Saturday, September 15, 2018

Monthly Investment Plans Fully Revamped to Reduce Tax Drag and Boost Returns

During my last monthly investment update, I hinted that further cuts to high dividend payers were forthcoming. I have now winnowed my DSPP monthly investments to a lean portfolio of just 6 stocks:
TickerRatingDGIShiller PEYieldPayout RatioMonthly InvestSectorSector TotalSector Percent
RLIDA28.291.10%0.31$200.00
Financial
$400.00
33.33%
TSSDD55.420.53%0.29$200.00
AYIDD35.480.33%0.12$200.00Technology$200.0016.67%
VMIDD19.781.09%0.21$200.00Industrial$200.0016.67%
YORWDB34.112.22%0.76$200.00Utility$200.0016.67%
OMCB2C16.673.48%0.58$200.00Discretionary$200.0016.67%
Total31.631.46%0.46    $1,200.00   $1,200.00100.00%
Rating$%DGI$%
A$00%A$200.0017%
B$20017%B$200.0017%
C$00%C$200.0017%
D$1,00083%D$600.0050%
Total$1,200100%Total$1,200.00100%
Rating is based on Morningstar as follows:
A=Wide Moat; B=Narrow Moat; C=No Moat; D=Not rated by Morningstar
+=Exemplary; [blank]=Standard; -=Poor stewardship
1=Low; 2=Medium; 3=High; 4=Very High uncertainty
DGI (Dividend Growth Investing) as follows:
A=25+ years of higher dividends;
B=10-24 years of higher dividends;
C=5-9 years of higher dividends;
D= less than 5 years of higher dividends.

Monday, September 3, 2018

Income & Expenses For August 2018

Since 2014, I have been tracking my monthly income and expenses. You can see a breakdown of every penny I earn and spend. For perspective, this budget is for a household of two in a small US city. By documenting my journey, I aim to demonstrate the feasibility of saving a significant portion of your income and provide some ideas and inspiration for your own budget.

Below are my income and expenses for August 2018. You can see all my monthly budgets here.

Portfolio and Net Worth Update August 2018

The time has come for my monthly portfolio update. At the end of every month, I will update my portfolio and comment on any changes. I do that for accountability and also so you may glean some ideas on how I allocate my capital. You have the opportunity to learn from what I do well so you can do the same, as well as what I do poorly, so you will not have to repeat my mistakes.

Follow my real-time portfolio here. Below is a snapshot of my stocks and ETFs portfolio as of 8/31/18:

Saturday, September 1, 2018

Options Update: August 2018

Welcome to my monthly options update!

Here, I shall write monthly options update articles to keep track of options trades in my portfolio. Each options update serves as a status report on the open options and the obligations I have. A running tally of all my options trades and income to date are found on the Options page.

Assigned Options

No option was assigned in August.

Expired Options

Three options expired worthless in August:

Saturday, August 18, 2018

More Cuts to my DSPP Monthly Investment

Since I have reached enough dividend income to support my expenses, I am looking for ways to reduce my dividend income and any resultant taxes. So I gave my monthly investment plan another look for places to cut the fat. The result follows:
TickerRatingDGIShiller PEYieldPayout RatioMonthly InvestSectorSector TotalSector Percent
NVSA1D18.363.59%0.66$200.00Healthcare$200.008.70%
GISA1B16.724.15%0.69$200.00Staples$200.008.70%
XOMB+1A11.864.19%0.50$300.00Energy$300.0013.04%
AFLDA14.502.22%0.32$200.00
Financial
$600.00
26.09%
RLIDA27.511.13%0.31$200.00
TSSDD53.210.55%0.29$200.00
AYIDD32.040.36%0.12$200.00Technology$200.008.70%
UNPA2C27.182.14%0.58$200.00
Industrial
$400.00
17.39%
VMIDD20.051.07%0.21$200.00
YORWDB34.852.17%0.76$200.00Utility$200.008.70%
OMCB2C16.583.50%0.58$200.00Discretionary$200.008.70%
Total24.242.36%0.57    $2,300.00   $2,300.00100.00%
Rating$%DGI$%
A$60026%A$700.0030%
B$50022%B$400.0017%
C$00%C$400.0017%
D$1,20052%D$800.0035%
Total$2,300100%Total$2,300.00100%
Rating is based on Morningstar as follows:
A=Wide Moat; B=Narrow Moat; C=No Moat; D=Not rated by Morningstar
+=Exemplary; [blank]=Standard; -=Poor stewardship
1=Low; 2=Medium; 3=High; 4=Very High uncertainty
DGI (Dividend Growth Investing) as follows:
A=25+ years of higher dividends;
B=10-24 years of higher dividends;
C=5-9 years of higher dividends;
D= less than 5 years of higher dividends.