This is the regular posting of the review of “Expected dividends, current portfolio holdings, (and) actual yield” of the #HYHRD portfolio.
The title reflects expected dividends for next week. ($NYMT dividends have already showed up in our Fidelity accounts.)
This MS Excel workbook now shows not only the Expected Dividends from the currently held positions across the HYHRD portfolio ($31,357.17/year), but now I have also added in the Equal Weight spreadsheet that shows the dollar amounts invested in each stock totaling ($248,311.13). This also enables me to calculate the ACTUAL YIELD for the portfolio holdings, and adds another spreadsheet called, amazingly enough, Actual Yield! From this sheet, I can further determine the most ‘bang for the buck’ by calculating the dividend expected per dollar invested! Um, please don’t put too much faith on that and base your investment on it, as I just wanted to calculate how much each stock would potentially earn (This portfolio should be expected to return about 12.628177% in dividends alone, according to the calculations that were just done). This does NOT consider capital gain/loss, like the new ‘scoring’ procedure does. I now use this new ‘scoring’ procedure along with all of the other indicators and sometimes my ‘gut feeling’ as to what and how to invest. Do your homework and do your own due diligence! YMMV!
Speaking of ‘gut feeling’, I sold all of our positions on 8/21, realizing capital gains of over $6,000.00 across all of our accounts. I’m calling that a ‘reset’ for the portfolio. I just didn’t feel comfortable with world events and thought I saw a little bit of instability in world and US markets. Perhaps I was wrong. I certainly hope so. Nevertheless, I have begun to re-establish some ‘old’ positions and establish some new ones. And, because $ORC was one of the positions sold on 8/21, and it was before the ex-dividend date on 8/22, I will not be receiving the $744 I had previously forecast for the dividend so instead I took $2,755.34 in capital gains on that position. A worthwhile move, IMHO. YMMV!
I’m getting that feeling again, especially after the last few weeks.
I do not anticipate selling any holdings during this depressed market, however, since that would only ‘lock in’ capital loss(es). I will continue to hold my positions, and reinvest some of the dividends to buy shares at ‘bargain’ prices so I earn more dividends so I can buy more shares, ad infinitum.
But, I am truly thankful for my dividends!
I recently posted on my blog in response to a blog post from Chris Perruna, an excellent stock market blogger and financially astute person (IMHO), about my ‘gut feelings’ alluded to above. You can find my post here, with a link in it to Chris’s blog post. I highly recommend that you subscribe to his blog, and mine if you are so inclined.
The large variations in dividend income each month is due to the ‘small month, small month, big month’ dividend cycle, when some quarterly paying dividend stocks do not pay a dividend until 1 or 2 months later. At that time, we will witness the ‘big month’ dividend cycle (usually January, April, July, October). The recent portfolio reset is also a factor.
Mr. Market may have different ideas than you or I, so it’s always a good idea to at least have a look each day. I don’t like buying when the market is going down, but I don’t mind buying so much when the market is going up.
Here is the Expected Dividends workbook;