January 2022 Dividend Income Review

Every month I spend a little time reviewing my portfolio and dividend income. January has been an interesting month particularly if you are a Microsoft and Unilever shareholder. $MSFT continues to post impressive numbers on a quarterly basis is now looking to acquire Activision Blizzard. While Unilever’s management continues to struggle and make poor choices which saw a huge 10% drop in the share price.

Regardless of what is happening in the market, I will stick to my Plan of Investing monthly with the aim of buying top-quality dividend growth stocks.

January Dividends

In January I received $137.41 in dividends from a total of 5 companies and CEFs. Altria ($MO), Realty Income ($O), All-Star Growth Fund ($ASG), Calamos Convertible & Hi Income Fund ($CHY), and Clough Global Opportunities Fund ($GLO)

As you can see, My dividend Income started at €26.09 in Jan 2019 and has grown to €137.41 in 2022. This is a 38% increase from last year despite fewer companies returning dividends to my account. My portfolio has gone through a lot of changes since I started in 2017 and I have sold companies like Coca-Cola, Pepsi, Cisco, and ADP. Of all these companies I probably only really regret selling ADP as I sold these at the time as I felt they were overvalued at $170. As an investor, there is no doubt I will make plenty of mistakes, but that’s the whole fun of learning. if you don’t make mistakes you don’t learn anything.

What is quite cool is that I have already earned more dividends in one month of 2022 than I did in the entire of 2018. This really shows the compounding effect in full flow.

Last year I earned just over €2000 and my current PADI is €2161 which is 9.3% of my goal to make €23000 after-tax a year in dividends. In 2022, I am aiming to try and reach an average dividend of €300 per month which is a pretty lofty goal but we will see what happens.

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Recent Buys

I have made a couple of purchases this month. The first one might not surprise you as I reopened a position in Intel again which was partially funded by a Put option of $47.50 that expired worthless. I also bought another 10 shares after the share price dropped (expectantly) after its earnings. Again this was partly funded from the premium I made from selling a $42.50 put option. This option is still open as I would be more than happy to own another 100 shares at this price.

I bought another 20 shares of Viatris, this was partly because I wanted to round up my share count to 100. I don’t know if anyone else is the same but I prefer to have 100 shares rather than 80. Again this was partially funded by $14 Cash Secured Puts. you are probably seeing a trend at this stage 🙂

The last purchase of the month was Clough Global Opportunities Fund ($GLO). This is a high-yield monthly paying income fund that forms part of my portfolio’s high-risk portion. This Fund has a whopping 11% dividend yield and gives me exposure to some companies that I like but would never buy myself such as Amazon, Micron, and TSMC.

Portfolio

My European portfolio now has a total of 10 companies which will give me an estimated income of €712 after tax. I actually noticed a flaw in my spreadsheet where Bayer is showing in place of Enagas. I am in the process of moving everything over to a database and creating a custom dashboard so hopefully, I will find this discrepancy when I’m converting over. Intel is also missing and VZ is still showing so I need to do some work to fix the bugs in the spreadsheet. Hopefully, by next month, I will have the dashboard and database set up and remove some of these inaccuracies.

Short and sweet this month.

Happy Investing!

Recommendations

Simply Investing Report review – For investors who might like to have all the research is done for them (Affiliate Link)

Sure Dividend – Ben and his team help individual investors build high-quality dividend growth portfolios for the long run and offer a lot of excellent content for free. I also write company review articles on Sure Dividend each Quarter.

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