A quick update on how the dividend has been hitting my bank account the last 2 months and which buys I have made.
First, let’s take a look at what fruits September and October bared us:
Royal Dutch Shell: €49,51
Vanguard S&P500 ETF: €9,24
Gilead Sciences: €14,58
Total Dividend Income September + October: €226,24
In overall I’m pretty happy with my dividend income the past 2 months. We can notice big checks from RD Shell, banking company HSBC and Belgian-based Melexis (sensors for cars).
These 2 months surely compensated for the no-dividend August month. In the end, it’s the total dividend per year that counts. After making the sum of all months YTD, I received a dividend total of €915,84. Almost at the €1000 dividend mark in my first full year of investing. Yippee-ki-yay!
So far for the dividend income. Which stocks did I buy last month?
First, I decided to take advantage of the recent dip of Novartis to add another 10 shares to my position, raising to a total of 50 shares. It cost me a little under €700. The small amount is due to the fact that I start having a rather big position in Novartis. I also changed my ADR’s into the real Swiss stocks as it turned out there was no benefit of holding the American for a smaller tax on the dividend. These extra 10 shares add €12,81 to my annual dividend income. Not much, but it stills yields around 1,85% net which is not bad for a Swiss stock.
Secondly, I bought 60 shares of the well-known Unilever PLC for a total of €2324. Unilever’s stock price is experiencing some headwinds which are a perfect opportunity for me to start building a position. The shares will yield around 2,40% net. This buy raises my next year’s dividend by a solid €53,76. If the shares would decline further, I would buy again.
In total I invested around €3000 in the stock market since half September with a total dividend increase of €66,57.
I decided to transfer some money from my savings towards my investment account, which made it possible to invest a bit more. It considers €9000 in total which I will be investing the next months, spread in time. The reason I transferred savings goes back to the financial meeting some weeks ago. While I was talking to other people, one guy pointed out that I still have too much cash in the bank. I gave it some thought and I think he was right. By the time I might think about needing some money, it still takes 2-3 years so in the meantime it can work nicely for me and give me capital increases.
For now, I still have €5000 in cash begging me to invest. Next months I will build or strengthen positions. It turned out Apple didn’t go down since my last post, so I will remain patient untill it becomes a bit cheaper again. Currently I have my eye on Nestlé, AT&T, Verizon and IBM. I intend to take positions in them in the long haul. With my new paycheck strolling in, I hope to raise the cash position to €6250. This surely gives me some buying power.
To conclude, I’m happy with the recent dividend checks and I hope my recent acquisitions turn out into a long-term value play with ever raising dividends :D.
What about your recent buys?