Monday, August 22, 2016

Ventas: Wait For The Valuation To Cool Down

Ventas is a real estate investment trust with a highly diversified portfolio of seniors housing and healthcare properties located throughout the United States, Canada and the United Kingdom. It is part of the "Big 3" in healthcare REITs (including Welltower, HCP and VTR). Lately, I've been following this sector more closely because most companies in this sector are stable income producers, have a solid business model and great demographic trends ahead of them. Let's take a look at Ventas and discuss whether it can be a good addition to your portfolio at current prices.

Read the rest of the article here: http://seekingalpha.com/article/4001126-ventas-wait-valuation-cool

Sunday, August 7, 2016

Catch up post! (inactive in past few months)

I might have mentioned in one of my earlier posts or replies that my wife and I bought a house. The builders will start soon and are expected to be ready in Q2 2017. Because of this purchase my cash flow towards investments has been limited the past months (exactly zero to be precise). Even though my portfolio kept chugging along just fine, I didn't feel the need to update this site each month.

However, this post is meant to offer a short update on the portfolio.

Total return
In the table below I have presented some benchmarks to review how my portfolio has performed year-to-date.

IndicatorAs of 1-1As of 31-7% change
S&P 500 Total Return3821,64114,51+7,7%
Dow Jones Industrials Total Return35.72638.361+7,4%
AEX GR1.3281.387+4,4%
USD.EUR0,92080,9017-2,1%
Portfolio value€ 22.570 € 24.458 +8,4%

In the past few months the markets went up and down quite violently sometimes. Right now the markets have gained between 4,4% and 7,7% year-to-date (total return). My portfolio gained a little bit more! Since I didn't deposit any new money in the last few months I can safely compare the change %'s. In the end it's not bad at all to see the growth in the portfolio without me doing (hardly) anything at all.

Portfolio activity
I have done a few things:
  • 3 new shares of RDS (DRIP)
  • 1 new share of Accell (DRIP)

Sold my position in:
  • TGH. My shares were called at $12.50 because of a covered call option play. Current stockprice is $11.37 so it's actually not bad I guess.
  • Baxalta: sold my shares because of the merger with Shire. I didn't research the merger and didn't want to end up with a few shares of Shire. The price had run up quite nicely in the prior months.

New position in:
  • TROW: decent valuation, dividend and good dividend growth prospects. I like the asset management business model and it' s actually some sort of leveraged play on the stockmarket as a whole.
Current cash position is good for 1 new position (or to add to an existing position).

Dividends
I've received € 427 in dividends in the past few months. This is slightly lower than last year but that was to be expected after a few dividend cuts (BBL, TGH, KMI) which seriously impacted dividend income in the past months.

YearJanFebMarAprMayJunJul
2015€ 29€ 49€ 128€ 55€ 69€ 87€ 31
2016€ 53€ 39€ 119€ 34€ 59€ 98€ 25
Y-o-y change%+83%-20%-7%-38%-14%+13%-19%

Outlook
I don't expect to deposit any new money to my dividend portfolio this year. I do plan to keep reinvesting the dividends and open a new position if the cash position is big enough.

Saturday, February 13, 2016

Monthly Update: January 2016

The markets started the new year with a blast. There are a lot of worries about China and other developing economies, talks about global recession and whatnot. Since I am planning to buy a house in the near future my deposits are and will continue to remain zero. However I do still receive dividends which in time can be used to invest. In the table below I have shown some benchmark indicators of general market indices and my own dividend growth portfolio. It wasn't really a good month, but hey.

Indicator
As of 31-12As of 31-1% change
S&P 500 Total Return3.8223631,96-5,0%
Dow Jones Industrials Total Return35.72633.802-5,4%
AEX GR1.3281.297-2,4%
USD.EUR0,92080,9174-0,4%
Portfolio value€ 22.570 € 21.694 -3,9%

However, since I am in it for the long haul I am not too interested in these daily or monthly fluctuations. What matters is that I keep focused on buying high quality companies which provide me with a steady stream of growing dividends.

Purchases
None.

Dividends received
Four separate companies paid me dividends during this month.
  • WMT: 20 shares @ $0.49 for a total of $9.80
  • BAX: 22 shares @ $0.115 for a total of $2.53
  • BXLT: 22 shares @ $0.07 for a total of $1.54
  • PM: 17 shares @ $1.02 for a total of $17.34
Total: around €24 after tax, which is almost slightly lower than last year due to the dividend reduction of the combination BAX/BXLT. However, I did sell another (covered) TGH call which netted me €30. So total income including option premium is €54.

Dividend increases or decreases during this month
None.

Yearly forward dividend
My 12-month forward dividend rate is now €920, compared to €940 last month. Nothing changed except the EUR.USD rate.

Seeking Alpha articles
None.

Sunday, January 10, 2016

Monthly Update: December 2015

So 2015 has come to an end. I'll write a post about the progress I made in the past year but for now I just want to present my dividend income for the month of December. In the table below I have shown some benchmark indicators of general market indices and my own dividend growth portfolio. It wasn't really a good month, and there's hardly any improvement in the new year.

Indicator
As of 30-11As of 31-12% change
S&P 500 Total Return3.8833821,6-1,6%
Dow Jones Industrials Total Return36.27735.726-1,5%
AEX GR1.4121.328-5,9%
USD.EUR0,94440,9208-2,5%
Portfolio value€ 23.982 € 22.570 -5,9%

However, since I am in it for the long haul I am not too interested in these daily or monthly fluctuations. What matters is that I keep focused on buying high quality companies which provide me with a steady stream of growing dividends.

Purchases
None.

Dividends received
Nine separate companies paid me dividends during this month.
  • KO: 37 shares @ $0.33 for a total of $12.21
  • INTC: 63 shares @ $0.24 for a total of $15.12
  • AFL: 28 shares @ $0.41 for a total of $11.48
  • IBM: 7 shares @ $1.30 for a total of $9.10
  • XOM: 17 shares @ $0.73 for a total of $12.41
  • UNP: 15 shares @ $0.55 for a total of $8.25
  • TGH: 100 shares @ 0.24 for a total of $24.00
  • RDS: 98 shares @ $0.47 for a total of $46.06 (DRIP 1 share)
  • UNA: 37 shares @ €0.30 for a total of €11.17
Total: around €129 after tax, which is almost 60% higher than last year in December. It's (almost) my highest monthly income ever, so definitely a solid month in terms of income!

Dividend increases or decreases during this month
Still contemplating my positions in KMI and TGH.

Yearly forward dividend
My 12-month forward dividend rate is now €940, compared to €940 last month. Nothing changed.

Seeking Alpha articles
None.

Tuesday, December 29, 2015

Monthly Update: November 2015

A bit overdue but I still need to present my dividend income for the month of November. In the table below I have presented some benchmark indicators of general market indices and my own dividend growth portfolio.


Indicator
As of 31-10As of 30-11% change
S&P 500 Total Return3.8713.883+0,3%
Dow Jones Industrials Total Return36.02336.277+0,7%
AEX GR1.3861.412+1,9%
USD.EUR0,90790,9444+4,0%
Portfolio value€ 23.787 € 23.982 +0,8%

However, since I am in it for the long haul I am not too interested in these daily or monthly fluctuations. What matters is that I keep focused on buying high quality companies which provide me with a steady stream of growing dividends.

Purchases
None.

Dividends received
Nine separate companies paid me dividends during this month.
  • DE: 18 shares @ $0.60 for a total of $10.80
  • KMI: 48 shares @ $0.51 for a total of $24.48
  • OHI: 59 shares @ $0.56 for a total of $33.04
Total: around €54 after tax, which is 26% higher than last year.

Dividend increases or decreases during this month
I have two companies in my portfolio that significantly reduced their quarterly dividend payments in recent history: Textainer and Kinder Morgan. The dividend from TGH will be reduced starting with the payment in December. The dividend payment from KMI this month was a "normal" one, however the next payment somewhere in February will be much smaller. I am contemplating what to do with these positions.

Yearly forward dividend
My 12-month forward dividend rate is now €940, compared to €1031 last month. I took a big hit in income due to the dividend from KMI.

Seeking Alpha articles
None.

Tuesday, December 1, 2015

Monthly Update: October 2015

A bit overdue but I still need to present my dividend income for the month of October. In the table below I have presented some benchmark indicators of general market indices and my own dividend growth portfolio.

IndicatorAs of 30-9As of 31-10% change
S&P 500 Total Return3.5703.871+8,4%
Dow Jones Industrials Total Return33.17236.023+8,6%
AEX GR1.2611.386+9,9%
USD.EUR0,89530,9079+1,4%
Portfolio value€ 21.951 € 23.787 +8,4%

However, since I am in it for the long haul I am not too interested in these daily or monthly fluctuations. What matters is that I keep focused on buying high quality companies which provide me with a steady stream of growing dividends.

Purchases
None.

Dividends received
Nine separate companies paid me dividends during this month.
  • KO: 37 shares @ $0.33 for a total of $12.21
  • BAX: 22 shares @ $0.115 for a total of $2.53
  • BXLT: 22 shares @ $0.07 for a total of $1.54
  • PM: 17 shares @ $1.02 for a total of $17.34
  • I earned $37.70 in option premiums because I sold a covered call.
Total: around €62 after tax.

Dividend increases during this month
PM raised their dividends from a quarterly payment of $1.00 to $1.02.

Yearly forward dividend
My 12-month forward dividend rate is now €1031, compared to €1038 last month. I took a big hit in income due to a dividend cut from TGH. The dollar appreciated in value against the euro so that kind of offset the dividend cut from TGH.

Seeking Alpha articles
I wrote two articles for Seeking Alpha:

Sunday, October 11, 2015

Monthly Update: September 2015

It's that time of the month again! A few days late but here's my monthly update for September. In general markets lost a little bit, which is not really a big deal. Especially considering the big drop from last month. There is still a lot of volatility in the market. In the table below I have presented some benchmark indicators of general market indices and my own dividend growth portfolio.

IndicatorAs of 31-8As of 30-9% change
S&P 500 Total Return3.6613.570-2,5%
Dow Jones Industrials Total Return33.62733.172-1,4%
AEX GR1.3171.261-4,2%
USD.EUR0,89090,89530,5%
Portfolio value€ 21.906 € 21.351 -2,5%

However, since I am in it for the long haul I am not too interested in these daily or monthly fluctuations. What matters is that I keep focused on buying high quality companies which provide me with a steady stream of growing dividends.

Purchases
I deposited €600 and topped of my position in TGH. You can read about it here. After that I wrote a covered call option on my position in TGH.

Dividends received
Nine separate companies paid me dividends during this month.
  • INTC: 63 shares @ $0.24 for a total of $15.12
  • AFL: 28 shares @ $0.39 for a total of $10.92
  • IBM: 7 shares @ $1.30 for a total of $9.10
  • WMT: 20 shares @ $0.49 for a total of $9.80
  • XOM: 17 shares @ $0.73 for a total of $12.41
  • UNP: 15 shares @ $0.55 for a total of $8.25
  • BBL: 28 shares @ $1.24 for a total of $34.72
  • RDS: 97 shares @ $0.47 for a total of $45.59 (DRIP 1 share)
  • UNA: 37 shares @ €0.30 for a total of €11.17
Total: around €124 after tax which is about 50% more than last year in September. It's the second time that I crossed the 100 euros per month threshold. That's looking good!

Dividend increases during this month
None

Yearly forward dividend
My 12-month forward dividend rate is now €1038, compared to €950 last month. I finally surpassed the€1000 dividend income per year milestone. My extra shares in TGH made the difference. Let's see how long it takes before I get to the next thousand milestone!

Seeking Alpha articles
I wrote one article for Seeking Alpha. It's called: Textainer: Dividend Seems Safe But Investors Need Courage and got some good reviews.