Monday, February 1, 2016

January Review





Time moves so fast doesn't it?


DIS$3.52
FCISX$30.69
GE$11.73
HASI$25.50
KHC$7.79
LTC$3.78
MDLZ$0.38
NRZ$1.38
O$4.39
PEP$4.86
WMT$19.58
Total$113.60




Earnings and Loss

Bank$3,902.17
Capital One 360 Bank$1,578.89
Scottrade Tax$41,904.07
Scottrade ROTH$1,815.64
Loyal3$12,916.23
401k$23,367.89
Edward Jones Roth$7,214.30
Total$92,699.19
Salary$3,854.77
Dividend$113.60
Interest and Online$7.74
Total$3,976.11
Gas Bill$100.20
Electric bill$171.66
Water Bill$0.00
QT$47.05
Discretionary $3.00
Car payment$435.45

Total$757.36
Total Saved$3,218.75
% saved80.95%


Summary 

1) I swear there were some dividend increases. I think O and OHI increased their dividends? I don't know. Work is too hectic.

2) I started my first position in an ETF, SCHD (1 share). I am flipping my scottrade into SCHD and adding to this over time. I think I can add a good 30-40 shares at the end of the year if it continues to remain low.

3) I'm feeling a bit gun shy and angry. My three biggest investments from December to January were PG, WMT, and SO. All three have risen to the point where I cannot add a large portion at these prices. What is with this market. First you beat these three down and then it only started increasing after I bought it. I swear the market is rigged.  

4) Even thought the market is down 6% there really isn't anything I want at the moment. Manufacturing is having a contraction year, railroads are getting crushed, agriculture said good night and good bye, and materials/oil are zombies. What I want is to build up more of my core holdings which won't go down! 

5) Game plan for this month
  • Save my money until opportunities in the defensive sector comes around. I've learned my lesson the hard way. Focus on building your home before exploring new properties. I would like to get 100 shares of SO, JNJ, PG, and WMT. 
  • If by the end of the month there is no opportunity I'm buying $1000 worth of XLU or SCHD.
  • Theory:
    • XLU rises when the market is bad. Goes down when the market is good. Utilities are discarded for growth in good times and hoarded in bad times. It has a low 0.14% expense ratio with a 3.5% dividend yield. 
    • SCHD rises when the market is good. Goes down when the market is bad. SCHD holds all the major dividend aristocrats that people tend to cling onto when the market is bad. It pays a nice 3% yield with a 0.07% expense ratio.
      • As an aside. If you want to know how good dividend aristocrats were in January. The Market fell 6% but my Loyal3 full of dividend aristocrat went up 7%. It was only held down because of Apple and VFC. My top pick of 2016, WMT, is destroying the market. I hate being right...I really wanted more shares of WMT.   
    • If the market stays flat I will buy XLU for its defensive nature. 
I'm almost near 100K. This is my biggest goal for this year! See you next month. Have a happy Valentine's Day. 

As promised. This year I will try to become a more interesting person. I spent January listening to music I would never normally listen to...and I got addicted to country music. I present you my favorite song 



2 comments:

  1. Good job on your dividend income! Nice yoy increase. i have to admit January was hectic for me as well in terms of work so no time to see which companies grew their dividends.
    D4s

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    Replies
    1. i feel you d4s. I have no idea how people can work like this for 40 years. Life is running so fast these days

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