Net Worth Update - June 25 2022

 Today is June 25, 2022. Although passive income through dividends and option premiums is my focus when it comes to investing, I decide to do a post about my current net worth.

What is net worth? Simply put, net worth is calculated by adding up all assets and subtracting the total of all liabilities. Net worth is sometimes referred to as shareholder's equity. Assets and liabilities are part of the balance sheet.

Assets

Savings

The savings section is currently into 3 segments. The 3 parts are a "high" interest savings account, savings account, and an "investment" savings account.

The TFSA savings account was with Tangerine. I was frustrated with getting such a low interest rate with Tangerine. I took the money out and placed it in non-registered high interest rate savings account with EQ Bank. Unfortunately, the account did not disappear as interest was earned in the TFSA with Tangerine for the month I transferred the balance. The balance is $0.18. With a value this low, I do not even earn interest as the balance so low.  

On June 25, 2022, the value of the savings account with EQ Bank is $649.76. As of the time of this writing, the interest rate for EQ Bank is currently sitting at 1.65%. 

The stock and ETF investment involves a stock and an ETF that I hold within my margin account. I keep the dividends and distributions received separate from the dividends I post in my dividend income updates.

There has been new purchases in this account since last published update on March 26, 2022.

On April 22 I purchased 4 units of ZWC at $20.08 for a total cost of $80.33 including commissions.  The ETF currently has a monthly distribution of $0.10 per unit.  The yield on cost for this purchase is 5.98%.

On May 10, I purchased 4 units of ZWC at $18.75 for a total cost of $75.01 including commissions.  The monthly distribution remained unchanged.  The yield on cost for this purchase is 6.40%.

On June 10, I purchased 3 units of ZWC at $18.75 for a total cost of $56.26 including commissions. The monthly distribution remained unchanged at $0.10 per unit.   The yield on cost for this purchased is 6.40%.

 I own 89 units of Bank of Montreal's  Canadian High Dividend Covered Call ETF (ZWC.TO).  I received a total of $150.54 in total distributions as of June 25, 2022.

I own 41 units of Transalta Renewables (ticker symbol  RNW.TO).  Transalta Renewables pays a monthly dividend of $0.07833 per share.  I  received a total of $28.89 in total dividends as of June 25, 2022.

On June 25, 2022 , the current value of this "stock / ETF account" is $2190.33.  I have earned a total of $268.84 in total dividends/distributions in this account. 

Overall, the savings total is $2840.27 . 

Non-registered Accounts

The non-registered accounts consist of a margin account and 2 stocks held directly with the transfer agents. The margin account is with Questrade. The total value is $111947.88 as of June 25, 2022. This is an decrease of 9.05% since the last published net worth post.


TFSA Investing Account

The TFSA investing account balance is $57775.80 as of June 25, 2022. This account is with Questrade. This is an decrease of 9.24% since the last published net worth post.

Trading Account

The trading account is with Questrade. There is an active trade on in this account as of the time of this writing. As of June 25, 2022, the value of this account is $3968.08 .

RRSP

I have transferred my RRSP from Tangerine to Questrade in April 2020. While at Tangerine, the RRSP was in the form of a "high" interest savings account. Now at Questrade, I decided to put the money to work.

As of June 25, 2022, I own 121 shares of CP Rail (Ticker Symbol  CP.TO) , 110  units of XAW, and 49 shares of Alimentation Couche-Tard  (ATD.B.TO).   I sell covered calls on the CP Rail position.  As of June 25,  there is an active covered call option trade on CP Rail.  

The value of this account as ofJune 25, 2022 is $17,003.35 . This is an decrease of 3.51% from March 26, 2022.

Summary of Assets

Total Savings : $2840.27
Non-Registered accounts : $111947.88
TFSA Investing : $57775.80
Trading Account: $3968.08
RRSP Savings Account: $17003.35

Total Assets = $193535.38  (decrease of 8.49% from 3 months ago)

Liabilities

The balance on my line of credit is $830.00. 

The owe $673.63 CAD in my margin account.  The margin is in the Canadian dollar account within my margin account in Questrade.  The USD account in Questrade has a positive cash balance.

Summary of Liabilities

Credit Line = $830.00

Margin = $673.63

Total Liabilities = $1503.63

Conclusion

On June 25, 2022, my net worth is $192031.75 . This is a decrease of $19300.86, or 9.1330%, from 3 months ago.


The market continues to go up and down. During the last 3 months, we have seen the rise of inflation and the fears of a recession take hold.  We have seen one quarter of negative economic growth.  If we have another quarter of negative economic growth then we are officially in a recession. 

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To read the seventh net worth update, click here. 

To read the eighth net worth update, click here.  

To read the ninth net worth update, click here.

To read the tenth net worth update, click here. 

Disclosure: - Long all aforementioned stocks
  

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.

Dividend Income From Some Canadian Bloggers - May 2022

The price of gas remains high at the pumps right across Canada and the United States.  This means the prices of things will continue to rise as businesses pass their costs onto other businesses.  This trickles all the way down to the end consumer. 

The FED and Bank of Canada will likely hike interest rates in the next few months. This will likely mean more interest on savings accounts, if banking institutions decide to increase the interest rate on their savings accounts.  Due to the high rate of inflation, saving money into a so-called high interest savings account may not be a good idea.  Of course, one should build up an emergency fund. 

The supply chain issues continue to carry on.  This also helps to drive up prices even more.  The costs of everything continues to higher than even just a few months.  To make matters even worse,  CN Rail has received a 72 hour strike notice from the union representing Signals and Communication employees.  CN Rail is often said to be the best Class 1 railroad in North America. 

If this rail strike goes ahead, it will be interesting to see if the federal government enacts back to work legislation.  CN Rail serves 3 coasts and the only rail line to serve the ports of Halifax (east cost) and Prince Rupert (west coast).    

Let's get to the list of dividend income from some Canadian bloggers for May 2022.  Of course, I first want to mention my own dividend income report.

Passive Canadian Income received $1750.43 in passive income for the month of May 2022.  Of this total, 485.71 was dividend income.  The amount of new shares / units dripped came in at 6.

All About The Dividends received $551.77 in dividend income and added over $20.43 in forward dividend income via DRIPs.  There is also mention of the purchases that were made during May 2022.  

Reverse The Crush received $91.55 in dividend income in May  2022.  This is a 115% YoY increase.  

Our Life Financial received $1360.35 in total dividend income and 17% increase YoY.  

Moneymaaster received $574.34 in dividend income and dripped 27 new shares/units to boost his future dividend income. 

My Own Advisor and Gen Y Money shared their individual dividend income updates with the world.  The blogger behind My Own Advisor, Mark Seed, forward annual dividend income rose over $700 from last month via dividend increases alone. Although their actual amount of dividend income received in May 2022 is not mentioned, there is some great information in their respective posts.    

Fire We Go received $1204.54 in dividend income for the month of May 2022. 

Labour To Leisure received $209.82 in dividend income for the month of May 2022.  

Tawcan received $2431.27 in dividend income in May 2022.  This dividend income represents 36.73% YoY increase.

Conclusion:

We all started with $0.00 of passive income and have grown our investments over time. Each "BUY" transaction can provide ongoing dividend income which may also be increased over time.

In Canada and the United States, many brokerage accounts offer commission free trades and/or commission free ETFs. You can get started on your investing journey with very little money.

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.

Dividend Update - May 2022

     

The month of May 2022 is another month of dividend income landing in my accounts.

Due to becoming debt free, I changed my pay myself model. Starting the beginning of August 2021. I am paying myself 30%, just like before. This will now consist of 24% to investing, and 6% to savings. The investment portion is going to my TFSA. Any money left over at the end of the month, I put towards investing on top of the money allocated from paying myself first. Hopefully, I can keep this up!

Note: All the dividends and totals below are in Canadian Dollars

I received a total of $337.49 in dividend income for the month of May 2022. This represents a 0.76% increase from 3 months ago and 12.10% increase year over year.

The slight increase from 3 months ago was due to Cominar REIT was taken over March 4.  This was offset by more distributions from Killam Properties REIT has more units were purchased. 

I received dividend / distribution income from 8 different companies.

I received $34.05 in option premiums within my investment accounts in May 2022.

Below is a visual of my dividend totals for the last 5 years.

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Most of my dividend income comes from my margin account.

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Next, I will show the percentage of total income for each position.

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In the same time period in 2021, I received $2362.39  In the first 5 months of 2022, I received $2702.16 in dividends.  This is an increase of 14.38% over the same period of 2021.  

 

I will update my dividend income tab with the new amount. I will include my option premium income also. It is great to see money from passive income sources deposited into my brokerage account every single month.

Note: Any activity in my RRSP account is not included in these totals.

How was your dividend income for May 2022?

Disclosure : Long all mentioned securities

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.

Portfolio Update - May 2022

The month of May 2022 is now behind us.

The Russian invasion of Ukraine is still the major topic in the news.  This has led to higher than average gas prices across the country.  This also leads to higher inflation as transportation costs by companies are eventually passed onto the consumer.  

A new health care issue has starting to spread fear within our borders.  This health care issue is monkeypox. After going through COVID19 pandemic, a lot of people are on edge when it comes to health care related issues.

The stock market is dropping as fears of a recession are taken hold across the world.  The S&P500 is down 14.34% YTD and the S&P TSX Composite Index is down 2.10% YTD.  The latter is not down as much as the former, and this is due to Canada has lots of energy companies in their index.   

The United Conservative Party of Alberta (UCP) members voted on the leadership of Jason Kenney.  The vote came in just over 51%.  Jason Kenney, the premier of Alberta, announced he will step down as leader as 51% is not enough to lead a party and keep the party united.  Kenney will stay on a leader and Premier until a new leader is chosen in a leadership race.

Portfolio Activity

Margin Account Activity

On May 5,  I sold 1 May 27 2022 $31.00 T.TO Put option at $0.45.  This result in a net premium of $34.05 after commissions.  The days to expiration was 22 days.  The option expired worthless at expiration.

On May 20, I purchased 30 shares of Restaurant Brands International (QSR.TO) at $64.00 per share for a total cost of $1925.06 including commissions.  Restaurant Brands International pays a dividend in US dollars.  Restaurant Brands International pays a dividend of $0.54 USD per share quarterly, or $2.16 per share annually.  At the time of this writing, the equivalent CAD dollar equivalent of 2.71998.  The yield on cost using the CAD equivalent dividend is 4.24%.

This purchase adds approximately $81.60 CAD to my annual dividend income at the time of this writing. 

TFSA Activity

On May 17, I exited my position in A&W Royalties Income.  I sold 38 units A&W Royalties Income Fund at $39.61 for proceeds of $1500.10 including commissions.  

A&W Royalties Income Fund pays a dividend of $0.155 per unit monthly, or $1.86 per unit annually.  I owned 38 units of A&W Royalties Income Fund.  This sales reduces my annual dividend income by $70.68 CAD.  

Shares Purchased Via DRIP

1 unit  of BPF.UN.TO @ $16.12 for a total cost of $16.12 (TFSA)

Boston Pizza Royalties Income Fund pays a distribution of $0.085 per unit monthly, or $1.02 per unit annually.  This drip adds $1.02 CAD  to my annual dividend income.  The yield on cost for this DRIP is 6.33%.

 

I have some other positions with the DRIP turned on, but might not have enough of a dividend to purchase a whole share. 

My Enbridge position directly with the transfer agent is set up to DRIP.  Around November 2018, Enbridge stopped their DRIP program.  If Enbridge decides to start a DRIP, then my shares will start to DRIP again automatically.  

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 May 3, Mullen Group Ltd (MTL.TO) increased their dividend from $0.05 to $0.06 CAD per share monthly, or from $0.60 to $0.72 CAD per share annually.  This is an increase of 20%.

I currently own 100 shares of Mullen Group Ltd.  This increase adds $12.00 CAD to my annual dividend income.

On May 6, Telus Corporation (T.TO) increased their dividend from $0.3274 to $0.3386 per share quarterly, or from $1.3096 to $1.3544 per share annually.  This is an increase of 3.42%.

I currently own 48 shares of Telus.  This increase adds $2.15 CAD to my annual dividend income.

On May 12, Algonquin Power and Utilities (AQN.TO) increased their dividend from $0.1706 to $.1808 USD per share quarterly, or from $0.6824 to $0.7232 USD per share annually.  This is an increase of 5.98% when using US Dollars.  

I currently own 271 shares of Algonquin Power and Utilities.  This increase adds $11.06 USD to my annual dividend income. At the time of this writing, the Canadian dollar equivalent is $13.93.

On May 25, Bank of Montreal (BMO.TO) increased their dividend from $1.33 to $1.39 per share quarterly, or from $5.32 to $5.56 per share annually.  This is an increase of 4.51%.

I currently own 85 shares of BMO.  This increase adds $20.40 CAD to my annual dividend income.

On May 25, Bank of Nova Scotia  (BNS.TO) increased their dividend from $1.00 to $1.03 CAD per share quarterly, or from $4.00 to $4.12 per share annually.  This is an increase of 3.00%.

I currently own 86.655789 shares of Bank of Nova Scotia.  This increase adds $10.40 CAD to my annual dividend income.

On May 26, Royal Bank of Canada (RY.TO) increased their dividend from $1.20 to $1.28 per share quarterly, or from $4.80 to $5.12 per share annually.  This is an increase of 6.67%.

I currently own 56 shares of Royal Bank.  This increase adds $17.92 CAD to my annual dividend income.

On May 26, Canadian Imperial Bank of Commerce "C.I.B.C" (CM.TO) increased their dividend from $0.805 to $0.0.83 CAD per share quarterly, or from $3.22 to $3.32 per share annually.  This is an increase of 3.12%.

I currently own 220 shares of CIBC.  This increase adds $22.00 CAD to my annual dividend income.

I received 7 dividend increases for the month of May 2022.  My annual dividend income from these increases increased by approximately $98.80 CAD.

Dividend Decreases

There were no dividend decreases announced in May 2022.  

Summary: 

As of June 4, 2022 , the total value of the portfolio is $181950.22 . This is a 2.04% increase over last month's total. 

The portfolio is estimated to produce an estimated $6819.89 dividend income over the next 12 months. This is an increase of $89.39 CAD , or 1.33%. Some of the dividends in the Canadian stocks section are paid in US dollars, which are converted to Canadian dollars.

Please Note: Positions in Enerplus Corporation (ERF.TO), Restaurant Brands International (QSR.TO) , Intertape Polymer Group (ITP.TO), Brookfield Renewables Corporation (BEPC.TO), and Algonquin Power and Utilities (AQN.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. 

Note: Dividend increases or decreases announced in December 2021 will be mentioned in next portfolio update.  The spreadsheet will be updated to reflect any corresponding increases or decreases at that time. 

Disclosure: Long aforementioned stocks

               
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.