The month of June is another month of dividend income landing in my accounts. This money is used to help pay my expenses if it is needed. If the money is not needed, it is ALL used to purchase new investments to further increase my cash flow.
The price of a barrel of crude oil is still a major focus of the markets and the economy. There is a more pressing issue in the markets which is the situation in Greece. The markets dropped a lot the day Greece banks shut down was announced. There was triple digit decline on the TSX in Canada.
- Enbridge (ENB) - $3.30
- Enerplus (ERF) -$ 26.35
- Just Energy (JE) - $92.00
- Killam Properties (KMP) - $5.75
- Shaw Communications (SJR.B) - $19.75
- Boston Pizza Royalties Fund (BPF.UN) - $25.34
- Canadian National Railway (CNR) - $7.81
- Claymore 1-5 yr Laddered Corporate Bond (ETF) - $0.91
- Cominar REIT (CUF.UN ) - $5.39
- Dream Office REIT (D.UN) - $ 16.61
- Enbridge (ENB) - $15.35
- Killam Properties (KMP) - $ 14.65
This total represents a 3.763% decrease from 3 months ago and 4.410% increase year over year. For the 3 month decrease, Enerplus cut their dividend starting at the April payment by 0.04 per share a month. My dividend in Canadian National Railway (CNR) was on 25 shares only. When I averaged down to purchase 13 more shares, it was after the dividend record date.
On June 1, I sold a put option in Roger's Communications Class B stock for a premium of $16.05 after commissions. This option was assigned on June 19 as the price of RCI.B was below the strike price at expiration.
I also received another distribution payment of $56.00 for my swing trade in Dream Office REIT in my non-registered account. This is not listed above since it is a trade, so I keep the money in the account and do not pay myself first with this payment. I have received $1323.47 in distributions so far on this trade.
I will update my dividend income tab with the new amount. It is great to see money from passive income sources deposited into my brokerage account every single month.
How was your dividend income for June?
Disclosure : Long all securities above.
Photo Credit: www.mipaq,co.za
DISCLAIMER
I am not a financial planner, financial advisor, accountant or tax attorney. The information on this blog represents my own thoughts and opinions and should NOT be taken as investment or business advice.
Every individual should do their due diligence to make their own financial decisions based on their financial situation and tolerance for risk.
Congrats on the dividend income. Looks like we share similar stocks in our portfolio. I haven't tried options yet but keep hearing that it's a good strategy in conjunction with dividend investing. Perhaps need to look into this more.
ReplyDeleteTawcan,
DeleteThanks for dropping by. Selling put options can allow an investor to make some money while waiting for a price of a stock to go down. There are other uses for selling put options, such as being bullish on a stock and just trying to collect premium.
Selling puts can reduce your cost basis. A good example is from a commenter on this following post http://investingpursuits.blogspot.com/2015/06/option-trade-update-part-2.html. The commenter is Daniel who gives a good example.
Thanks for sharing IP. Awesome receiving dividend checks month after month. Keep it up and glad to see posts from you. Keep hustling hard my friend.
ReplyDeleteDividend Hustler,
DeleteThanks for dropping by. It is definitely great to receive dividend "paychecks" every month. How can anyone not like that ?
I was glad to start on this journey just around 5 years ago instead of starting today.
Nice income again, tough to see just 4% Y/Y increases, though, any idea why? What do you mean by "swing trade?"
ReplyDeleteThanks for sharing and keep it rollin.
Eric
Eric,
DeleteThanks for dropping by. The YOY increase is small due to two stocks in the list which are Enerplus and Just Energy. Enerplus has cut its dividend from $0.09 per month to $0.05 per month a few months back. Enerplus is feeling the effects of the low price of a barrel of crude oil. Just Energy reduced its dividend for $0.84 per share annually, or $0.07 per share monthly, to $0.50 per share annually, or $0.1250 per quarter. Just Energy had lots of debt and their payout ratio was higher. They reduced the dividend and their debt by a huge amount recently and air aiming for a dividend payout ratio below 70%.
A swing trade is a trade that you hold for a long time from weeks to months. Basically, like a pendulum swinging, you let the profits swing out. As my swing trade is a REIT, some of the distribution is a Return of Capital. This is subtracted from my cost basis, so this will increase my gain or reduce my losses.
Dividend income enhanced with some options premiums is always a good thing. Every little bit counts. Though I don't share any names with you for June it's great to see a couple hundred come in without having to lift a finger. Thanks for sharing.
ReplyDeleteThis is one of the best article i was read in this month. Thank you so much for interesting article.Keep sharing
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