Portfolio Update : August 2019

The month of August 2019 now behind us.
The federal government has not officially called the election but the election must happen, by law, in October. This is due to a law being passed that a federal election must happen every 4 years  on fix election dates, unless an election is called sooner.

The trade wars continue to play out between the United States and China. This along with the fears of a major recession have cause the stock markets in North America to have big raises and drops in recent weeks.

Portfolio Activity

Margin Account Activity


Margin Account Trade 
  On August 6, I purchased 300 shares of Telus Corporation (T.TO) at $47.10 for a total cost of $14134.95 including commissions. I bought these shares with the intent of selling in the near future for a profit. This profit was to go into savings or to pay down debt.

Over the next week, the markets dropped a lot in a few days. I decided to sell the 300 shares of Telus at a smaller profit than I was looking for to take advantage of opportunities. On August 14, I sold 300 shares of Telus Corporation at $47.60 for net proceeds of $14274.00 including commissions.  I now paid back my margin and the trading account balance that I borrowed to make the trade.
 
The profit of this trade was $139.05. The profit was used to pay down debt. 

Purchase #1
 
On August 15, I added to my position in Canadian Imperial Bank of Commerce "C.I.B.C" (CM.TO).  I purchased 45 shares of  C.I.B.C at a price of $98.00 for a total cost $4415.11 including commissions. At the time of this purchase, CIBC was paying a quarterly dividend of $1.40 per share quarterly, or $5.60 annually. This purchase added $252.00 to my annual dividend income. The yield on cost for this purchase was 5.71%.
 
Purchase #2
 
On August 15, I added to my position in Bank of Montreal (BMO.TO).  I purchased 50 shares of Bank of Montreal at a price of $92.00 per share for a total cost of $4605.12 including commissions. 

Bank of Montreal pays a dividend of $1.03 per share quarterly, or $4.12 per share annually. Therefore this purchase adds $206.00 to my annual dividend income. The yield on cost for this purchase was 4.47%.

TFSA Activity
 
Purchase #1
  On August 6, I added to my position in Royal Bank (RY.TO).  I purchased 9 shares of Royal Bank at $100.40 per share for a total cost of $908.58 including commissions.
 
As of August 6, Royal Bank paid a quarterly dividend of $1.02 per share quarterly, or $4.08 per share annually. Therefore, this purchase added $36.72 to my annual dividend income. The yield on cost for this purchase was 4.04%. Sale On August 15, I noticed a position that I owned has increased in value to a point were I felt it was time to sell. Dream Office REIT was trading near by adjusted cost base per share and has cut their distribution a couple times over the last 3 years. After the final distribution cut well over a year ago, the distribution has not been raised.
 
On August 15, I sold out of my position of 168 units in Dream Office REIT at price of $26.41 per unit. This sale resulted in a loss of less than $100.00.
 
Dream Office REIT paid a monthly distribution of $0.08333 per unit, or $1.00 per unit annually. This sale decreases my annual dividend income by $168.00.  
Purchase #2

On August 15, I added to my position in TD Bank (TD.TO). I purchased 25 shares of TD Bank at $71.57 per share for a total cost of $1794.29 including commissions.

TD Bank currently pays $0.74 per share quarterly dividend, or $2.96 per share annually. Therefore, this purchase adds $74.00 to my annual dividend income. The yield on cost for this purchase is 4.12%.

Purchase #3 

On August 27, I added to my position in Royal Bank. I purchased 27 shares at $97.50 per share for a total cost of $2637.54 including commissions.

At the time of this purchase, RY was paying $1.05 per share dividend, or $4.20 annually. Therefore, this purchase adds $113.40 to my annual dividend income. The yield on cost for this purchase is 4.30%.

The dividend rate is different for this transaction as the dividend was raised after the first Royal Bank purchase earlier in the month. 

There was no option trades during the month of August in the portfolio.

Shares Purchased Via DRIP

1 unit of CUF.UN.TO @ $12.34933 for a total cost of $12.35 (TFSA)
 
I own 221 units of Cominar REIT (CUF.UN.TO). Currently, CUF.UN pays $0.72 per unit per year, or $0.06 per unit monthly, distribution. This DRIP adds $0.72 to my annual dividend income. The yield on this dripped unit is 5.83%.

Please note that if some brokerages DRIP shares when there is no DRIP program by the actual company. This DRIP is when the brokerage buys the shares directly off the public market stock exchanges.

Dividend Increases

On August 8, Intertape Polymer Group (ITP.TO) increased their quarterly dividend from $0.14 USD to $0.1475 USD. This is an increase of 5.35% in terms of USD dollars. At the time of this writing, the exchange rate is 1.3311. I own 50 shares of Intertape Polymer Group. This increase adds $2.00 CDN to my annual dividend income.

On August 21, Royal Bank increased their dividend from $1.02 per share quarterly to $1.05 per share quarterly, or $4.08 per share annually to $4.20 per share annually. As of the time of this increase I owned 29 shares of Royal Bank. This increase adds $3.48 to my annual dividend income.
 
On August 22, CIBC increased their dividend from $1.40 per share to $1.44 per share quarterly, or from $5.60 per share to $5.76 per share annually. I own 110 shares of CIBC, therefore this increase adds $17.60 to my annual dividend income.

On August 27, Bank of Nova Scotia increased their dividend from $0.87 per share to $0.90 per share quarter. I own 65.097222 shares of Bank of Nova Scotia. This increase adds $7.81 to my annual dividend income.

Dividend Decreases

There was no dividend decreases announced in the month of August.

Summary:

As of September 1 , the value of the portfolio is $123060.32. This is a 0.992% increase over last month's total.

The dividend increases increased my annual dividend income by $30.89. This is equivalent of investing $882.57 of my own money at 3.5%.

The portfolio is estimated to produce $5417.45 in dividend income over the next 12 months.

Disclosure: Long CUF.UN, BNS.TO, RY.TO, CM.TO, BMO.TO, T.TO, ITP.TO

Please Note: Positions in Restaurant Brands International (QSR.TO) and Intertape Polymer Group (ITP.TO) pay dividends in US dollars. Brookfield Renewables Partners (BEP.UN) pays distributions in US dollars. My investment tab spreadsheet displays the Canadian dollar equivalent within 15 to 20 minutes of real time.

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.