Dividend Investing: My no fee DRIP list of dividend stock is complete

computershareLast year around May I started building my DRIP portfolio with Computershare and CIBC Mellon to slowly grow my dividend investment portfolio with no fees while leveraging the benefits of fractional shares. I have been sharing my process along the way and I recently completed the list of stocks I wanted to hold for now.

With many making new year’s resolutions around money and investment, I thought it would be a good time to share my list and why I picked them. I have to admit that reading The Lazy InvestorDividend Investing: My no fee DRIP list of dividend stocks is complete from Derek Foster kick started my official dividend investment journey. I already had dividend investments and was aware of it, but I did not know I could do it cheaply! So cheaply with so little money!

Selection Strategy

My strategy around my slow DRIP investing is simple. It’s built around services that are required and demanded. The services the companies provide usually have monthly payments that are fixed or based on usage. Here are the sectors I prefer for my slow DRIP.

  • Utilities
  • Real Estate
  • Banks
  • Insurance
  • Telecommunications

I have been referring to slow DRIP because I grow my nest egg very slowly. I tend to invest 50$ every month or so per stock depending on the cadence of the share purchase plan (SPP). I use the Canadian DRIP & SPP list as a resource to know the stocks available to DRIP with small amounts. Some companies require 1000$ minimum for SPP and that’s a little high for me. I would hold those in my other trading accounts instead.

Computershare

Here is my list of dividend stocks under Computershare.
CompanyTickerQuoteSharesMarket ValuePurchased Yield
Bank of MontrealBMO.TO$59.684.634705$276.604.66%
Bell CanadaBCE.TO$35.273.867149$136.396.02%
TransCanada Corp.TRP.TO$37.403.776646$141.254.46%
TelusT.A$45.003.867149$174.025.51%
FortisFTS.TO$34.252.115283$72.453.31%

CIBC Mellon

Here is my list of dividend stocks under CIBC Mellon.

CompanyTickerQuoteSharesMarket ValuePurchased Yield
EnbridgeENB.TO$55.861.016$56.754.15%
RioCanREI.UN$23.0312.034$277.146.13%
SunLifeSLF.TO$31.241.324$41.364.71%
TransAlta CorpTA.TO$21.951.652$36.265.15%

Compound Growth

As you can see, there is a bunch of decimals for the number of shares I have. They are fractional shares from my contributions and dividends. All my dividends are reinvested and generating fractions month after month and quarter after quarter. It’s a slow process and I only have $1212.22 after 9 months but over time, it will grow. The slow process is the reason why I picked the companies I have. Out of 9 companies, 4 are utilities with a certain monopoly in their provinces and expending their business where they can.

I am going to stick with those 9 investments for now and build up a position before adding to the list otherwise I will be spread to thin.

Readers: Do you DRIP with Transfer Agents? Any particular investment you prefer for DRIPing or sector?

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