Last week of January 2021

Last week of January was pretty good. Kone annouced dividend proposition for the general meeting. Dividend will increase to 1,75 €/share from 1,70 € and Kone will pay special dividend of 0,50 €/share. If general meeting approves the dividend increase our 2021 net dividend income will increase by 28,68 €. 

We also bought 5 shares of  AT&T @29,0880 USD. This will increase our 2021 dividend income by 5,44 €. We bought 3 shares of Southern Co @59,2567 USD. This will increase our 2021 dividend income by 5,35 €. We also bought 4 shares of Gladstone Investment Corporation BDC @10,5343 USD. This purchase will increase our 2021 dividend income by 2,12 €. These purchases will increase our 2021 dividends totally by 12,91 €.  

This week we received following dividends:

• 0,09 € from Gladstone Investment Corporation BDC
• 0,25 € from Gladstone Commercial Reit
• 9,43 € from MSC Industrial Direct Co
• 13,30 € from LTC Properities
• 6,14 € from refunds from excess taxes witheld
• 1 share of Main Street Capital, worth of 27,45 €
• 16,33 € from Clime Capital
• 4,76 € from Cibus Nordic
• 12,87 € from Transalta Renewables

Our bank failed to deliver Main Street Capital remainder dividends. 

Total passive income in January was 394,19 €, which is better than we expected. We were able to increase our January dividend income by 8,4 % compared to January 2020. As our target pace is 525 €/month and we did not reach that in January we need to receive 536 €/month rest of the year.

3rd week of January 2021

Last week we forgot to report 43,91 € dividend from Spirit Realty Capital. This week was pretty quiet. We received few dividends, made one purchase and received some news regarding the dividends. 

We bought 10 shares of Stellantis @14,211 €. We do not expect this purchase to have any effect to our this year dividend income. 

This week BlackRock annouced a dividend increase. This will increase our 2021 dividend income approximately by 22 €. 

We received dividends from following companies:

• 24,85 € from Transcontinental Inc
• 26,34 € from Simon Property Group
• 2,81 € from Keurig Dr Pepper
• 1,43 € from Main Street Capital

Main Street Capital dividend should have arrived last week, but our bank failed to deliver it for us in time. We are waiting Main Street Capital DRIP to be sorted out next week. 

We have received 303,57 € passive income and we are expecting approximately 78 € dividends to arrive this month. Our total dividend income should be around 380 € in January, which is a bit more than last year. To meet our target we should collect 525 / month. Since we fall behind the target pace in January we have to collect 537 €/month for the rest of the year. 

2nd week of January

2nd week of January was good dividendwise, as usual. We increased some of our positions this week and received quite a bunch of dividends. We bought 2 shares of British American Tobacco @28,19714 GBP. This purchase will contribute 2,83 € to this year's target. We also bought 11 shares of  Abbvie @108,70804 USD. This purchase will increase our dividend income 2021 approximately by 40,25 €. Even after these purchases we predict that we may not reach our target. As there are always currency fluctuations and suprises in dividend payments. After all we do have significant currency risk. At the moment we are far from the safe zone so we need to increase our positions.

This week Canadian Utilities announced a dividend increase of 1% to 0,4395 from 0,4354. This will increase our dividend income by 0,31 €. It's not much but better than nothing. 

And then to this weeks' dividends:

• 3 shares of Apollo Investment Corporation @11,26333 USD worth appx 27,11 €
• 1,61 € from Apollo Investment Corporation as remainder from DRIP
  
• 13,50 € from Pepsico, as our bank failed to transfer these on time for us
• 17,09 € from Whitestone REIT
  
• 10,50 € from Exchange Income
• 6,65 € from Inter Pipeline
• 39,13 € from Leggett & Platt
• 33,96 € from Cardinal Health 
• 20,48 € from Realty Income

2nd week dividend income was 170,03 € and whole year to date is 204,23 €. We are a bit behind the target pace. Our current estimation is that January 2021 will be weaker than January 2020 was. 

 

 

First week of 2021

New year has started. Our 2021 target for received passive income is 6300 €. This means that we should receive on average 525 €/month passive income. Last year our target was 442 €/ month so in our opinion increase is quite ambitious . We really need to work to be able to achieve our goal. 

As usual at the beginning of the month, we paid our investment loan installments. We paid back 501,09 € principal and 24,58 € interests and fees. 

We also made our first purchases for 2021. We bought 50 shares of Cibus Nordic Real Estate AB @ 172,00144 SEK. We also bought 1 share of Whitestone REIT @7,7568 USD and 2 shares of Gladstone Commercial REIT @ 17,9679 USD. The purchase of Cibus will increase our 2021 dividend income by 39 €. Gladstone Commercial REIT and Whitestone REIT purchases will increase our 2021 income approximately by 2,12 €. So on first week we increased our forward dividend income totally by 41,12 €. This increase covers 0,65% of our yearly target.

We received interests from 2020 to our investment accounts. We do not have a lot of cash in our investment accounts but still we were able to receive 0,31 € interests. On first week we received following dividends:

• 3,26 € from Genuine Parts 
• 29,83 € from Iron Mountain
• 0,80 € from HP Inc. 

Total passive income for first week of 2021 was 34,20 €.

 

 

Last two weeks of 2020 and summary of the Year

Last two weeks were quiet and we had a peaceful Xmas. The last dividends arrived and we made 2 very small purchases. 

On 21st of December we bought 1 share of Gladstone Commercial Reit @18,2305 USD and 2 shares of Gladstone Investment Corporation BDC @10,6252 USD

During the Xmas season we received following dividends:

• 40,34 € from Blackrock Inc
• 5,25 € from Dominion Energy
• 18,51 € from Coca-Cola
• 1 share of Main Street Capital as a DRIP, worth 25,79 €
• 4,42 € from Main Street Capital from remainder shares.
  
• 2,04 € from Cibus Nordic
  
• 0,08 € from Gladstone Commercial Reit
• 0,09 € from Gladstone Investment Corporation BDC
  
• 13,09 € from LTC Properties
• 12,75 € from Transalta Renewables Inc
• 1,68 € from Methanex.

Total amount of dividends in last two weeks was 124,04 €, which is pretty decent in our opinion. Total amount of the dividends collected in December was 485,65€.

And how about the 2020 target? We set target to collect 5300 € dividends in 2020 and we collected:

5313,50 €

We reached the target! On the very last day on the year actually. It was a really close call. This was our 2nd year when we had set target for dividend income, and again we reached it, even though the year was hard for us. We have quite a heavy position in REITs and financial sector which both suffered from COVID-19 and some of our pillarstone companies ceased or decreased dividend payments.

The portfolio had quite turbulance due the COVID-19. We took the end year snapshot of the values of our porfolio.  Below is table of the portfolio by rolling 5 quarters.

Investment portfolio

Asset class	31st Dec 19	1st Apr 20	1st Jul 20	1st Oct 20	31st dec 20
Cash	1 799,7 €	1 344,51 €	700,81 €	596,23 €	1 174,52 €
Investment funds	10 478,22 €	10 478,22 €	10 377,73 €	10 383,21 €	10 342,75 €
Coop memberships	1 500 €	1 500 €	1 500 €	1 500 €	1 500 €
Shares	124 914,13 €	98 487,31 €	132 343,57 €	140 797,57 €	158 383,37 €
Gross investment portfolio	138 692,05 €	111 810,04 €	144 922,11 €	151 777,01 €	171 400,64 €
Investment loan	7 018 €	6 166 €	25 740 €	24 525,88 €	23 023,01 €
Net investment portfolio	131 674,05 €	105 644,04 €	119 182,11 €	127 251,13 €	148 377,63 €

We started this tracking in beginning of the 2019, and our gross investment portfolio was 88 262,94 € and net investment portfolio was 78 901,94 €. So during the last two years we have increased our gross protfolio by 94,19% and net investment portfolio by 88,05%. 

And then to 2021. We set our goal a while ago to 6 300 €. This means that we should collect 525 € dividends in every month. We reached this goal only 2 times in 2020, so we really have to work to reach the target. It is doable but again it is quite ambitious goal to reach. 

Last, the figures.