Net Worth Update - June 22 2024

Today is June 22, 2024. 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 22, 2024, the value of the savings account with EQ Bank is $8675.38 . As of the time of this writing, the interest rate for EQ Bank is currently sitting at 2.50%.  The interest rate is the same as 3 months ago. 

The stock and ETF investment involves one stock and cash  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.

Currently, do not own any ETFs in this account since the last update.

I own 200 shares of TransAlta (TA.TO) and cash.

On June 22, 2024 , the current value of this "stock / ETF /cash account" is $2972.36 .  I have earned a total of $509.29 in total dividends/distributions in this account. 

Overall, the savings total is $11647.92

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 $120534.41 as of June 22, 2024. This is an decrease of 5.86% since the last published net worth post.

TFSA Investing Account

The TFSA investing account balance is $102135.40 as of June 22, 2024. This account is with Questrade. This is an increase of 1.841% since the last published net worth post.

Trading Account

The trading account is with Questrade. There is an active trade on this account.  I also have sold a covered call on this position, which is still active. As of June 22, 2024, the value of this account is $5642.73.

RRSP

As of June 22, 2024, I own 21 shares of CP Rail (Ticker Symbol  CP.TO) , 144 units of XAW, 200 shares of Emera Inc (EMA.TO) and 49 shares of Alimentation Couche-Tard  (ATD.B.TO)  

I also own 52 units of CASH.TO. 

I currently have a covered call on the Emera position.  

The value of this account as of June 22, 2024 is $23574.93 . This is an decrease of 1.852% from March 24, 2024.

Summary of Assets

Total Savings : $11647.92
Non-Registered accounts : $120534.41

TFSA Investing : $102135.40
Trading Account: $5642.73
RRSP Savings Account: $23574.93

Total Assets = $263535.39  (decrease of 2.24% from 3 months ago)

Liabilities

The balance on my line of credit is $0.00. 

I owe $2588.88 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 = $0.00

Margin = $2588.88

Total Liabilities = $2588.88

Conclusion

On June 22, 2024, my net worth is $260946.51 . This is an decrease of $2481.84, or 0.942%, 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 continue to take hold. 

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To read the eighteenth net worth update, click here.  

To read the fifteenth net worth update, click here. 

To read the sixteenth net worth update, click here. 

To read the seventeenth net worth update, click here.

To read the eighteenth 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 Update - May 2024

                

The month of May 2024 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!

Update on paying myself first. At the start of August 2022, I now pay myself 35%.  This will consist of 25% to investing and 10% to savings. 

At the start of January 2024, I will now aim to allocate 27% to investing and 10% to savings. 

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

I received a total of $509.17 in dividend income for the month of May 2024. This represents a 31.6% increase  from 3 months ago and 46.5% increase  year over year.

I received dividend / distribution income from 9 different companies.

I received $0.00 in option premiums within my investment accounts in May 2024.

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.  As more investments and DRIPs are made inside TFSA, the percentage of dividend income for the TFSA is increasing.  

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

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In first fives months of 2023, I received $3203.80 in dividends. In first five months of 2024, I received $4235.13 in dividends. This is an increase of 32.19% YTD in 2024 over the same period in 2023. 

The graph below shows my total dividend income, as per the blog, since 2012. 

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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 2024?

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 2024

 The month of May 2024 consisted of anticipation of a interest rate cut by the Bank of Canada.  This has been on the mind of homeowners and people looking to get into the housing market. 

 
The interest rate was increased drastically from 2022 to July 2023, where it has remained at 5% for almost a year.  As mortgages were coming up for renewal,  people are facing higher mortgage payments. As more and more mortgages are coming up for renewal, homeowners are going to have a lot less disposable income.   

The Bank of Canada had an interest rate decision on June 5, 2024.  The Bank of Canada governor has decreased the interest rate by 25bps, or 0.25%, to 4.75%.  This means people with variable rate mortgages, lines of credit, or variable rate loans, will see smaller payments.  Every bit helps!

Another major issue affect homeowners and renters is the drastic increase in property taxes across the country. In Edmonton, Alberta, the city council announced a 8.9% increase in property taxes.  So, this will mean higher property taxes for homeowners, and higher rents for renters.

The cost of groceries continues to rise, but at a slower pace.  The only thing I noticed that remained the same over the last several years are bananas. 

The S&P500 was up 3.07% over the past month.  

The S&P TSX Composite Index was down 1.13% over the past month.

Portfolio Activity

Margin Account Activity

A major thing occurred that was a big shock to me.  On June 3, Enerplus was acquired by Chord Energy Corporation.  Enerplus is a Canadian energy company that sold most of its Canadian operations to concentrate on the United States market.  Chord Energy Corporation is a United States company in the energy space, that trades on the Nasdaq under the ticker symbol CHRD.   

   Pursuant to the Arrangement Agreement, by and among Chord, Enerplus and Spark Acquisition ULC, dated February 21, 2024, at closing each common share of Enerplus was exchanged for 0.10125 shares of Chord common stock and $1.84 in cash. As a result, Chord issued approximately 20.7 million shares of common stock in the Arrangement, which shares are listed for trading on NASDAQ. With the completion of the Arrangement, as of today, Enerplus common shares will no longer be listed for trading on the New York Stock Exchange and are expected to be de-listed from the Toronto Stock Exchange after market close on June 3, 2024.
    As permitted in the Arrangement Agreement, the board of directors of Enerplus declared an additional dividend on May 23, 2024 of $0.232675 per common share of Enerplus that is payable on June 4, 2024 to Enerplus shareholders of record as of May 30, 2024. (Source : Yahoo Finance)

Besides the regular dividend from Enerplus, they also payed a second dividend.  So I received a dividend payment of $68.85 CAD for having 777 shares of Enerplus on the record date of May 22.  The second dividend payment was for $246.27 CAD for having 777 shares of Enerplus on the record date of May 30, 2024.  

With the merger, I received 78 shares of Chord Energy Corporation (CHRD) and received $1429.68 USD.  Actually, my brokerage converted this cash amount to CAD, so I received $1955.06 in Canadian dollars. 

This was a wake call to me, to open documents the same day I receive them from my brokerage.  Also, pay more attention to news about the positions I own via online sites like yahoo finance.

TFSA Activity

There has been no activity this account during May 2024.

Shares Purchased Via DRIP

3 shares of EMA.TO @ $49.39442 for a total cost of $148.18 (Margin)

1 share of FTS.TO @ $54.24986 for a total cost $54.25 (TFSA)

1 unit of KMP.UN @ $17.8235 for a total cost of $17.82 (TFSA)

1 unit of SRU.UN @ $23.1535 for a total cost of $23.15 (TFSA)

2 units of BPF.UN @ $15.7535 for a total cost of $31.51 (TFSA)

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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.  

Dividend Increases

On May 7, Telus increased their dividend from $0.3761 to $0.3891 CAD per share quarterly, or from $1.5044 to $1.5564 CAD annually.  This is an increase of 3.46%.  Telus has been increasing their dividend twice a year.

At the time of this writing, I currently own 472 shares of Telus. This increase adds $24.54 CAD to my annual dividend income. 

On May 29, Bank of Montreal increased their dividend from $1.51 CAD from $1.55 CAD per share quarterly, or from $6.04 CAD to $6.20 CAD per share annually.  This is an increase of 2.65%.  Bank of Montreal usually increases their dividend twice a year.

I currently own 85 shares of Bank of Montreal (BMO.TO).  This increase adds $13.60 CAD to my annual dividend income.

On May 30, Royal Bank of Canada increased their dividend from $1.38 CAD to $1.42 CAD per share quarterly, or from $5.52 CAD to $5.68 CAD 

per share annually.  This is an increase of 2.90%.  Royal Bank has been increasing their dividend 2 times a year. 

I currently own 56 shares of Royal Bank (RY.TO).  This increase adds 

$8.96 CAD to my annual dividend income. 

Dividend Decreases

There were no dividend decreases in April 2024. 

Summary: 

As of June 8, 2024, the total value of the portfolio is $229493.15 CAD. This is a 2.72% increase over last month's total.  

The portfolio is estimated to produce an estimate $11383.15 CAD in dividend income over the next 12 months. This is an increase of $355.10 CAD , or 3.23%. Some of the dividends in the Canadian stocks section are paid in US dollars, which are converted to Canadian dollars.

Googlesheets is still not operating properly.  So, I had to manually enter the market value for the REITS, BEP.UN, BPF.UN, and AW.UN. 

 

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. 

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.ir financial situation and tolerance for risk.