Total Dividend Income Since 2012

As a dividend investor over the years, I have collected my rightful share of dividends from various companies.  Some companies have increased their dividend each and every year.  Some companies have not increased nor decreased their dividend in several years.  Other companies that I am a shareholder have cut, suspended or stopped their dividend.  The table below shows my total dividend income from January 1, 2012 to December 20, 2020 in relation to this blog. 

Two of the REITs no longer exit.  Whiterock REIT was taken over by Dundee REIT via unit holder approval.    Dundee REIT has since changed their name to Dream Office REIT.  Transglobe REIT was taken private in $1 billion deal in 2012.  

Potash Corporation of Saskatchewan merged with Agrium to form a new company called Nutrien. 

Tim Hortons was purchased by Burger King and these 2 companies operated independently under combined entity called Restaurant Brands International.  

Westjet Airlines was privatized when taken over by Onex Corporation.  

Disclosure:  Long all stocks in my investment tab spreadsheet 

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.
   

Recent Buy

Over the last few days, the stock market had a pull back.  People were selling out of fear. This is what an amateur investor often does.

When stocks fall in value without some major news about the underlying company, this means opportunity knocking at your door.  For days like the last few days in the capital markets, an investor should have some "dry powder" available to take advantage of the opportunity.

Investors want their money to work hard for them.  The lower the stock price, the harder your money will work for you.  This is because the price of the stock and the yield has an inverse correlation.  An investor must first search for any news about the stock that might of cause some investors to sell.

Purchase

On October 25, I placed a limit order to purchase 3 shares of  Royal Bank of Canada ( RY.TO) at $94.57 for a total cost of $288.67.  This position was made inside my TFSA.  For full disclosure, I went long RY.TO in my trading account on the very same day as well.

RY.TO has traded between $93.13 and $108.52 over the last 52 weeks.  The stock has fallen by about $10 over the last month.

Royal Bank pays a dividend of $3.92 per share per year, or $0.98 per share quarterly.  This purchase adds $11.76 to my annual dividend income.  The yield on cost for this purchase is 4.07%.  For comparison, the annual interest rate on my high yield savings account is 1.25%.

I would of like to have bought more shares but didn't have the dry powder available.

The stock traded ex-dividend on October 24, therefore I will not receive the quarterly dividend payment in November.

I will update my investing tab spreadsheet in early November with this new position.

Did you advantage of the market pull back during the last week?  

Disclosure:  Long RY.TO

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.

Recent Purchases

I recently did a stock analysis on a telecommunications company in Canada.  Canada has what is known as the big 3 when it comes to telecommunications.  These companies are Bell Canada Enterprises, Rogers Communications and Telus Corporation.

To read the stock analysis on Telus Corporation, click here. 

Actions

Purchase # 1


On October 1, I purchases 100 shares of Telus Corporation in my margin account.  I purchased the shares at $47.38 for a total cost of $4743.30 including commissions.

Currently, Telus Corporation (T.TO) pays an $2.10 annual dividend per share paid out over four quarters.  Therefore, this new purchase $210.00 to my annual dividend income.  The yield on cost of the purchase comes in at 4.43%.   

If you click on the link above, I stated on wasn't comfortable on buying Telus at a price over $47.00.  So my plan is to sell cover calls on this position, which was the plan from the get go.

Purchase # 2

On October 4, I purchased 24 shares of T.TO inside my margin account.  I purchased the shares at a price of $45.80 per share for a total cost of $1104.15 including commissions.

This purchase adds $50.40 to my annual dividend income.  The yield on cost of this purchase comes in at 4.56%

Summary

These purchases add $260.40 to my annual dividend income.

As we can not time the market, I would of like a lower price on the purchase in the margin account. As stated, I will be selling covered calls on this position.  My fair dividends from Telus Corporation, I will openly take.

The purchase inside my TFSA will be a long term hold.  Wish I had more money in the TFSA at the time of the purchase.

Telus Corporation also trades on the New York Stock Exchange under the ticker symbol TU.  

I will update my investing tab spreadsheet in early November to reflect these changes.

Disclosure:  Long T.TO

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 - September 2018

      

        The month of September 2018 is another month of dividend income landing in my accounts. This money is used to help pay my expenses if it is needed. If the money is not needed, it is ALL used to purchase new investments to further increase my cash flow.

       

 Non-registered Accounts

• Cineplex  (CGX) - $14.50
• Enbridge (ENB) - $201.30  
• Enbridge (ENB) - $17.37
• Enerplus (ERF)  -$ 5.58
• High Liner Foods (HLF) - $42.05
• Shaw Communications (SJR.B)  - $19.75
• WestJet Airlines (WJA) - $28.00

Subtotal :  $328.55

TFSA

• A&W Royalties Income Fund (AW.UN) - $5.36
• Boston Pizza Royalties Income Fund   (BPF.UN) - $26.91
• Brookfield Renewables Partners (BEP.UN) - $20.81
• Canadian National Railway (CNR) - $17.29
• Cominar REIT (CUF.UN) - $10.80
• Dream Office REIT   (D.UN)  - $14.00
• Enbridge (ENB) - $22.14
• Horizons Natural Gas Yield ETF (HNY)  - $6.65
• iShares 1-5 yr Laddered Canadian Corporate Bond ETF (CBO) - $0.57
• Killam Properties REIT (KMP.UN) - $  16.11

Subtotal:  $140.64

Total = $469.19

    I received a total of $469.19 in dividend income for the month of September 2018.  This represents a 7.79% decrease from 3 months ago and 99.2% increase year over year.  

    The decrease of 7.79% from 3 months ago is attributed mostly to selling my Dream Office REIT position in my margin account.

    I received $64.05 from option premiums within my investment accounts in September 2018.

    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.

How was your dividend income for September 2018?

Disclosure : Long all securities above.

Photo Credit: www.mipaq,co.za

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.

What happened to Netflix's Competition in Canada?

        

       Shaw Communications Inc. is a Canadian communications company that provides internet, mobile, telephone and television services.  They operate mostly in Alberta and British Columbia but operate smaller systems in Saskatchewan, Manitoba and northern Ontario.  There main competitor is Telus Communications.

       Shaw added mobile capabilities only recently with their acquisition of Wind Mobile. Shaw since has changed the name of Wind Mobile to Freedom Mobile.  Telus Communications , Rogers Communications, and Bell Canada Enterprises are considered the big 3 in Canada in terms of providing communication services. The big 3 also have discount companies that operate using their mobile networks. With the latter, the services and coverage of these discount companies obviously are not as good as going directly with the main carrier.

        Shaw Communications and Roger Communications had teamed up to provide a video on demand service to compete with Netflix. This service was called Shomi, and was launched in November 2014.  Shomi did not take off, likely due to the fact people get set in their ways and decided to keep Netflix. Netflix's popularity speaks for itself and a Netflix Subscriber can have 5 profiles under their account and these profiles can watch Netflix from anywhere he or she chooses to and from any device.

        Shaw has not raised its dividend since the March 2015 payment , that was equivalent to 8% increase in the annual dividend.  Shaw has reported dividends for the next 3 months and there is no dividend increase.  Shaw pays a monthly dividend, in which I received a monthly dividend of $19.75 as I own 200 shares.

        Shaw Communications' partner in Shomi, as stated above, is Rogers Communications.  Rogers Communications has not raised its dividend since the April 2015 payment.  Unlike Shaw Communications that pays a monthly dividend, Rogers Communications pays a quarterly dividend.

        Recently, Shaw Communications and Rogers Communications decided to shut down the Shomi video on demand service at the end of November 2016.  Shaw Communications recently reported earnings and reported a profit of $89 Million or $0.18 per share in the 3 months that ended November 30.  This is down from 59.2% from $218 Million of $0.43 per share for the same period last year.

        With Shomi shut down, investors are hoping Shaw Communications and Rogers Communications start rewarding investors with dividend increases. With the slow down in western Canada due to the low oil prices, this might affect the chances of dividend increases not happening as quick as investors would like. 

 Please Note:  All my shares of Rogers Communications, Bell Canada Enterprises and Shaw Communications have been purchased on the Toronto Stock Exchange,

Do you own shares of Roger's Communications, Bell Canada Enterprises, Telus Communications, or Shaw Communications?

Disclosure (With TSX ticker symbols) :  Long RCI.B, SJR.B, BCE

Disclosure :  Do not own shares of Telus or Netflix at the time of this writing.

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.

      

CIBC - Dividend Analysis

          Canada has 5 big banks which are often regarded as some of the best banks in the world.  These banks are Royal Bank of Canada (RY), Bank of Nova Scotia (BNS), Toronto Dominion Bank (TD), Bank of Montreal (BMO) and Canadian Imperial Bank of Commerce (CM). The ticker symbol for each of these banks is in parentheses.

           Today, we are going to focus on Canadian Imperial Bank of Commerce, commonly know as CIBC.  CIBC has been paying dividends in 1868 and that year is not a typo.  CIBC has not missed a dividend payment in 148 years.  Therefore, CIBC has been paying dividends longer than any current human has been alive.  These dividends are coutesy of the investor relatons site of CIBC and represent the value in Canadian dollars.

Year                   Annual Dividend Amount  2000                  $1.290    2001                  $1.440  2002                  $1.600  2003                  $1.640  2004                  $2.200  2005                  $2.660  2006                  $2.760  2007                  $3.110  2008                  $3.480  2009                  $3.480  2010                  $3.480  2011                  $3.510  2012                  $3.640  2013                  $3.800  2014                  $3.940  2015                  $4.300  2016                  $4.750 As you can see the dividend has increased each year from 2011 to 2016. During the sub prime melton which lead to the global recession, CIBC did not reduce its dividend, but it also did not raise its dividend from 2008-2010.  The other 4 big banks in Canada did the same with no dividend increase or decrease in basically the same time frame.  With the dividend increasing this much, this also causes the price of the stock to rise as people want the yield.  In order to keep increasing the dividend, the bank has to increase earnings each year as dividends are paid from earnings. Compound Annual Dividend Growth Rate from 2000 to 2016  is  8.49%. Compound Annual Dividend Growth Rate from 2010 to 2016  is  5.32 % Everytime the dividend is raised, an investor gets a raise that is usually higher than you would get at a job.  When the company raises its dividend, an investor does not do anything besides remaining a loyal shareholder.  A dividend growth investor invests in companies that pay dividends and increases their dividend yearly, which helps them to reach financial freedom quicker. Disclosure:  Do not own any shares of C.I.B.C. 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.

A New Record..

Recently on Oct 15, I had my highest one day total of dividends and distributions (as I own a few REITs)..

 I received a total of $149.26 in dividends and distributions. Of this $149.26 total, $56.00 is from a swing trade I have which will not be counted in my monthly dividend update. That is $149.26 I got paid for just being an owner of high quality companies.

Also, Emera recently increased its dividend to 1.45 per share. This represents a 3.57 percent increase in the dividend which is equivalent of a 3.57 percent raise for doing little to no work. Gotta love it and other companies I own will likely have a bigger dividend increase.

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 for Aug 2013

August 2013 has come and gone. During the month, passive income through dividends having been paid to me.
The total for this month is  $182.84.

Not included in this amount is a distribution payment from Dundee REIT in my margin account. This is a trade and all income will stay in this account to help grow the cash in this account to be used for investing or transferred to the TFSA for the same purpose. As this a trade, I am treating it different. Currently, I take 30% of all my income from job, investing and interest from savings and pay myself first . If money is left over at the end of the month, then I put this amount into my investing account.

Currently, the income received from Dundee REIT in the margin account is $91.47 after 3 months. As indicated in the above paragraph this entire money is staying in the account or be transferred to the TFSA account.

I will update my dividend tab with the above  total.


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

Importance of dividends

Say you owned 100 shares of Jan 2, 2008 of Bank of Nova Scotia.


On Jan 2, 2008 BNS closed at $49.63

On Dec 31, 2012 BNS closed at $57.46

Gain = 100(57.46-49.63)=$783.


But, during that time there has been dividends paid of $1008.

With dividends, gain =783+1008=1791


Subject to approval by the Board of Directors, the payment date for common and all preferred shares is usually the third last business day of each fiscal quarter. The closing price on the dividend payment date as the drip price.

Jan 2008  100*0.48=$48.00 dividend payment   fill @$50.82 equals 0.945 shares
    ** total 100.945 shares

April 2008  100.945 shares *0.48=48.45  fill @ 54.00 equals 0.897
    **  total 101.842 shares

July 2008  101.842 shares * 0.48=48.88  filled @ 49.50 equals 0.987 shares
  ** total 102.829 shares

Oct 2008  102.829*shares * 0.48=49.36  filled @ 52.53  equals 0.940shares
  ** total 103.769 shares

Jan 2009  103.769*0.49=$50.85 dividend payment   fill @$31.7 equals 1.604 shares
    ** total 105.373 shares

April 2009  105.373 shares *0.49=51.63 fill @ 34.28 equals 1.506
    **  total 106.879 shares

July 2009  106.879 shares * 0.49 =52.37 filled @ 45.01 equals 1.164 shares
  ** total 108.043 shares

Oct 2009 108.043 shares * 0.49=52.94 filled @ 45.04 equals 1.175 shares
  ** total 109.218 shares

Jan 2010  109.218*0.49=$53.52 dividend payment   fill @ 50.82 equals 1.053 shares
    ** total 110.271 shares

April 2010  110.271 shares *0.49=54.03 fill @ 54.00equals 1.001
    **  total 111.272 shares

July 2010   111.272 shares * 0.49 =54.52 filled @ 49.50 equals 1.101 shares
  ** total 112.373 shares

Oct 2010 112.373 shares * 0.49=55.06 filled @ 52.53 equals 1.048 shares
  ** total 113.421 shares

Jan 2011  113.421*0.5125=$58.13 dividend payment   fill @ 57.05 equals 1.019 shares
    ** total 114.440 shares


April 2011  114.440 shares *0.5125=58.65 fill @ 60.16 equals 0.975 shares
    **  total 115.415 shares

July 2011  115.415 shares * 0.5125 =59.15 filled @ 57.79 equals 1.024 shares
  ** total 116.439 shares

Oct 2011 116.439 shares * 0.5125=59.67 filled @ 53.63 equals 1.113 shares
  ** total 117.552 shares

Jan 2012 117.552*0.5475=64.36 dividend payment   fill @ 52.34 equals 1.230 shares
    ** total 118.782 shares


April 2012  118.782 shares *0.5475=65.03 @54.88 equals 1.185 shares
    **  total 119.967shares

July 2012 119.967 shares * 0.5475=65.68 filled @ 51.77equals 1.269 shares
  ** total 121.236 shares

Oct 2012 121.236 shares * 0.5475=66.38 filled @ 54.04 equals 1.228 shares
  ** total 122.464 shares

Total gain = 122.464*57.46 - 100*49.63= 2073.78   

Dividends increase your gain and when the dividends are reinvested the gain is even higher. Also note that there is a 2% discount on shares reinvested with dividends through the transfer agent and most brokerages. So the gain with the DRIP will be even higher about if I applied to 2% discount .

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