Once again it is time for a goals/progress update. I am pleased to report that annualized dividend income rose in October, extending the streak to 8 months after February 2009’s decline. Since I began publicly tracking annualized dividend income in November 2007, it has increased in 22 of the last 23 months.
|Div. Changes YTD||(483)||-0.42%|
The above information covers the current month and year-to-date through the current month.
For the month, annualized dividend income increased $169, and Yield on Cost (YOC) decreased (0.06%). This month’s changes were a net of new purchases, dividend changes and sales. Let’s examine each of the these categories:
Purchases: The $359 increase in annual dividend income and (0.04%) decrease in YOC related to the following purchases (yield at the time of purchase):
- $84 Emerson Electric Co. (EMR) 3.34%
- $77 Procter & Gamble Co. (PG) 3.04%
- $198 PowerShares Emerging Mkts Sovereign Debt (PCY) 6.15%
All the purchases, except PCY, lowered my YOC. As noted in earlier updates, I generally expect YOC to drop each month since most new investments will yield less than my current YOC, and dividend increases will not be sufficient to offset it.
Dividend Changes: The $37 decrease in annual dividend income and (0.04%) decrease in YOC related to the following dividend changes (a=dividend stated in annual terms, q=quarterly, m=monthly):
- $3 Canadian National Railway Company (CNI) $0.217q>$0.236q 0.00%
- ($3) Vanguard Intermediate-Term Bond ETF (BIV) $3.46a>$3.41a 0.00%
- ($15) Vanguard Long-Term Bond ETF (BLV) $3.46a>$3.90a -0.01%
- ($6) iShares iBoxx $ Invest Grade Corp Bond (LQD) $5.79a>$5.72a -0.01%
- ($17) Eaton Vance Tax-Adv. Global Dividend Fund (ETO) $1.59m>$1.53m -0.02%
- $1 Realty Income Corp. (O) $0.14237m>0.14268m 0.00%
Sales: The ($153) decrease in annual dividend income and 0.02% increase in YOC related to the following sale:
- ($153) Vanguard REIT Index ETF (VNQ) 0.01%
In October I continued the process of trimming back my ETFs/CEFs income holdings with the sale of VNQ and have now sold all the ETFs that currently I plan to sell. I will continue to evaluate the performance of the ones I continue to hold.
Based on year-to-date results, I am on target to meet or exceed my revised estimate of annualized dividend income on December 31, 2009 of $7,000. This is $1,000 below my original goal of $8,000.
That’s it for this time. The next monthly progress update will be early December.
(Photo: sanja gjenero)