Net Worth Update - September 28 2024

 Today is September 28, 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 September 28, 2024, the value of the savings account with EQ Bank is $10205.66 . As of the time of this writing, the interest rate for EQ Bank is currently sitting at 2.25%.  The interest rate was reduced by 0.25%, or 25bps.  The Bank of Canada has deduced the interest rate for the first time in several years.  

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 September 28, 2024 , the current value of this "stock / ETF /cash account" is $3896.39 .  I have earned a total of $521.29 in total dividends/distributions in this account. 

Overall, the savings total is $14102.23

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 $130939.45 as of September 28, 2024. This is an increase of 8.63% since the last published net worth post.

TFSA Investing Account

The TFSA investing account balance is $121297.86 as of September 28 2024. This account is with Questrade. This is an increase of 18.77% 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 sold a few covered calls on this position, and one of these is still active. As of September 28 2024, the value of this account is $6202.88.

RRSP

As of September 28, 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 September 28, 2024 is $25275.49 . This is an increase of 7.21% from June 22, 2024.

Summary of Assets

Total Savings : $14102.23
Non-Registered accounts : $130939.45

TFSA Investing : $121297.86
Trading Account: $6202.88
RRSP Savings Account: $25275.49

Total Assets =$297817.91 (increase of 13.01% from 3 months ago)

Liabilities

The balance on my line of credit is $0.00. 

I owe $1279.35 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 = $1279.35

Total Liabilities = $1279.35

Conclusion

On September 28, 2024, my net worth is $296538.56 . This is an increase of $35592.05, or 13.64%, from 3 months ago.

The market continues to go up and down. During the last 3 months, we have seen inflation going down, but the fears of a recession continue to take hold. 

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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. 

To read the nineteenth 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 - August 2024

                   

The month of August 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 allocated 27% to investing and 10% to savings. 

Starting July 2024, I started allocating 30% to investing and 10% savings.

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

I received a total of $534.11 in dividend income for the month of August 2024.  This represents a  4.90% increase from 3 months ago and a  47.2% 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 August 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 eight months of 2023, I received $5180.66 in dividends. In first eight months of 2024, I received $7286.12 in dividends. This is an increase of 40.64% 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 August 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 - August 2024

 The month of August 2024 involved a major news event in Canada.  

Around 10:00pm EST on August 21, both Canadian National Railway and Canadian Pacific  Kansas City Railway (CPKC) locked out their employees as a result of collective bargain talks were not going well for several months.  Immediately after being locked out, the teamsters union for CPKC also went on strike.  The 2 major railroads in Canada stopped.

This was the first time ever, that the 2 railroads locked out their employees at the same time.

In the afternoon on September 22,  Labour Minister Steve MacKinnon announced he will use section 107 of the Canadian Labour Code. This means to refer the dispute to Canadian Industrial Relations Board for final binding arbitration.  

Immediately CN Rail employees took their pickets down and went back to work Friday, August 2023 in the early morning.  Later in the morning, the teamsters filed a 72hr strike notice for CN workers.  

CPKC kept their picket lines up until the Canadian Industrial Relations Board made a decision. The decision was announced on the afternoon of Saturday, August 24 that all railroads must start operating on Monday, August 26 at 12:01am.  Also, the strike and the future strike by teamsters for CN workers as been cancelled. 

CPKC went back to work on Monday, as the teamsters will abide legally with the ruling the the Canadian Industrial Relations Board. 

The teamsters is going to appeal, via the courts, the ruling by the Canadian Industrial Relations Board and the Labour minister.  

Both railways stated it will take several weeks to get caught up and more weeks to stabilize their operations. 

The S&P500 was up  1.68% over the past month.  

The S&P TSX Composite Index was up 2.50% over the past month.

Portfolio Activity

Margin Account Activity

There has been no activity on this account.  The naked put option on RCI.B.TO expired worthless.    

TFSA Activity

There has been no activity in this account.

Shares Purchased Via DRIP

3 shares of EMA.TO @ $49.80068 for a total cost of $149.40 CAD (Margin)

1 unit of KMP.UN @ $18.8935 for a total cost of $18.89 (TFSA)

1 unit of SRU.UN @ $24.0235 for a total cost of $24.02 (TFSA)

1 unit of REI.UN @ $17.41897 for a total cost of $17.42 CAD (TFSA)

1 share of FTS.TO @ $59.80129 for a total cost of $59.80 (TFSA)

2 units of BPF.UN @ $16.89482 for a total cost of $33.79 (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

There was no dividend increases in August 2024.

Dividend Decreases

On August 9th,  Algonquin Power and Utilities decreased their dividend from $0.1085 USD to $0.065USD per share quarterly, or from $0.434 USD to $0.26 USD per share annually. This is a decrease of 40%.

I currently own 311 shares of Algonquin Power and Utilities (AQN.TO).  This decrease reduces my annual dividend income by $54.11 USD. 

On August 7, LS Power agreed to acquire the large scale Renewable Energy business of Algonquin Power and Utilities.  Algonquin Power and Utilities decrease their dividend as their future earnings will be smaller as a result of selling the renewable energy business.

 

Summary: 

As of September 7, 2024, the total value of the portfolio is $243554.96 CAD . This is a 2.69% increase over last month's total.  

The portfolio is estimated to produce an estimate $11632.29 CAD in dividend income over the next 12 months. This is an decrease of  of 95.23 CAD , or -0.812%. Some of the dividends in the Canadian stocks section are paid in US dollars, which are converted to Canadian dollars.

Chord Energy (CHRD) announced a dividend of $2.52 USD per share on August 7. This dividend consists of a base dividend of $1.25 USD per share and a variable dividend of $1.27 USD per share.  So, I updated the spreadsheet with the annualized dividend per share of $5.00 USD per share on the basis of the using the base dividend.  The variable dividend will vary with earnings quarter to quarter. 

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.