Dividend Income – August 2012

Like regular clockwork, August provided me with another string of dividends. Aside from dividend increases or switching to higher yield investments, the only way to increase your dividends is to invest more money. Over the past 4 months, I was adding to my Computershare and CanStock accounts but this month, I added to one of my REIT holdings; Cominar REIT TSE:CUF.UN.

I also updated my master spreadsheet to update my allocations when I update my accounts. I had done it once a while back when I had less stocks and I did it manually. Now it’s all automated. If you have your own spreadsheet to model data or to track your accounts, I strongly recommend you automate as much as you can.

With my spreadsheet update, I thought I’d share my current diversification. As you can see, the financial sector is heavy in my portfolio. I had a lot of trust in our banks bouncing back up in 2009 and I was invested in them. I am covering 9 companies including a couple of life insurance in that sector right now and that’s enough. I won’t necessarily sell any financials unless I want to take some profits – they have very good yield, they are expected to increase their payout annually but their growth will be limited.

I plan on adding to the other sectors over time and more importantly, I want more U.S. conglomerates in my portfolio – that means doing RRSP contributions above and beyond what I do with my defined contribution plan at the office. My international exposure will come from the companies that operate in all countries. I have no interest in investing in emerging markets or try to build a non-North American portfolio. I find that way too risky due to my lack of knowledge to those countries.

Allocation - August 2012

Regional Diversification - August 2012


Dividend Income

My August dividend income is $549.32. It’s my fifth month this year above $500. My forward-looking estimates have me $42 shy of $6,000. As good a strategy dividend investing can be, the fastest way to grow your investments is by savings. I underestimated how much I would save this year to reach my initial goal of $7,000. However, my portfolio is growing since a majority of my income reaches my defined contribution plan where I cannot invest in stocks and I cannot transfer it without forfeiting the company match.

Dividend Income - August 2012

DISCLOSURE: Please note that I may have a position in one or many of the holdings listed. For a complete list of my holdings, please see my Dividend Portfolio.

DISCLAIMER: Please note that this blog post represents my opinion and not an advice/recommendation. I am not a financial adviser, I am not qualified to give financial advice. Before you buy any stocks/funds consult with a qualified financial planner. Make your investment decisions at your own risk – see my full disclaimer for more details.
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