It has been 2 years since I have begun this dividend portfolio. By the end of 2018, the portfolio generated $1,370.04 in annual dividends. In 2019, total dividends paid is $5,840.91. At the beginning of this year, my projected annual dividends was $6,361.69. It looks like I will come in at about $7,000. I’m not complaining. This year was tough for dividend investors and I am just grateful my dividends continue to grow overall. 😊

The goal is $10,000 in annual dividends and I am so close to accomplishing my goal! Regardless of all the noise in the world, I continue to invest in businesses I can understand. Businesses that provide what I believe valuable services and products.

When it comes to investing, you invest in what YOU believe in. Hopefully, you do not invest in a company because someone else believes in it. In my experience, doing this often resulted in disappointment. The more extensively you learn and research the company, the better you sleep at night as the company works hard for you.

The more you learn about the business the more you become a stronger hand. The more easier it becomes to view price dips as opportunities to buy into rather than fear out and sell.

With this dividend portfolio, I focus on companies I believe that will likely continue to grow earnings, maintain dividend payouts and raise dividends well into the future. As well as companies I feel the value of their assets is not fully realized by the markets or temporarily suppressed. Capital appreciation is not at the highest priority. It is high income with moderate appreciation that I seek. Therefore, if you are young and seeking FIRE, I would advise to lean towards growth investing. What you should take from these posts are what it’s like to be a long term investor. The psychologies and persistence that are required of you. Time is required to build wealth. Patience is key to investing.

I also invest in companies that may not pay much in dividends today but are on the path and likely to become great dividend players later down the road. The aristocrats in the making!

I am also reaching inside the cookie jar and reaching for yield in areas I believe the risk to reward seem intriguing. 🤞

I can’t wait to share my investing blunders and lessons with you guys which are inevitable. 😌 

10K here I come! Time for an update!

 

Highlights and Recap

Boeing Company (Ticker: BA)

• Company wins contract for $2.24B Small Diameter Bomb Increment I weapon program.
• Company plans to move 787 production away from Seattle to its facility in South Carolina. Company will cut 787 output to six a month in 2021 vs a recent peak of 14.
• FAA administrator Steve Dickson completes test flight. “I like what I saw on the flight,” Steve Dickson

3M Company (Ticker: )

• Company explores sale of food and safety business for $3.5B. (Please dont sell…🤦‍♂️)

JP Morgan Chase (Ticker: JPM)

• Company agree to pay record $920M to settle spoofing case related to metals futures and treasury securities.

Raytheon Technologies (Ticker: RTX)

• Company plans to cut 15K commercial aerospace jobs due to the pandemic stating the market will take about 3 years to fully recover.

 

Buy Orders

 

Sell Orders

There have been no sales for this month.

 

Pass Go and Collect Dividends!

 

Dividend Increases & Cuts

Invesco S&P 500 High Dividend (Ticker: SPHD) TTM yield has dropped by -0.13%. (-$2.73 in annual dividends)

Fidelity High Dividend ETF (Ticker: FDVV) TTM yield has dropped by -7.9%. (-$69.12 in annual dividends)

WisdomTree U.S. Quality Dividend (Ticker: DGRW) TTM yield has increased by 1.01% ($0.49 in annual dividends)

Net changes to the annual dividends: -$71.36

 

Portfolio Snapshot

• Net dividends added to portfolio this month totals $33.64.  
• YOY Monthly Dividend is up 18.37%. 
• YOY Projected annual dividend is up 25.5%. 
• YTD Dividend income: $5,234.41 

 

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Wrapping Up

The year 2020 is a very interesting year. If you are highly connected and taking in the news as they hit the wires, I can imagine the anxiety some may be experiencing. Years like this are rare. It’s likely a good idea to filter the news that are of high importance to you. That is what I am doing lately. I am shutting things out and allowing myself room to think. Sometimes being bombarded with information can be distracting.

More than ever at times of uncertainty, I place myself 5 to 10 years in the future.

“CEO’s have to live 10 years in the future”. -Jenson Huang (CEO, Nvidia)

Not only should great CEO’s live in the future but investors just as well.

There are good times and bad in business. It is naive to assume only the good. The bad is an important part of investing filled with valuable lessons for companies and investors.

This year is probably one of the most interesting year second to the Financial Crisis of 08. Regardless of all the crazy things happening this year, I’m surprised this portfolio hasn’t had a much more significant cut to the dividends.

You really want to be investing through years like this one. And the best way is to place your hard earned dollars into the market and you would be surprised how quick the markets will force you to learn.

Having this year under our belt as an investor taught us a lot about what to expect when the next pandemic comes around. This experience alone is priceless.

It seems the risks to dividend cuts will persist for at least 2 more quarters.

I expect heightened volatility going into elections. High volatility is often short lived so investors should welcome them because that is where opportunity often hides.

And that’s a wrap for the month! 🙃