Friday, October 4, 2019

Portfolio Update: September 2019

The month of September 2019 now behind us.

On September 11, the Prime Minister of Canada visited the governor general and started the federal election campaign. It is often said that this federal election will be the most important ever for Canada. The major issue of the election is climate change and how each party's plan would help Canada reach its Paris Accord targets by 2030.

As the polls show we could have a Conservative minority or Liberal minority, leaders from all parties are trying to win over voters by promising everything under the sun.

The Canadian federal election will occur on October 21, 2019.

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

There is little activity in the margin account during the month of September.

I did make a trade in TFI International (TFII.TO). I purchased 200 shares of TFII.TO at $39.20 per share on September 24 for a total cost of $7844.95 including commissions.

On September 26, I then sold 2 covered call contracts on TFII.TO at net premium of $88.05 including commissions. The expiration date is October 18, 2019. The strike price is $40.00.

I am using any cashflow or capital gains from this trade to be directly applied to debt, which you can read about here. I will hold back $20.00 per month until the trade is closed out to cover margin debt interest on approximately $3000.00. To reflect this, I indicated this by red high lighting in the investment tab spreadsheet. I "borrowed" money from my trading account to reduce the amount of margin debt that was needed. Once this trade is closed, the money "borrowed" from trading account will be returned and the margin account will be in the black.

For Disclosure: I also own shares of TFI International inside my TFSA.

TFSA Activity

There was no purchases and selling in the TFSA account except a DRIP.

Shares Purchased Via DRIP

1 unit of CUF.UN.TO @ $12.5035 for a total cost of $12.50 (TFSA)

I now own 222 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 5.76%.

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 September 27, Emera Inc. increased their quarterly dividend from $0.5875 to $0.6125, or $2.35 per share annually to $2.45 per share annually. This is an increase of 4.26%. As of the time of this writing, I own 100 shares of EMA.TO. This increase adds $10.00 to my annual dividend income.

Dividend Decreases

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


As of October 4 , the value of the portfolio is $124879.75. This is a 1.478% increase over last month's total.

The dividend increases increased my annual dividend income by $10.00. This is equivalent of investing $285.71 of my own money at 3.5%.

The portfolio is estimated to produce $5426.79 CDN in dividend income over the next 12 months.

I updated my investing tab spreadsheet.

Disclosure: Long CUF.UN, EMA, TFII (TFSA)

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.

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.

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