Our goal for our dividend portfolio is to create sufficient dividend income to cover our annual expenses. I hope to show that it is indeed possible to achieve financial independence through dividend portfolio. Below is our dividend portfolio. We hold dividend paying stocks in RRSPs, TFSAs and regular accounts. All REITs and income trusts are held in TFSAs for tax efficiency purposes. All US stocks and ADRs are held in RRSPs to take advantage of the tax treaty between Canada and USA.
Please note: All content posted on this blog represents my personal opinions and views and should never be considered as professional advice. I am not a financial professional, and I can buy, sell, or hold any investment at anytime.
The dividend stocks that we own fall into the following categories:
- Dividend growers. These are companies that have increased dividend year after year. Some of the companies on the list have increased their dividends for over 20 years. The yearly dividend increase is significant because this is a way to keep up with inflation.
- High income stocks. These are companies that pay over 5% dividend yield. Most of them have slower dividend growth than dividend growers.
For those positions that the dividend received is enough to purchase addition share(s), we enroll in synthetic DRIP to maximize the power of compound interest.
Our dividend stock portfolio
We are currently investing in 67 companies and 2 index ETF.
Q1. I want to start investing in dividend stocks. How do I get starts?
Q2. I feel that the stock market is overvalued. Should I sell now, take in some profit, and buy in later?
A2: Perhaps this post on should I sell some stocks now and wait for market correction will help you making a decision.
Q3: Can you explain how to be tax efficient as a Canadian dividend stock investor? Do you have any tips for Canadian investors?
Q4: I want to create an excel sheet to track my portfolio. How do I do that?
A4: Here’s a step-by-step guide on how to create a dividend portfolio spreadsheet. If you are doing index investing you might want to take a look at the ETF spreadsheet guide. Enjoy!
Q5: How did you get started with dividend investing?
A5: I learned about dividend investing by accident. 🙂
Q6: Which discount broker do you recommend?