Dividend Income – Feb 2017 Update

Why do I like dividend income so much? Because it’s our money working hard for us so we don’t have to. For example, I was on the road for 16 days in February but we still received dividend income from our dividend portfolio nonetheless.

When it comes to business travels, although having fancy dinners with customers was neat (who knew blow fish tasted so delicious and you could get delicious authentic Italian food in Taipei), it sure was nice getting back home. While on the road Baby T2.0 started walking. It was a shame I missed her taking the first step but I did see her taking a couple of steps a few days later while talking to Mrs. T and the kids on Skype. Now we got two kids walking (well one runs at 100km/hr), life is about to get even more busier. 🙂

We made some purchases in Feb but we are far from being done. Lately, I have found that it’s getting tougher and tougher finding good valued dividend stocks. I’m hoping we will see some volatility in the near future to provide some buying opportunities. Given the CAN/US exchange rate is terrible now, we probably will continue focusing on purchasing Canadian dividend stocks.

February Dividend Income

In February 2017 we received dividend income from the following companies:

AbbView (ABV)
Apple (AAPL)
Pure Industrial REIT (AAR.UN)
Bank of Montreal (BMO.TO)
Corus Entertainment (CJR.B)
Dream Office REIT (D.UN)
Dream Global REIT (DRG.UN)
Dream Industrial REIT (DIR.UN)
Emera (EMA.TO)
General Mills (GIS)
Inter Pipeline (IPL.TO)
KEG Income Trust (KEG.UN)
Kinder Morgan (KMI)
National Bank (NA.TO)
Omega Healthcare (OHI)
Procter & Gamble (PG)
Potash (POT.TO)
Prairiesky Royalty (PSK.TO)
Royal Bank (RY.TO)
Starbucks (SBUX)
AT&T (T)
Vodafone (VOD)
Verizon (VZ)*

In February 2017 we received a total of $1,191.55 in dividend income from 26 companies. Oh we’re so close to breaking the $1,200 per month milestone. Hopefully next month?

Out of the $1,191.55 dividend income received in February, $332.35 was in USD while $859.2 was in CAD. This is roughly a 30-70 split. Please note, we use a 1 to 1 currency rate approach. Therefore, we do not convert the dividends received in US dollar into Canadian currency. Reason for doing this is to keep the math simple and avoid fluctuations in dividend income over time due to changes in the exchange rate.

* Note: For some reason I missed Verizon in our January report so I have included Verizon in the Feb report.

The top 5 dividend payouts were Bank of Montreal, National Bank, Royal Bank, Omega Healthcare, and Procter & Gamble. The top 5 dividend payouts account for 56.8% of our February dividend income. Am I worried that the top 5 account more than half of our monthly dividend income? Not really as these are big corporations with long dividend payout histories.

Dividend Growth

Compared to February 2016 we saw a YOY growth of 18.65%. Although not as crazy as last month’s +30% YOY growth, I’m extremely pleased how well we’re doing on this matrix.

Dividend Increases

In February a number of  companies that we own in our dividend portfolio announced dividend increases:

  • Suncor Energy Inc. raised dividend by 10.34% to $0.32 per share.
  • Manufalife Financial raised dividend by 10.81% to $0.205 per share.
  • TransCanada Corp raised dividend by 10.62% to $0.625 per share.
  • Coca-Cola raised dividend by 5.71% to $0.37 per share.
  • Wal-Mart raised dividend by 2% to $0.51 per share.
  • Canadian Imperial Bank of Commerce raised dividend by 2.42% to $1.27 per share.
  • Royal Bank raised dividend by 4.82% to $0.87 per share.
  • Magna International Inc. raised dividend by 10% to $0.275 per share.
  • Bank of Nova Scotia raised dividend by 2.7% to $0.76 per share.

All these raises have increased our annual dividend income by $204.12. To get the same amount of dividend increase, at 3% dividend yield, we would have need to invest $6,804 of new capital. This is yet another good example of our money working hard for us so we don’t have to.

Conclusion and Moving Forward

So far in 2017 we have received a total of $2,303.92 in dividend income. It’s neat to see that we are almost eclipsing our dividend total from 2012 and over 40% of dividend total from 2013. Definitely neat to see that we’ve made incredible amount of progress in the last 5 years.

Dear readers, how was your February dividend income?

Written by Tawcan
Hi I’m Bob from Vancouver Canada, I am working toward joyful life and financial independence through frugal living, dividend investing, passive income generation, life balance, and self-improvement. This blog is my way to chronicle my journey and share my stories and thoughts along the way. Stay in touch on Facebook and Twitter. Or sign up via Newsletter