December 2015 Dividend Activity
- In December, I had zero activity. No transactions or dividend changes.
- Dividend income for the month increased by 49.4% compared to December of last year. Most of the increase came from additional purchases during the year. Total income for the month also hit a milestone that I have waited several years for. Kind of a nice feeling.
Annual Progress – 2015
- Overall, forward dividend income increased by 19.28% compared to 2014
- Stock sales reduced income by 5.71%
- Dividend increases added 4.88%
- Stock purchases added 20.12%
- Dividends received in 2015 were 41.24% higher compared to 2014 (again, mostly from heavy purchasing in 2014-2015).
Goals and Forecasts
Early in 2014, we met with our financial adviser to discuss possibilities for my retirement. I had created a ten year income projection spreadsheet which included estimates on dividend income. For 2014, I fell short of my projection by a little over 2%.
For 2015, I was projecting a 26% increase in dividend income over the 2014 projection. The good news is that we came in at about 38%. That helps in that it should make it a little less difficult to reach my projection/goal for 2016.
Investing Plans For 2016
Along with working toward my income goals for 2016, there are a few other things I want to accomplish.
- Finalization of my investment business plan (though always subject to refinement)
- The plan will include a legacy section. I am concerned about the predicament my wife would find herself in if I am suddenly unable to manage our portfolio. Stocks are clearly not her “thing”.
- The legacy information will offer some guidance as to what to do with the portfolio, as well as what not to do. This could get tricky and due diligence is in order.
- Giving serious thought to my true risk tolerance. Since becoming involved with dividend stocks, I have never experienced a true bear market.
- Determine what allocation levels should be for stocks and bonds. This will obviously affect my business plan, so I need to get a handle on this.
- I’m certain that my business plan will address the issue of holding only high quality in our portfolio. I plan to work toward that goal. I have a few companies that are questionable and they probably don’t need to be among our holdings.
How about you? Any particular plans or goals for the new year?
Thanks for reading. I wish you happy investing and the happiest of new years.