Welcome back to the weekly Dividend Dollars portfolio review! This portfolio update is brought to you by Sharesight, a portfolio tracking tool that I am happy to partner with. Their platform makes tracking trading and dividend history, understanding your performance, and saving time a breeze. I wrote a review of the product that you can read here if you’re interested in learning more! Click the link above or the picture below to get a special offer only for Dividend Dollar readers!
Here at Dividend Dollars, our investing approach is a dividend growth strategy with aspects of value investing and fundamental analysis. I am a young investor in my 20’s and by sticking to this strategy over the long term, the magical powers of compounding are on my side. This allows me to more easily build substantial positions in dividend paying stocks over time, which will one day help me reach the ultimate goal of being financially free through the sources of passive income they provide. You can read more about the strategy here. Let’s dive into the portfolio review!
Portfolio Value
To date, I have invested $13,010 into the account the total value of all positions plus any cash on hand is $13,449.56. That’s a total gain of 3.38%. The account is up $241.53 for the week which is a 1.83% gain.
We started building this portfolio on 9/24/2021 and when compared to the S&P 500 we are outperforming the market so far! Within that same timeframe, the S&P 500 is down -10.24% which puts us 13.62% higher than the market! I love tracking my portfolio against a benchmark like the S&P. The above chart comes from Sharesight which makes portfolio and dividend management a breeze!
We added $120 in cash to the account this week, trades made will be broken out below.
Portfolio
Above is a dashboard of the portfolio that tracks annual dividend income, yield, beta, dividend growth, and more.
Below is a table of everything we are invested in so far. There you can see my number of shares, shares bought through dividend reinvestments, average cost, gains, and more. The tickers in green are positions that I bought shares in this week, the blue ones are positions that I reinvested dividends into, the yellow ones are positions that announced a dividend increase this week, and the red are positions that I trimmed. Our PADI this week decreased from $486 to $500.
Dividends
This week I received 3 dividends, view the chart below!
In my portfolio, all positions have dividend reinvestment enabled. I don’t hold onto the dividend, I don’t try to time the reinvestment, I just let my broker do it automatically. $MDT and $O will be reinvested at next market open.
Dividends received for 2023: $6.97
Portfolio’s Lifetime Dividends: $425.28
Trades
This was a very eventful week in the market. We experienced an initial dip, a run up into and through the CPI release on Thursday, and then banks kicking off earnings season with some volatility on Friday.
After closing my short position last week, this week I began to deploy more cash into buying some of my token stocks like Intel and BofA.
Secondly, I added back to some shares in $SMHB after selling off some of that position a few months ago. I did this to take advantage of the ex-dividend date on Thursday.
Third, I added a little bit to $AY as my secondary sustainable energy holding, I think companies like $AY and $NEE will be huge in the future, so I am just slowly but surely adding to it.
Lastly, I took time this week to try out a cash secured put position on $LABU which I held for only a few days for a nice 40% gain. Currently, that contract is only worth $5 which would put the position at an 83% gain! Going forward, I am going to start doing more with cash secured puts and covered call in order to earn premium while my stock and cash works for me. I have been involved with a discord server called 3X Trading in the past few weeks that has taught me a little bit about option wheel strategies. Using their resources and trainings, I would like to continue to use this strategy as well as a separate option trading account which, if successful with it, could help boost my dividend portfolio through its extra earnings. The dividend portfolio will always be my focus, I am just learning about other avenues on how I may be able to make it grow faster. Use the link above if your interested in checking out the discord, I chat in there often about the market, macro data, long term holds, and price action.
Below is a breakdown of the trades I made this week:
- January 9th, 2023
- S&P Biotech Bull 3x ($LABU) – Sell to open cash secured put $6 1/27 for $0.30
- January 10th, 2023
- SPDR S&P 500 ETF ($SPY) – added $10 at $388.74 per share (weekly buy)
- Global X S&P 500 Covered Call & Growth ETF ($XYLG) – added $10 at $25.57 per share (weekly buy)
- Schwab US Dividend Equity ETF ($SCHD) – added $10 at $77.07 per share (weekly buy)
- January 11th, 2023
- ETRACS 2xMonthly Pay Leveraged US Small Cap ETN ($SMHB) – added 2 shares at $7.70
- January 12th, 2023
- S&P Biotech Bull 3x ($LABU) – Buy to close cash secured put $6 1/27 for $0.18 (40% gain)
- Intel ($INTC) – added 1 share at $29.88
- Atlantica Sustainable Infrastructure ($AY) – added 1 share at $26.36
- ETRACS 2xMonthly Pay Leveraged US Small Cap ETN ($SMHB) – added 1 share at $7.71
- January 13th, 2022
- Intel ($INTC) – added 1 share at $29.89
- Bank of America ($BAC) – added 1 share at $33.86
Next week I will continue to add $10 into each ETF ($SPY, $XYLG, and $SCHD) and will continue to hold onto the rest of my cash if the market gets lower. I have started to slowly deploy that cash in case a bottom has already been hit, but only time will tell. I really want to deploy this cash position into $CMCSA, and $INTC to build 100 share positions in them for covered call activities.
Summary
That is it for the update this week. The weekly market recap and outlook article is live. Read that here to understand what happened this week and prepare for the next!
Let me know what you think of the progress so far, share with me your progress and questions, interact with me on twitter and Instagram using the links below!
Thank you for reading! See you next week and stay safe!
Regards,
Dividend Dollars