Portfolio Update : August 2020

 The month of August 2020 now behind us. Some major things have happened in the world, which affect the markets in some way.

COVID19 is still front and center in the news. More and more jurisdictions are bringing in mandatory masks laws or bylaws to help slow the spread of the virus.  Now is the ultimate litmus test for COVID19 is students heading back to the classroom.  If schools are forced to shut down, one parent will have to stay own from work or work from home.

The protesting in the United States continues and has put people on edge. This will have negative effects on the economy as truckers are not feeling safe to deliver the goods to stores in various locations.  When stores have less of a product, they often increase the price due to supply and demand scenario.

Portfolio Activity

Margin Account Activity

There has been no activity in this account.    

TFSA Activity

I built up some cash in this account.  I was looking for some stocks I was watching to fall to my target price.  I was looking at Fortis, Brookfield Renewable Partners, and TD Bank.  

I actually had a limit order for Fortis that was reached, but the shares were rewarded to someone else.  

Brookfield Renewable Partners (BEP.UN) fell below by target price of $60.00.  

On August 31, I purchased 20 shares of BEP.UN at $59.66 per share for a total costs of $1198.15 including commissions.  The distribution was reduced from $2.17 USD per unit to $1.736 USD per unit. The distribution reduction is a result rewarding shareholders of BEP (on the NYSE) and BEP.UN with 1 share/unit of BEPC for every 4 units of the former that they held on the record date.  BEPC is a different corporate structure and Brookfield believe this will help attract new investors to their company.

I now own 53 units of BEP.UN.  This purchase adds $34.72 USD to my annual dividend income.  The equivalent to $45.36 in Canadian dollars as of the time of this writing.  BEP.UN pays in distribution in US dollars, but trades on the Toronto Stock Exchange.   

The addition of 8 shares of BEPC as a result of holding 33 units of BEP.UN on the record date adds $13.89 USD to my annual divided income.  This is equivalent to $18.15 in $CAD as of the time of this writing.  

Shares Purchased Via DRIP

0.765618 shares of BNS.TO @ $55.1711 for a total cost of $42.24 (transfer agent)

1 unit of CUF.UN @ $7.01877 for a total cost of $7.02 (TFSA)

1 shares of ERF.TO @ $4.1635 for a total cost of $4.16 (Margin Account)


Cominar REIT pays a monthly distribution of $0.03 per unit per month, or $0.36 per unit annually going forward. This DRIP adds $0.36 to my annual dividend income. The yield on cost for the DRIP unit is 5.13%. 

Enerplus pays a monthly dividend of $0.01 per share monthly, or $0.12 per share annually. This drip adds $0.12 to my annual dividend income. The yield on cost for this DRIP is 2.88%.

Bank of Nova Scotia pays a quarterly dividend of $0.90 per share monthly, or $3.60 per share annually. This drip adds $2.76 to my annual dividend income. The yield on cost for this DRIP is 6.53%.

My position in Bank of Nova Scotia that is directly with the transfer agent.  The dividend was paid on the July 29.  The dripped shares showed up in my account on August 5.

I have some other positions with the DRIP turned on, but might not have enough of a dividend to purchase a whole share. Boston Pizza Royalties Income Fund (BPF.UN) have suspended their dividend due to restrictions put in the place due to COVID19. 

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

There has been no dividend increases in August 2020.

Dividend Decreases

Cominar REIT (CUF.UN) announced a distribution decrease from $0.72 annually to $0.36 annually. This is a decrease of 50%.  I own 228 units of Cominar REIT.  Therefore, this reduces my annual dividend income by $82.08.

Cominar REIT properties, which include office properties, are located in Ontario and Quebec.  Quebec has been the hardest hit province with COVID19, which is where most of Cominar REIT properties are located.  

Summary: 

As of September 4, 2020 , the total value of the portfolio is $112487.46 . This is a 2.06% increase over last month's total. 

The portfolio is estimated to produce an estimated $5182.93 in dividend income over the next 12 months. This is an decrease of $45.85 CAD , or 0.88%. Some of the dividends in the Canadian stocks section are paid in US dollars, which are converted to Canadian dollars. The US dollar has weakened over the last month which results in the lower exchange rate when converting US dollars to Canadian dollars. 

Please Note: Positions in Restaurant Brands International (QSR.TO) , Intertape Polymer Group (ITP.TO), and Brookfield Renewables Corporation (BEPC.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. 

Disclosure: Long aforementioned stocks

                - Only hold Fortis in RRSP, which is not part of these updates. 

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.