Saturday, November 2, 2019

Portfolio Update: October 2019

The month of October 2019 now behind us.

The federal election in Canada was on October 21. The outcome of the federal election was a Liberal minority government. Justin Trudeau remains Prime Minister unless a coalition between the other federal parties is formed.

In Canada, there are a lot of political parties at the federal level. Some of never one a seat. Currently, 5 of these parties are talked about and referred to mostly in the media. The are Liberal party, Conservative Party, Green Party, New Democratic Party (NDP), Bloc Quebecois, and People's Party of Canada.

With a minority government, the government can fall if it loses a confidence vote in the House of Commons more easily than a majority. In a majority situation, enough of their own MPs voting with the government must show up to outnumbered the total MPs present from all the people voting against the government.

There is still trouble in the Canadian oil patch. Husky Energy recently announced layoffs. Encana Corporation announced they are moving to the United States and changing the name of the company.

Portfolio Activity

Margin Account Activity

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

My trade in TFI International (TFII.TO) is completed as the covered call option was assignment on October 18, 2019. As stated in last month's update, capital gains, option premiums and dividends will be all used to pay down debt minus the cost of the margin which was under $15.00.

Other than the TFI International sale, there were other selling of positions.

The only purchase within the margin account was the result of a drip.

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

TFSA Activity

There was no purchases and selling in the TFSA account.

There was no drip in Cominar REIT (CUF.UN.TO) in October as the distribution was not enough to purchase one unit after a slight increase in the price of the REIT.

Shares Purchased Via DRIP

0.536792 shares of BNS.TO @ $75.6159 for a total cost of $40.59 (Transfer agent)

I now own 45.634014 shares of Bank of Nova Scotia directly with the transfer agent. Currently, BNS.TO pays $3.60 per share per year, or $0.90 per share quarterly, dividend. This DRIP adds $1.93 to my annual dividend income. The yield on this dripped unit is 4.76%.

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 October 24, TFI International increased their quarterly dividend from $0.24 to $0.26, or $0.96 per share annually to $1.04 per share annually. This is an increase of 8.33%. As of the time of this writing, I own 50 shares of TFII.TO. This increase adds $4.00 CAD to my annual dividend income.
Dividend Decreases

There was no dividend decreases announced in the month of October


I decided to give a more accurate portfolio and included my US Stock portfolio along with the Canadian stock portfolio. I included the combined CAD amount for cash in all my postings but not the market value of the position.

I currently have one US position and it is held within my TFSA. The position is Facebook (FB). I have owned this position very near the IPO date or maybe even on the first day the shares traded.

I added a new sheet to my investment tab spreadsheet, showing this position and the USD cash position of both accounts. There is a small cash position within the US portion of margin account from a General Electric position I had years ago. Most of the cash as the result of the General Electric position was converted back into Canadian dollars.

The investment tab spreadsheet now has 2 sheets, one being the Canadian portfolio and one being a US portfolio. The latter is all in USD dollars. On the Canadian portfolio sheet, I take the sum of the US portfolio balance converted to CAD and the Canadian portfolio balance to give a total portfolio balance.

As of November 2 , the total value of the portfolio is $127003.04. This is a 1.700% increase over last month's total. This increase is completely due to including the market value of my Facebook shares. Otherwise, the total would be a slight negative decrease over last month's total.

The dividend increases increased my annual dividend income by $4.00 CAD. This is equivalent of investing $114.29 of my own money at 3.5%.

The portfolio is estimated to produce $5428.07 CDN in dividend income over the next 12 months.

I updated my investing tab spreadsheet.

Disclosure: Long CUF.UN, TFII, BNS

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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