September portfolio review 2021

Apparently September is historically one of the worst months for Stocks. I don’t know if this is true like CNN suggests but honestly I don’t really care. As a dividend growth focused investor, I’m not concerned by the fluctuations of the market. In fact if the market drops, I can buy more which makes it a good thing.

I accept that many investors will have a different view and there are some eloquently made alternatives in this thread on commonstock. However I like to invest in a business with a strong balance sheet and can generate enough cash to grow its dividend every year. Check out my September portfolio review below.

Recommended Read – How to Start Investing in Dividend Stocks

How To Start Investing in Dividends Stocks

Portfolio Overview

By constantly adding cash to my account every month I am slowly edging towards my goal of being able to live off my dividend income. My PADI is 8.05% towards my goal after tax, This is actually up by 0.05% from last month even though we have added to 8 positions. This is because of the sale of Red Eelctrica which was a high yielding utility.

Unilever remain my biggest holding by accounting for 9.88% of my portfolio. This is own from 10.56% last month and I hope to decrease it to under 9% this month.

My Portfolio – USA Companies

I have added one more company to my US portfolio which is Blackstone (BX). It was actually after I bought a position in Alibaba that Charles over at Financial Freedom is a Journey reached out and told me (in a nice way) that he would not touch them with a barge pole. In the same email he pointed me towards an article he just wrote on Blackstone. you can read it here

While Blackstone are not your typical dividend growth company, they have an impressive history of delivering returns for investors and their partnership with AIG looks like a match made in heaven. While the dividend may fluctuate based on distributable earnings, I expect the company to more than make up for it with capital appreciation over the next ten years.

Recommended Read- Blackstone – Stock Analysis (financialfreedomisajourney.com)

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My Portfolio – European Companies

There was only 2 changes in my European portfolio. I sold Red Electrica BME: REE from a covered call and bought Rio Tinto in its place. REE was one of my first ever dividend stocks along with Glanbia so I was a little sad when it left my portfolio but I will be buying cash secure puts over the next couple of months on them again.

Rio Tinto (RIO) was inspired by my buddy European DGI. I do not know as much about the company as I would usually like before investing but my portfolio was really low on industrials and eDGI did a great job at explaining why they might be a good investment. I bought a smaller than usual portion until I get some time to read through their annual reports.

DIVIDENDS

In September I received a total of €188.65 in dividends from 8 different companies. 

1. Aflac $11.55
2. Ahold Delhaize €64.50
3. Johnson & Johnson $14.84
4. Unilever €42.68
5. Microsoft $6.16
6. 3M $13.32
7. Walgreens Boots Alliance $28.65
8. Realty Income $12.01

This brings my total amount of dividends received this year to €1633 exactly with still 3 months of the year left to go. 

Usually for my September portfolio review, I track my portfolio in a gsheet that I copied from the measure of a plan and amended to suit my own needs. The spreadsheet is fantastic and the author clearly did alot of work to produce such a high quality tracker. However, for those looking for something a little more simplistic, than check out https://app.divitrack.io/ 

This is one of my favourite trackers to date. The dashboard is nice and clean and has some nice features such as Future projections and upcoming dividends.

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Option Trading

Closed trades for September

• 1 x BME: REE,  €16 CALL  expiring 17 SEPT 21  for  €35  -> Profit €33.5
• 4 x SOLO, $3 PUT expiring 1 JAN 2022 for $70 -> Profit $154.30
•  One x MO, $50 CALL expiring 17 SEPT 21 for $50  -> Profit $49.34
•  1 x AD, €25 PUT expiring 17 SEPT 21 for €27 -> Profit €25
• 1  x UAL, $50 CALL expiring 1 OCT 21 for $97 -> Profit $82.73
• 4 X ENDP, $2.5 PUT expiring 3 SEPT 21 for $80 -> Profit $73.78
• 1 x CCL, $23 PUT expiring 17 SEPT 21 for $80-> profit $76.94
• One x INTC, $52.50 PUT expiring 17 SEPT for $52 -> Profit $52
• 1 x WISH $9.5 CALL expiring 17 sept 21 for $10 -> Profit $8.94
• 4 X ENDP, $2.5 CALL expiring 17 SEPT 21 for $17 -> Profit $65.18

In total I collected I collected a Total Profit of €68.5 from DEGIRO and $549.5 from IBRK. I was initially assigned ENDP but managed to wheel out of that position by selling an in the money covered call.

Below are my Open Trades for October

Covered Calls 

•  1 x T, $30 CALL expiring 17 June 22 for $164
•  One x MO, $49 CALL expiring 15 OCT 21 for $76 
•  1 x AD, €28 CALL expiring 15 OCT 21 for €35
• 1  x UAL, $50 CALL expiring 29 OCT 21 for $174
• One x WISH $8 CALL expiring 15 OCT 21 for $20 (Strangle)
• 1 x CCL $29 CALL expiring 15 OCT 21 for $34

Cash Secured Puts

• One x WISH $5.5 PUT expiring 15 OCT 21 for $30 (Strangle)

As always, these trades are not recommendations and I am still very much a novice at this so don’t follow my lead on any of these trades. 

If you would like a copy of the template I use to to perform stock analysis than feel free to grab your copy below.

[convertkit form=1933300]

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Recommendations

Simply Investing Report review – For investors who might like to have all the research done for them

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.

Dolphin Utilities – If you want to save money from your utilities than check out these guys. (If you mention my name, i receive a small fee while you save money)

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