Friday, July 8, 2016

June 2016 Progress Report

Once again it is time for a goals/progress update. I am pleased to report that annualized dividend income increased last month, extending the streak to 45 consecutive months of increases. As noted in the June 19, 2015 post, in July 2015 I changed to reporting on total dividend income instead of just income from my Dividend Growth Portfolio.

Since I began tracking my total income progress, annualized dividend income has increased in 45 of the last 45 months.

Dividends Growth Stocks Portfolio

Dividend Changes:
During the month the following securities in my Dividend Growth Portfolio paid a higher dividend (a=dividend stated in annual terms, q=quarterly, m=monthly):

- Johnson & Johnson (JNJ) $0.75q>$0.80q
- United Technologies Corporation (UTX) $0.64q>$0.66q
- Exxon Mobil Corporation (XOM) $0.73q>$0.75q
- Pepsico, Inc. (PEP) $0.70250q>$0.7520
- Universal Health Realty Income Trust (UHT) $0.64q>$0.65

For the year, the Dividend Growth Portfolio has recorded a 3.61% increase in dividend income from higher dividends. My goal for the year is a 5.0% increase. Yield on cost is currently 4.82%.

In June I sold 22% of my MCD holdings at a significant gain due to allocation reasons.

Portfolio Allocation

 75.6% Dividend Growth Stocks
 09.2% High-Yield
 00.9% High Dividend Growth
 14.4% Debt & Preferred Stock

My long-term target allocation is:

 50.0% Dividend Growth Stocks
 10.0% High-Yield
 10.0% High Dividend Growth
 30.0% Debt & Preferred Stock

Year-To-Date Annualized Portfolio Returns

+12.6% Dividend Growth Stocks
+10.2% High-Yield
+14.2% High-Growth
+15.5% Core-20
+01.9% Debt & Preferred
+03.8% S&P

For the last two calendar years my Dividend Growth Stocks Portfolio has outperformed the S&P 500. Since 2008, the portfolio has outperformed the S&P 500 five of the eight years. Click here for more information on historical performance.

That's it for this time. The next monthly progress update will be in early August.

Full Disclosure: Long, all the aforementioned securities. See a list of all my Dividend Growth Portfolio holdings here.

Related Articles
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- 5 Dividend Stocks Beating the S&P With Positive Returns In Excess of 50% YTD
- Income Annuities vs. Dividend Stocks
- 8 Select High-Yield S&P 500 Dividend Stocks

(Photo: Arcelia Vanasse)



  1. Congrats on another good month. Way to keep the streak alive. What is the reasoning for changing the allocation of your portfolio so much?

    1. More Dividends: I am in my mid-fifties and want to slowly migrate to a portfolio I will be more comfortable with once I am retired and no longer bringing in a paycheck.

    2. Ahhh that makes perfect since. I hope it is a smooth and profitable transition.

  2. Another month of solid returns. Always nice to see. Keep that monthly streak of increases going as long as you can. As long as your year over year figures show growth that's good enough. Interesting sell of MCD though in recent weeks I have been reading more and more sell articles among our fellow DGI bloggers. Guess people are locking in gains rather than on collecting the divvys. Thanks for sharing.

    1. DivHut: MVD is still one of my largest holdings, it had just grown too large and needed some trimming.

      Best Wishes,