Bert’s July Investment Report

Wow, what a crazy end to the month!  I felt like the last week was filled with can’t miss stock market action.  It seemed like every minute I opened my eyes another chunk of my market value was missing.  But it is okay, the decline has two factors I love: it increases the power of dividend re-investing and it creates new buying opportunities.  Lanny recently wrote about on Friday 4 stocks that he is considering re-upping his position in because of this decline.  For me,  I may finally make my long-awaited move into the financial sector.  I know I will be purchasing something next week; I just don’t know what that stock is yet.  But it seems like Aflac is a very solid potential purchase and may be forcing my hand.  Anyways, before I continue to babble about future purposes, I figured I would review my month of July Investment Report.

Dividends. I am finally starting to see the benefits of all my new purchases during the first half of the year.  This month I received $92.01 in dividends.  This is more than double the total dividends received during April ($41.23), the first month of the last quarter.   Since my portfolio continues to increase at a fast rate,  I think it is most beneficial to compare dividend history to the prior quarter instead of the prior year like Lanny.  Maybe next year I will start the comparison since my portfolio will have had a full year of solid dividend income.  I received dividends from two additions for the first time this quarter, DOW and GSK, and I received double my usual dividend from Kraft since I purchased additional shares at the beginning of the month.   All in all, it was a great month for dividends.  Hopefully I will crack triple digits in when the first month of the fourth quarter rolls around!

 July Dividend Income


Investment Activities.  As I mentioned above, I re-upped two positions in my portfolio earlier in the month when I purchased $875 in both KRFT and PG.  I am very happy with the additions  since I was able to add two strong brands to my portfolio.  While I may have missed the downslide that occurred at the end of the month, my purchase at the beginning of July allowed me to capture this quarters dividend.  The big story was the decline in stock prices at the end of the month.  At the beginning of the month, my portfolio had an overall gain of 14.07%.  By the end of the month, nearly 4.25% of the overall gain evaporated.  The biggest laggards of my portfolio this month were GSK (11% MTD), MCD (6.5% MTD), BP (8%MTD), and FE (5% MTD).  While I am considering my purchase next week,  I can’t ignore the fact that I am a fan of GSK, MCD, and BP.  I may take a page out of Lanny’s book and re-up my positions in one or all of the companies.  While GSK and MCD had shaky earnings, I think this bump in the road will help return their price to normal levels instead of trading at a premium.  GSK is now trading near its 52-week low, has a PE of ~14.5, a yield of just over 5%, and payout ratio of 52%.   Not bad for the company but I have a fairly large position in the company so I may just use my capital to purchase a new investment instead  We will see what next week brings us.  If there is anything this week proved, it was that the market can take a crazy turn at any moment.

Goal Updates

As the portfolio has been updated in our Dividend Portfolio section, we have come to update you on the following goals for Bert: Forward

Annual Dividend Projection$1,677 or 95.8% towards the dividend goal of $1,750.  I inched 4% closer towards my goal by purchasing both PG/KRFT and by current stocks increasing their dividend.  I  am now only a purchase or two away from reaching my projected dividend goal.  I can’t believe the end is in sight!

Market Value$40,821, or 81.6% towards my adjusted goal of $50,000 by 12/31/14.  This goal took a hit once some of my major investments began to lag.  I now have some work to do in order to reach this goal by the end of the year.  I am starting to think that this goal is becoming out of reach if I don’t have a healthy dose of appreciation.  I simply do not have the excess funds to cover the difference.  I will re-evaluate this after August to see if an adjustment is necessary.

Dividend Yield  of Total Portfolio: 4.10%.  This is above my goal!  This metric is constantly changing with the market value.  The decline helped boost this figure for the end of the month.

Roth IRA Contributions: One of my goals is to maximize the utilization my Roth IRA by investing in high yielding stocks that have a dividend yield greater than my portfolio average.  I do not have any updates for this goal since I did not make any purchases during the year.

Mr. Market continues to fascinate me.  Every day is a new and exciting day.  How did your portfolio perform during July?  Do you have any purchases on the horizon considering the end of the month slide?


Read Lanny’s July Investment Report Here


7 thoughts on “Bert’s July Investment Report

  1. Bert,

    Very nice month! You’re making some pretty serious progress in the dividend income department.

    I had a pretty solid month overall. I’ll be releasing my Freedom Fund update here tomorrow, and though my Fund decreased in value month over month, that just means there’s more opportunity out there. 🙂

    Keep up the great work!

    Best wishes.

  2. Great progress! You’re close to reaching your goals, keep up the great work!

    July was a decent month for me. I saw my net worth tick upwards due to contributions. Hoping for lower prices to buy some quality companies since I have some cash on the sideline.


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