Once again it is time for a goals/progress update. I am pleased to report that annualized dividend income increased in November, extending the streak to 5 consecutive months of increases after June 2010′s decline. Since I began publicly tracking annualized dividend income in November 2007, it has increased in 34 of the last 36 months.
|Div. Changes YTD||-74||-0.03%|
The above information covers the current month and year-to-date through the current month.
For the month, annualized dividend income increased $327, and Yield on Cost (YOC) was flat (0.00%). This month’s changes were a net of new purchases, dividend changes and sales. Let’s examine each of the these categories:
Purchases: The $786 increase in annual dividend income and 0.02% decrease in YOC related to the following purchases (yield at the time of purchase):
- $79 Kimberly-Clark Corporation (KMB) 4.19%
- $106 Cincinnati Financial Corp. (CINF) 5.36%
- $130 Owens & Minor Inc. (OMI) 2.43%
- $144 Medtronic, Inc. (MDT) 2.59%
- $327 U.S. Preferred Stock Index (PFF) 5.85%
CINF and PFF increased my YOC, while three securities lowered it. 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 $8 decrease in annual dividend income and the flat (0.00%) YOC related to the following dividend changes (a=dividend stated in annual terms, q=quarterly, m=monthly):
- ($8) U.S. Preferred Stock Index (PFF) $2.36a>$2.30a
Sales: The $451 decrease in annual dividend income and the 0.02% increase in YOC related to the following sale:
- ($451) Invest Grade Corp Bond (LQD)
With one months to go, I believe there is an excellent chance of achieving $11,000 in annualized dividend income by December 31, 2010, assuming no or minimal dividend cuts.
That’s it for this time. The next monthly progress update will be early January.
(Photo: sanja gjenero)