Wednesday, July 2, 2014

June Dividends Update


Ever since I started this journey, I have been eager to write a post like this. I started building my portfolio a few months ago, and so it took a warm-up period to start getting regular dividends from several sources. 

As of June, I am currently invested in 7 companies. Surprisingly, a few of them pay dividends within a few days of each other. So, this month of June was pleasant surprise, and the first time I saw what it looks like to have a passive stream of income coming your way, and I must say, it felt amazing. This month, I got the following dividend payments:

Bank of Nova Scotia $10 (end of May)
Exxon Mobil $8.38
Unilever $16.84
Chevron $13.00

Total: $48.22

I also had Bank of Nova Scotia pay me by the end of May, meaning that I got all these dividend payments a few days apart from each other. For most, especially investors who have much larger portfolios, this is nothing but pocket change, but I already find it impressive. 

I started this journey only 6 months ago, and invested most of the income I could save every month. I was psychologically prepared to wait a long time before I saw any meaningful returns from these investments, but It took much less time for dividends to start rolling in than I expected. I consider $48 a noticeable amount - it's actually enough to pay one of my household bills, so it is already an amount that could make a small difference in my life. 

While this kind of income won't happen every month, it's incredible how fast each quarter goes by and how fast is pay time again. I was initially concerned that it would take a long time to see the impact of consistently invest in a disciplined manner, but this was not the case at all, time just went by so fast, it leaves me wondering where I will be a year from now. This definitely works as a motivating factor to keep my investing strategy on track and leaves me very excited looking forward.

My advice for anyone fearful of investing for the first time is: just go ahead and do it! It is said that time flies, and that's a bad thing, as time is something that can't be bought. By buying high quality businesses that pay you regularly, and having the compounding factor on your side, you have at least one reason to be joyful that time passes so quickly.

Thank you all for the support so far and I look forward to see how these values snowball from here. Like I said in my first post, let’s go!

PS: You have probably noticed, but I am changing to a new font to make the blog posts more easily readable.

8 comments:

  1. DV,

    Nice month right there! Really impressive progress for starting out only six months ago. That $48 will sprout into hundreds of dollars one day.

    I like the companies. I hope to join you as a shareholder in UL at some point in time here. I kept talking about the company when it was below $40 at the end of last year and never got around to buying shares. So many stocks, so little capital.

    Keep up the great work!

    Best wishes.

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    1. Hey DM,

      Thanks for the encouragement! I definetely feel it's great progress and I am more excited than ever to keep going at it.

      I understand your pain with UL, I myself would like to be able to increase my position, but the price just climbed so fast after my first purchase.

      Best Wishes,
      DividendVenture

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  2. Nice! I see you started to roll in the money, it will eventually grow. I just recently bought Vodafone (VOD) and I'm currently looking at Target.

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    1. Hi J,

      It is really thrilling to see the snowball starting to form, I'm looking forward to seeing it roll down the mountain.

      VOD looks like a great pick, I'm not very big into the telecom industry, but their dividend is really interesting. Target is very appealing with their current price and latest dividend increase.

      Good luck!
      DividendVenture

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  3. Thanks for sharing your recent dividend income update. $48 is a very solid start to a portfolio that's just a few months old. You'll really begin to see the difference in income when you look back year over year and see what new capital, dividend increases an reinvestment can do. Keep at it and look forward to more updates.

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    1. Hi DivHut,

      Thanks for the encouragement. I was incredibly excited for seeing this kind of income after having started just a few months ago.

      Let's see how it progresses!

      Best Wishes,
      Dividend Venture

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  4. Great progress, looks like you got to a great start. Keep it up!

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    1. Hi Tawcan,

      Thanks for stopping by. I does feel like the snowball is rolling pretty fast, I'm excited to see where it leads.

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