In May the stock market saw a tremendous bounce back and rally, one seemingly for the ages. Many who decided to stay on the sidelines and not invest when the markets were down 30 plus percent are probably kicking themselves. I am certainly not saying that we can’t have another 30 percent correction in the coming months, I just don’t understand why you wouldn’t begin buying on any 30 percent correction. So if we have another correction, it will simply be another opportunity to stack shares at great prices. That being said let’s take a look at the dividends I was paid in the month of May 2020!
In May I was paid $129.33 in my 3 accounts combined. The breakdown is below:
M1 Finance Main Account: $107.61
M1 Finance Roth IRA: $9.34
Fidelity Traditional IRA: $12.28
Here is all of the payouts over the course of May by each holding:
March was the beginning of shelter in place and shutdowns in large swaths of the global economy. In the sea of uncertainty the dividends kept rolling on in. I did have one holding suspend dividends which was Cracker Barrel (CBRL) otherwise the show goes on.
In March I was paid $129.80 in my 3 accounts combined. The breakdown is below:
M1 Finance Main Account: $86.36
M1 Finance Roth IRA: $17.11
Fidelity Traditional IRA: $26.33
Here is all of the payouts over the course of March by each holding:
So far 2020, at first glance, looks like it might be a repeat of 2019 where the S&P 500 index was up almost 30%. In the first half of January the S&P 500 Index is already up over 2%. While a market like this makes it seem really easy to make money, I have a feeling there will be a dramatic drop at some point this year and I don’t really have any thing factual to back that up, more of a gut feeling. That being said take this opinion with a grain of salt, however this gut feeling has me investing a little different as well, which is what I want to share with you all today.
If there is more volatility in the stock market this year, we may need to re-evaluate how and what we are investing in and that is certainly something I am doing. I recently made a video discussing a strategy that I am employing in my DGI (Dividend Growth Investing) portfolio, where I am evaluating and buying only the holdings that are nearing their ex-dividend dates and that are either on discount or are fairly valued. I still believe this is a great way to continue investing to accelerate the dividend compounding in my portfolio, and plan on continuing to do that in 2020. So check out that video if your interested in learning more about that, and that is a way I recommend you make money in the stock market this year. Another strategy I plan on employing is adding to my more defensive positions like United Technolgies (UTX), utility companies, and large cap blue chip DGI companies. The final strategy that is something that most good investors do on a regular basis is look for value opportunities in good companies that are going through some issues, but will eventually come out of and recover. Investing in this manner is certainly not flashy and won’t give you massive gains into your accounts, but I believe it will keep a good stream of dividend income and growth coming into the portfolio. With the combination of these methods, I believe no matter how 2020 turns out at year end I will have continued success investing and making money, and encourage you to consider doing the same (if it makes sense for your situation). Happy Investing everyone!
I have been building out my portfolio for nine months now, which I realize is not a very long time at all. That being said I have learned so much in these nine months, and realize this dividend growth investing game is a very long term game that really pays off in the end not the beginning. Even knowing that I believe in setting incremental goals and celebrating when those smaller goals are met on top of celebrating the bigger goals. I set the goal of reaching $100 per month in projected dividends by the end of 2019 and reached that, just had seen a $100 payout in a month yet, until now!
In December I was paid $106.85 in my 3 accounts combined. The breakdown is below:
M1 Finance Main Account: $74.31
M1 Finance Roth IRA: $10.84
FIdenity Traditional IRA: $21.70
Here is all of the payouts over the course of December by each holding:
M1 Main Acct
M1 Roth IRA
Thanks for stopping by. Happy New Year and happy investing in 2020!