Just a brutal week on financial markets. A real meltdown from the highs and for some a real bloodbath. The coronavirus has taken all the air out of the markets and we wait for more government intervention to see if we can find solid ground again.
Will they cut rates? If so by how much?
Can the virus be contained before a global pandemic is called.
Investors are fleeing to government bonds. Not me. The yield has fallen 55% on 10 year bonds as they get more and more expensive. As an income investor this is a no go. I don't want a fixed or declining income in retirement. I want a growing dividend income.
I'm going to now focus this post on reporting the dividends I received in our retirement accounts during the month of February and in the midst of this new takedown.
LIRA
BMO, RY and EMA
Dividends Received = $185.52
Dividend Income February 2019 = $156.73
Monthly Income Increase of $28.79 or 18%
My RRSP
AAPL, COST, RY and BMO
Dividends Received = $233.28
Dividend Income February 2019 = $188.82
Monthly Income Increase of $44.46 or 23.5%
* Sold 5 shares of AAPL during the correction this week. Low dividend and shares sold off. I dumped all tech stocks on Monday in all accounts. Smallish position anyway.
Her RRSP
BMO, RY and AAPL
Dividends Received = $242.36
Dividend Income February 2019 = $163.73
Monthly Income Increase of = $78.63 or 47.8%
* Sold MTY and SJR.B since last year so no future dividends from those stocks
Total Income Received All Accounts = $661.16
Total Income YTD 2020 = $1201.54
YOY Monthly Dollar Increase of $151.88
Percentage Increase = 29.7%
Total Income YTD 2020 = $1201.54
YOY Monthly Dollar Increase of $151.88
Percentage Increase = 29.7%
In Sum
Monthly Dividend Income has risen 29.7% over the same monthly period last year. We have 13 years before my wife needs to switch her account into a RRIF and I have another 8 years. This is how you keep up with the ravages of inflation in your retirement accounts.
These accounts are stuffed with dividend growth stocks so the hope is the monthly income will steadily rise over time.
I only converted the LIRA account in 2018. Before that the money was invested in MAW104 a Global Balanced Fund. This account now delivers better results because there is no bonds dragging down the monthly income.
I sold 2 stocks in February 2019. MTY for having a low dividend yield and Shaw because we together own Bell and Telus on the communication side.
More to follow next month.
I take all dividend income and new RRSP contributions to buy more stock of existing positions. I will continue to do this until the law requires us to convert to RRIFs.
How did you do in February. Is your dividend income rising on a yearly basis?
I take all dividend income and new RRSP contributions to buy more stock of existing positions. I will continue to do this until the law requires us to convert to RRIFs.
How did you do in February. Is your dividend income rising on a yearly basis?
Impressive income growth and as you say: "This is how you keep up with the ravages of inflation in your retirement accounts".
ReplyDeleteThe last few days have provided some good buying opportunities to add quality DG stocks.
Exactly Henry I will be shopping and buying this week. Good luck to you y friend.
ReplyDelete