Dividend Income – June 2016

Dividend IncomeThe markets finally appear to be done overreacting to the Brexit adjustment. It was really just another moment on the stock market as with all the moments before. Did you take advantage of any opportunities? I did not. I just stayed the course with my stock holdings.

Every now and again, the question about having a balanced monthly income comes up and while it’s not something I focus on, I took the time to outline the monthly income investment options for investors to understand the potential limitation with monthly income. While there are benefits, many products have unique approaches to providing you with a promised monthly income. It’s important to understand them. Especially when it comes to products such as BMO Monthly Income Fund or ETF.

Dividend Income

My June dividend income makes a new high with $1,227.91. My most recent purchases, which was really a few months back, have started to contribute to my dividend income. Most of my dividend investment have also seen their dividend increase for the year. I am not expecting much on the dividend growth front for the rest of the year. However, I do DRIP a good number of shares in total which is nice to see. My money is at work at all times.

Dividend Income - June 2016

Many of my holdings now have excellent dividend growth potential based on their historical performance. With the current number of shares I DRIP, my money making portfolio can generate the compound growth I need. What is important to understand is that the dividend income for many of my recent purchases such as NYSE:V, TSE:MRU, or TSE:SAP will have a meaningful contributing effect in the future rather than now. Dividend growth investing needs to consider the future income potential of an investment and that’s why understanding the past for many stocks is very important. I have settled on looking at 10 years as it usually covers at least one stock market downturn and it also reflects the current management approach to the business.

Readers: What’s your approach on dividend growth? and are you investing for retirement or are you in retirement?

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 decision at your own risk – see my full disclaimer for more details.

Image courtesy of Master isolated images – FreeDigitalPhotos.net

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