Jun 6, 2015

11 Recent Buys and 1 Sale


 
Looking back the first week of June, it looks like I have started the month at full throttle. I don't have a crystal ball. I don't know which direction the market is heading. Therefore my strategy is to buy stocks when I have capital. Strategy this simple can't possibly work. Or could it?
 


 
One goal this week was to increase my July dividends. My dividends in Jan/Apr/Jul/Oct have been clearly lower than other months. Keeping the payouts balanced over the course of the year is not the most important thing, but if I find interesting quality companies that pay during these months, I'll go for it. And I think I was able to boost those slow months very nicely here.
 
I don't like to sell stocks. However, I sold my position in BMO this week. I started to diversify to Canada by buying Canadian stocks in NYSE. But I have changed my plan a little bit. If I'm to diversify there, I want to go all the way which means I want to own my Canadian stocks through Toronto Stock Exchange in CAD. Now that I sold my BMO shares, I have a chance to "change the horse", so to say. When I go shopping in Toronto, I think I will go for Royal Bank (RY). From what I have read, there just seems to be slightly more quality than in BMO. And I want a stock that also distributes during month II (second month of a quarter).
 
Completely new holdings for me are RCI.B, NSC and WPC. Actually I was going to buy Telus, but there is restrictions for foreign ownership in the company and my trade was rejected. A bit funny perhaps, I could buy Telus in NYSE but not in TSE. So, according to my new diversification model, I ended up buying another Canadian telecom, Rogers Communications.
 
What a wonderful feeling to own piece of a railroad company for the first time in my life! In my home country's exchange such companies don't even exist. I think railroads are a robust business. I now own a whopping 4 shares of Norfolk Southern, but definitely intend to buy more before next ex-dividend date. REITs are being hit hard, and I used this opportunity by initiating position in W.P. Carey. No doubt, the yield is part of the fun here, but there is more like it being well diversified in many aspects.
 
Here summary of my transactions from June 1 till June 5:
 
My portfolio page has been updated to reflect these trades.
 
Full Disclosure: Long all in the sheet except BMO.
 
What do you think about these transactions?
 

10 comments:

  1. Hey Dividend Lord,

    Welcome to the DGI blogging community! :)

    Always nice to have new people aboard.
    You already have a very nice portfolio.
    Diversification is key, so I think you're doing a good job by getting some stocks from the TSE.

    Thanks for adding me to your blogroll! It's much appreciated.

    Good luck in increasing your July dividend income.
    Best wishes, DfS

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  2. Hi DfS! Thank you for the support.
    I think my portfolio is rather diversified, to say the least. Perhaps I should slow down opening new positions and focus on adding to existing ones. But new quality companies just keep bouncing on my radar:)
    Yes, I'm expecting to see nice year over year increase in July. I will be monitoring your progress as well. Thanks for stopping by!

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  3. Some very nice purchases, DL. I have been reading up about AQN.TO for a while now and really like the fact that they are expanding their water portfolio.

    I was wondering why you sold BMO - but sounds like a good point. You'd rather just buy it on the Canadian exchange instead of the US exchange. Good luck with the new investments!

    R2R

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    Replies
    1. R2R,
      Thanks. Yes, AQN seems to be a bit different kind of utility with that water and renewable energy stuff going on there. I'm expecting a bumpy ride here, but I'm definitely long in the company.
      Yes, I could buy BMO back in TSE, but probably I end up buying Royal Bank.
      Thanks for your visit and good luck to you too with your investments!

      Delete
  4. Thanks for sharing your recent update with us. It's rare to read about a Canadian bank sale among the DGI community even though you are just swapping one for another. I know many dividend bloggers that own all five major Canadian stocks while others like myself own just a few (TD, BNS and RY). Lot's of activity in your portfolio will will bear fruits in the coming months.

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    Replies
    1. Keith,
      I think five Canadian banks would be a little bit too much for me, but I intend to own at least two of them. I think you have three quality banks there.
      Thanks for stopping by!

      Delete
  5. DL,

    Great looking companies there. Glad to be a fellow shareholder with you in some of them! :)

    Just wondering - you had a lot of small purchases there. Are you not paying anything in commission fees? I'd be careful with picking up small lots like that unless you're fees are close to nil.

    Keep it up!

    Best regards.

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    Replies
    1. DM,
      This is an honor. You are the man!
      Yes, I'm fortunate to have very low commissions in the US markets. In Canada a bit higher, but not a big problem there either. In currency exchanges the fee is more significant, but as long as I make one EUR-USD and one EUR-CAD exchange per month, I will be able to prevent my commissions from piling up.
      Thanks for visiting and commenting. Looking forward to your next purchase report!

      Delete
    2. Hi, congratulation on the blog !

      I was actually wondering the same thing. When you make a purchase of 82$, you would get killed with a standard 10$ commission.

      How you thought about using dividend ETF ?

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    3. Thanks 8th digit!
      Yeah, with $10, or even $5 commissions I wouldn't do trades like these.
      I can say that, at least currently, I'm not interested in funds of any kind. You know, trying to build my own killer fund here:)
      Thanks for dropping by!

      Delete