profit of around 20% including the dividends. The reason for the sell was the added risk to the stock, I didn’t like how it was by far my riskiest position and all the numbers in their reports kept declining. I decided to pull out a little profit and invest it in companies that I believe can give me much more growth in the (near) future.

-I added another 87 shares of JD.com, when the CEO was accused of rape in Minnessota the stock tanked a few days in a row. Mr Liu was released without having to pay bail and was allowed to return to China immediatly and it seemed like an overblown story. Along with the trade war tensions and the entire Hang Seng index the stock kept declining and offered a great entry point. Long term the business of JD still promises a lot of return to their investors. I now have a position of 180 shares. I’m not looking to expand this non-dividend position in the near term.

-Along with JD I decided to add another batch of Alibaba, I was writing an extensive analysis on them which got me more and more convinced that it’s a ‘must-have company’ for the coming years. As international trade tensions ran up Alibaba’s price declined beyond the $160 mark and I decided to add 15 more shares, making for a total position of 35 shares. I’m not looking to expand this non-dividend position in the near term.

-I also decided to add some Dutch orange to my portfolio, I added 15 shares of ASML when they hit the €160 mark. ASML is a company that makes machinery that allows all the popular chip/semiconductor companies to make their amazing chips. Their closest competitors are Nikon and Canon. I think it’s a great play to the popular semiconductor sector, to invest in the companies that provide them the materials/machinery. ASML pays a small dividend once a year and grows the dividend quite fast every year. I’m considering adding to my position if the share price allows it.

 

So far my line of credit has bought me:

  • 147x JD.com
  • 100x AT&T
  • 35x Alibaba
  • 25x Philip Morris
  • 15x ASML

In the near future I’m looking to add Royal Dutch Shell and/or AbbVie when the price is right. Currently I earn still earn more dividends that I pay interest on my credit, even when my biggest positions (BABA/JD) don’t pay dividends at all.

To read more about my use of credit click here.

 

Received dividends:

The total net dividends for September were:

€16,46

$84,65

Making for a total of €89,09

These are the companies which contributed this month:

 

Thank you for reading, I hope your September dividends were just as great as mine!

Happy investing!

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19 Comments

  1. Nice haul of dividend income, Dutch Independence! That’s a nice year over year increase. It sounds like you made a good choice to avoid risk with OHI. It’s good that you’re selling the position when profitable too. Thanks for the update. Keep it up!

    • DutchIndependence

      Thanks RTC, I just felt like the best was behind for now with OHI. Thank you for your comment and I hope you’re doing great!

      DI

  2. nice man!

    Great yr over yr growth. You make me want to start a position in Alibaba. Lol hard to pull the trigger on non dividend payers though.

    Keep it up
    cheers

    • DutchIndependence

      Thanks for the kind words, I felt the same at first about non dividend payers. I just wanted a slightly broader diversification with companies I believe in. My primary focus is and will always be DGI companies though. Have a good one PCI!

      DI

  3. Another great month and heading towards the €100! Your the second dutchie I see buying ASML shares, I might have a look as well. I want some more non-US exposure.

    • DutchIndependence

      I would love to break the €100 barrier every month! Yeah ASML is not the greatest dividend payer yet, but they do pay and raise their dividend, combine that with a booming business in your own currency and you have a winner!

      DI

  4. Hello Dutch Independence. Thanks for the update. Interesting read! I see you sold out of OHI. I agree with you here. I also had OHI in my portfolio at one point, but decided to sell it for pretty much the same reasons as you. Just wondering, what broker do you use that allows you the credit line? I’m not sure if it’s something that I personally would want to use, but I’m still interested in learning more about it.

    • DutchIndependence

      Good to see that I’m not alone in thinking this way about OHI! The broker I use is BinckBank. But I believe that the normal credit line interest rate is about 6% so this might not be such a good option for you personally. Thank you for stopping by and have a good week!

      DI

  5. Seems like you are on a roll baby 😉
    Nice growth in your portfolio, keep doing what you are doing!

    • DutchIndependence

      Thanks for the nice words CF! Hope you’re having a good week!

      DI

  6. I like the stocks in your portfolio paying you this month, DI. The 3 new payers are a good group, too. I’ve been trying to find an entry point for MMM, but nothing has convinced me to pull the trigger yet. I’ll keep watching though.
    I’m still holding OHI, but may join you in selling. I’ll probably continue to pare down my position. I did so once already earlier this year. I think there’s certainly risk there that I don’t need.
    Congrats on the solid YoY results, continuing a trend you’ve had working all year. Keep it going!

    • DutchIndependence

      Thank you ED! MMM quickly got out of my buy range again aswell, I can understand your reasoning. Good to hear you agree with me on OHI, I loved the dividends but the statistics just are not in their favor. Thank you for the kind words and have a great week!

      DI

    • DutchIndependence

      Thanks Bert, right back at you! This community keeps on killing it!

      DI

  7. Very nice YoY growth! Nice to see you buying ASML, because I also bought a few more shares ASML in September. I also own OHI and it’s a hold position for me. OHI is less than 2% of my portfolio so I consider the risk acceptable.

    • DutchIndependence

      I understand your reasoning about OHI, 2% seems like little exposure indeed and then again; everyone has different takes on personal risk. Glad to see you are doing what you are doing! Nice decision on ASML too!

      DI

  8. Nice job collecting those growing dividends for the month. I know many have become tired of OHI and have sold or are thinking of selling. At least you walked away from that name in a better position. Keep up the good work.

    • DutchIndependence

      Thanks for the kind words DH, have a great week!

      DI

  9. Hi DI,

    Seems like you had a good month. Keep up the good work! The credit part seems intresting because of the low intrest rate you pay.

    Cheers,
    TLTI

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