Dividend Income – April 2017

The first few months of the year are usually active for investing as new contribution room becomes available and the RRSP deadline approaches. As long as I have some contribution room in my RRSP, I maximize my RRSP opportunities to put my money at work. If there are no surprises, during the year, the first few months of the year is when I do most of my investing with new money.

Stock Trades

I have received my tax refund and since I maximized my RRSP contribution in February, some of the money is needed to pay back the line of credit but some of it will be invested in the coming months.

Otherwise, I did a transfer of RRSP from my employer’s defined contribution plan to my RBC Direct Investing and put all of the money at work. I am one to believe that my money needs to work for me and invested it all without worrying about whether or not the stock market is overvalued. I should see a bump in dividend income in the coming months after adding to TSE:MRU,TSE:IFC, TSE:BPY.UN,TSE:BIP.UN andTSE:CNR.

Since the stock market never really sleeps, below is the diversification status of my accounts. As you probably know by now, I am happy to invest $1,000 at a time for a 1% cost. I find having my money at work pays in the long run.

Diversification - April 2017

3 Simple Steps – Dividend Stock Selection Process

Dividend Income

My April dividend income adds up to $1,042.66. My dividend income is now officially weighted towards the third month of the quarter. Not a big deal as one should not live to the monthly income but rather be ahead from a cash perspective. The overall annual income is also what needs to cover your expenses – hopefully without the need to withdraw capital. My monthly average is approximate, $1,253 to put it in perspective.

Dividend Income April 2017

Considering my investing strategy for selecting a stock is based on the Chowder Rule and the 10-10 rule where a stock must have increased its dividend by 10% on average over 10 years, it’s understandable that I can see a good increase annually. See the growth below which includes dividend from new money invested as well as DRIP shares.

It takes a while to have enough money to DRIP shares effectively. 85% of my holdings are now able to DRIP at least one share. If you cannot DRIP, focus on the minimum you are willing to invest based on your cost. Questrade is the cheapest when starting. With the 1% cost approach, you can invest as little as $600.

Annual Dividend - April 2017

DISCLOSURE: Please note that I may have a position in one or many of the holdings listed. For a complete list of my holdings, please see my Dividend Portfolio.

DISCLAIMER: Please note that this blog post represents my opinion and not an advice/recommendation. I am not a financial adviser, I am not qualified to give financial advice. Before you buy any stocks/funds consult with a qualified financial planner. Make your investment decisions at your own risk – see my full disclaimer for more details.
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