December Dividend Income Report – Going to Vietnam Edition

Dividend Guy Blog Logo Small

In September 2017, I received slightly over $100K as a result of the commuted value of my pension plan. I decided to invest 100% of this money into dividend growth stocks. Each month, I publish my results. I don’t do this to brag, I do this to show you it’s possible to build a portfolio during an all-time high market. The market will crash… eventually. In the meantime, I’d rather cash some juicy dividends!

dividend income report

Going to Vietnam

This is the first article I write while I’m traveling through Vietnam. I’ll be covering the stock market with a 12-hour time zone difference for the entire month of January. You can tell that life is hard…

More seriously, this got me thinking about a crucial concept for many investors: timing. When you think about it, each day, I will go to bed about one hour after the market opens. For a full month, I’ll always be one day late on the news. I will miss any big announcements and I’ll only be able to trade on them the day after… way too late to do anything.

But that doesn’t bother me at all. I have no intention of trading during that month in Vietnam. You know why? Because I follow my investing strategy no matter what happens.

You may argue: “But Mike, what if BlackRock posts disastrous results while you are away and the stock tank 20%?”.

  • Will the dividend be cut I January? I highly doubt so since management increased it each year since 2010.

Between November and December 2019, all my holdings were carefully reviewed to make sure each company meets my investment thesis. I will do the same process in February-March once all companies declared their Q4 2019 earnings. In the meantime, I can enjoy my trip without looking at my portfolio a second.

Acting on recent fluctuations is never a good idea

When I’ll review my holdings, I will not see if they went up or down while I was away. This is irrelevant. It would be important if I was about to liquidate a good part of my portfolio for a specific project. Since this money is for my retirement (if I ever retire!), I don’t have to worry about any of this.

If I was retired, what would matter to me is the likelihood of a dividend cut in my portfolio. A bad quarter would not crush management’s dividend growth policy. Therefore, there is nothing to worry about short-term fluctuation.

Short-term price fluctuations are simply noise that will cloud your judgment. What matters is how much your portfolio generates dividends quarter after quarter. Hint; this number should always increase!

Numbers are as at January 3rd, 2020 (after the bell):

Canadian portfolio (CAD)

 

Company Name

Ticker Market Value
Alimentation Couche-Tard ATD.B.TO $7,205.08

 

Andrew Peller ADW.A.TO $4,971.70
National Bank NA.TO $5,729.60
Royal Bank RY.TO $6,213.00
CAE CAE.TO $6,902.00
Enbridge ENB.TO $8,301.16
Fortis FTS.TO $5,319.27
Intertape Polymer ITP.TO $4,986.00
Lassonde Industries LAS.A.TO $3,235.89
Magna International MG.TO $5,044.20
Sylogist SYZ.V $1,960.15
Cash $954.36
Total   $60,882.41

My account shows a variation of +$374.73 (+0.62%) since the last income report.

I’m slowly building cash in my Canadian account and I’m contemplating the possibility of adding ore shares of Sylogist to my portfolio. This is a new addition and I only have what some would call “a half position”. Most of my holdings weigh about 10% of my portfolio value while SYZ.V is only about 3%. I could improve by using dividend payment sitting in cash. I intend to keep all my other holdings for now. Many of my companies were highlighted by my DSR service as top picks for 2020:

Andrew Peller, Royal Bank and Fortis for best holdings overall.

Enbridge and Intertape Polymer of best retirement stocks.

CAE and Alimentation Couche-Tard for fast-growing stocks in 2020.

You can read about how I managed my portfolio as a Canadian (e.g. mixing both CDN and US investments): Investing the Canadian Way – Tricks I use to Boost My Returns. I discuss my sector allocation, how I manage currency fluctuations and my favorite sectors.

Numbers are as at January 3rd, 2020 (after the bell):

U.S. portfolio (USD)

Company Name Ticker Market Value
Apple AAPL $9,310.85
BlackRock BLK $7,125.72
Disney DIS $6,669.00
Garrett Motion GTX $29.55
Gentex GNTX $6,923.10
Hasbro HAS $4,845.18
Lazard LAZ $4,157.52
Microsoft MSFT $9,637.20
Resideo Tech REZI $60.85
Starbucks SBUX $7,594.75
Texas Instruments TXN $6,478.50
United Parcel Services UPS $4,321.23
Visa V $9,556.00
Cash $698.53
Total   $77,407.98

The US total value account shows a variation of $3,741.22 (+5%) since the last income report.

I must admit that the success of my pension portfolio has been tied to my performance with the US market. While my performance in the Canadian market has been very good (still beating the market since September 2017), my US stocks have stolen the show with +11.27% in 2017 (Sept to Dec), 7.47% in 2018 and… 34.50% in 2019.

What I’m particularly proud of is the return achieved in 2018. It is one thing to ride a bull market (as they say: bull markets make geniuses everywhere!), but it is another to avoid double-digit market drops. To be fair, I must also declare that the USD to CAD jumped in value by 9% in 2018. Therefore, my return would have been -1.53% in neutral currency. However, I don’t mention that the same currency factor hurt my portfolio by 5% in 2019. As you can see, this comes and go ?.

Similar to my Canadian holdings, I show many US companies that were highlighted by Dividend Stocks Rock for 2020:

Hasbro for best holdings overall.

Enbridge and Intertape Polymer of best retirement stocks.

Microsoft, Disney, and Visa for fast-growing stocks in 2020.

Unfortunately, none of my holdings cut the best retirement stocks for 2020, but you can read the article anyway ?

My entire portfolio quarterly updated!

Each quarter, we run an exclusive report for Dividend Stocks Rock (DSR) members called DSR PRO. The PRO report includes a summary of each company’s earnings report for the period. We have been doing this for an entire year now and I wanted to share my own DSR PRO report for this portfolio. You can download the full PDF giving all the information about all my holdings. Results have been updated as of December 2020.

Download my portfolio Q4 2019 report.

Dividend income: $483.14 CAD (+14.7%)

*I usually post my dividend income chart here, but I have forgotten to copy my data from my desktop (silly me!). It will be there for my January update! Still, it’s another good month with a double-digit dividend growth compared to last year!

Here is the dividend growth detailed. The growth is compared to December 2018 (not a necessarily a recent dividend increase):

  • Fortis: $47.27 +6%
  • Enbridge: $118.85 + 10%
  • Magna Intl: $33.45 +9.4%
  • Sylogist: $19.70 (new)
  • Lassonde: $12.50 -26.5%
  • Alimentation Couche-Tard: $10.75 +25%
  • Intertape Polymer: $58.26 +4%
  • CAE: $22.00 +20%
  • Visa: $15.00 +20%
  • UPS: $35.52 +5.5%
  • Microsoft: $30.60 +10.9%
  • BlackRock: $46.20 (new)

Canadian Holdings payouts: $317.78 CAD

  • Fortis: $47.27
  • Enbridge: $118.85
  • Magna Intl: $33.45
  • Sylogist: $19.70
  • Lassonde: $12.50
  • Alimentation Couche-Tard: $10.75
  • Intertape Polymer: $58.26
  • CAE: $22.00

U.S. Holding payouts: $127.32 USD

  • Visa: $15.00
  • UPS: $35.52
  • Microsoft: $30.60
  • BlackRock: $46.20

Total payouts: $483.14 CAD

*I used a USD/CAD conversion rate of 1.2988

Since I started this portfolio in September 2017, I have received a total of $6,506.18 CAD in dividend.  Keep in mind that this is a “pure dividend growth portfolio” as no capital can be added int his account (it’s a LIRA). Therefore, all dividend growth is coming from stocks and not from additional capital.

Final thoughts

During my trip, I will not make any transactions as mentioned earlier. However, I will sell my few shares of Garrett Motion (GTX) and Resideo Technologies (REZI) as they were a result of a spin-off of Honeywell (HON), which I sold to buy BlackRock about a year ago. I will use the proceeds along with my dividends to buy more shares of Sylogist upon my return.

What about you? Are you planning any trades for January?

Read: 3 Red Flags Telling You It’s a Bad Dividend Stock

The post December Dividend Income Report – Going to Vietnam Edition appeared first on The Dividend Guy Blog.

Top 3 Fast Growing Canadian Dividend Stocks for 2020

As a dividend growth investor, my favorite picks are the ones that grow fast in all categories. Here’s my top 3 fastest growing Canadian dividend stocks for 2020.

Those are super powered companies showing strong stock price jump potential along with solid dividend increases. While they are sometimes a little riskier than “good old Canadian banks”, they add some spice to my investment recipe.

Keep in mind that my 3 top fast growing stocks for 2020 show low dividend yield, but they also come with a high single-digit to double-digit dividend growth perspective.

The selection methodology of those companies is explained in this article:

What a Dividend Growth Investor Buys in 2020?

Here are some great stock ideas for 2020:

CAE (CAE.TO) (CAE)

CAE training

Market cap: 9B

Yield: 1.21%

Revenue growth (5yr, annualized): 9.72%

EPS growth rate ((5yr, annualized): 11.00%

Dividend growth rate (5yr, annualized): 12.13%

CAE is a world leader in simulation and training for the civil aviation and defense markets. Since both industries are growing and expected to grow significantly in the coming years, CAE will continue to surf on this strong tailwind. Management estimated that over the next 10 years, 300,000 pilots will become new first officers and 215,000 will have been upgraded to captain and will have to be trained to support airline fleet growth and to replace retiring pilots. The total active pilot population will grow to 530,000 in 2028 from 360,000 in 2018 creating a much larger market to support CAE’s recurring training services.

CAE business segment

Source: Investors presentation

The growth potential is similar in the defense & security industry as many countries are increasing their spending in these categories. While the company enjoys a strong core based on these two sectors, it is currently expanding its services through healthcare training.

The beauty of CAE’s business model is that training is never over. There are always new methods, processes and technologies to learn and master. Therefore, the company is sitting on an almost infinite source of recurring revenues. The company can use its reputation and expertise to expand into other training markets. By using its strong cash flows, it can buy other businesses in the same field such as Bombardier’s Aviation Training business (closed in 2019). This is a great way to add recurring business to its model with little risk.

While CAE offers a low yield, you can expect a high single digit to double-digit dividend growth each year. You will rarely see such a great business model with such strong growth potential for the next decade.

Open Text (OTEX.TO)

Open Text building

Market cap: 15.5B

Yield: 1.6%

Revenue growth (5yr, annualized): 16.92%

EPS growth rate ((5yr, annualized): 7.70%

Dividend growth rate (5yr, annualized): 20.15%

Big data, cloud, and security. Three keywords you are not done hearing about. As we evolve through an era of consolidation; businesses grow larger every second. Managing growth is one thing, but dealing with the enormous amount of data this growth is bringing inside each company is part of Hercules’ labors. Enterprise Information Management (EIM) systems have been developed to manage this issue, and OpenText happens to be one of the leaders in this emerging business.

Open Text acquisitions

Source: February 2019 investor presentation

OTEX shows a low yield but its growth policy is quite aggressive. OTEX will be surfing on strong tailwinds for several years. OTEX has built a business model generating consistent cash flow (recurring revenues through subscriptions). This will support dividend payment (and increases) for a while. As the company continues its quest for growth, expect a double-digit dividend growth policy for several years to come.

Alimentation Couche-Tard (ATD.B.TO)

Alimentation Couche-Tard

Market cap: 79B

Yield: 0.57%

Revenue growth (5yr, annualized): 14.12%

EPS growth rate ((5yr, annualized): 23.09%

Dividend growth rate (5yr, annualized): 28.62%

An investment in ATD is definitely not for an income producing stock. However, if you are looking at the long-term horizon, your dividend payouts will grow in the double digits for a while and you will enjoy strong stock price growth. ATD’s potential is directly linked to its capacity to swallow and integrate more convenience stores. Management has often proven its ability to pay the right price and generate synergy for each deal. ATD shows a perfect combination of the dividend triangle: revenue, EPS and strong dividend growth.

Alimentation Couche-Tard acquisitions

Source: 2019 Investors presentation

The mediocre 0.57% dividend yield is so low that ATD shouldn’t even be considered as a dividend grower. However, the dividend paid has surged in the past 5 years (+174%) and the stock price jumped by over 125%. The only reason why the dividend yield is so low is because ATD is on a fast track for growth. ATD will continue increasing steadily its payout while providing stock value appreciation to shareholders.

Find out about 6 companies that will crush 2020

Each year, I compile 20+ stocks that are expected to do better than the market. In 2019, my US picks outperformed the market by 7% and my Canadian picks did 10% better than the TSX. You can download 6 of my top 20 for 2020 right here:

Disclaimer: I hold shares of CAE and Alimentation Couche-Tard check my entire portfolio here.

 

The post Top 3 Fast Growing Canadian Dividend Stocks for 2020 appeared first on The Dividend Guy Blog.

Top 3 Canadian Retirement Stocks for 2020

Where retirees invest their money in 2020? How can you make sure you pick great stocks this year? Here are my top 3 Canadian stocks for 2020.

Once we retire, we don’t want to jeopardize our hard-earned money into high flying stocks. Retirees usually seek for a stable source of income stream. Therefore, dividend growth payers are great candidates for any retirement portfolios.

Retirement stocks must show a specific set of characteristics. Those companies must show a stable and predictable cash flow. Companies in the utilities or REITs sectors are usually preferred for that reason. Income seeking investors will tend to select high yielding stocks to generate stronger revenues. I rather pick companies with better growth vectors offering at 4-5% yield. I focus on dividend safety over higher yields. The following ideas will be great candidates for 2020.

Dividend Safety Comes First!

At retirement, the focus should be put on dividend growth when you are feeling unsure about the market. As we start 2020, it’s a good time to assess the dividend safety of each of your holding.

Keep in mind that dividends aren’t magic; they’re a result of strong free cash flows, not causes of good free cash flows.

What usually happens when you find companies generating strong free cash flows? They usually offer a reliable dividend growth policy and their share price tends to rise over the long haul making you a richer investor. At DSR we have created our own Dividend Safety Score ratings:

5 = Stellar dividend – Past, present, and future dividend growth perspectives are marvelous.

4 = Good dividend – The company shows sustainable dividend growth perspectives.

3 = Decent dividend – Don’t expect much than a 3-5% dividend growth.

2 = Dividend is safe but – Not likely to increase this year.

1= Dividend Trash – It has been cut or is this situation not sustainable.

This is a simple system that can be applied to all portfolios. You can use a similar chart to evaluate your own holdings. Here are you should manage each dividend safety categories:

When reviewing your portfolio, you should seriously try to justify why you keep all “1’s” and “2’s” in your portfolio. If you can’t come up with a strong investment thesis, chances are those should be sold… not eventually, but now. Dividend trash has cut their dividend within the past 12 months or is about to do it. The dividend of “2’s” show no dividend growth for a while. Remember, an absence of dividend growth is the first step before a dividend cut.

Then, “3’s” should be reviewed quarterly to make sure the situation doesn’t change. “Decent dividend” rated stocks offer a modest dividend growth perspective that should beat inflation. However, keep an eye on them to make sure management keeps its promise each year.

Dividend scores of “4” and “5” offer great dividend growth perspectives. They usually show a strong dividend history and payout ratios that are under control for the future. The dividend safety is not only about the past, but also about the company’s ability to maintain its dividend growth streak going forward.

When selecting new holdings for your portfolio, I would favor only companies with a score of “4” or “5”. Those companies won’t let you down should the market turn rocky for a while. You can count on those payments to smooth the path that leads you to retirement.

Now let’s see about some of my top Canadian retirement stocks for 2020.

The selection methodology of those companies is explained in this article:

What should a Dividend Growth Investor buy in 2020?

Enbridge (ENB)(ENB.TO)

enbridge pipelines

Market cap: 79.18B

Yield: 5.67%

Revenue growth (5yr, annualized): 2.28%

EPS growth rate ((5yr, annualized): 22.63%

Dividend growth rate (5yr, annualized): 11.10%

Without a doubt, nobody will be surprised that I have Enbridge on the top of my list. The company is operating one of the widest and most diversified pipeline systems in North America. Enbridge operates the world’s longest and most complex crude oil and liquids transportation system with approximately 17,127 miles (27,564 kilometers) of active crude pipeline across North America—including 8,627 miles (13,883 km) of active pipe in the United States, and 8,500 miles (13,681 km) of active pipe in Canada. Then, ENB also moves about 20% of all the natural gas consumed in the U.S. Finally, the company serves more than 3.7M residential, commercial, institutional and industrial customers in Ontario and Quebec, distributing more than 2.65 Bcf/d (billion cubic feet per day) of natural gas.

enbridge dividend

You may have read in a previous newsletter that your focus should be on the dividend payment, not the stock price. Over the past 5 years, Enbridge has been at the center of many sources of concerns (its financial structure, regulations affected its expansion plan and the merger of all its business units). During the storm, management continued to follow their beacon and increased their dividends consistently. The company is a real money-making machine with 64 years of dividend history including 24 years (and counting) of consecutive increases to the dividend.

Intertape Polymer (ITP.TO)

duct tape

Market cap: $941M

Yield: 4.77%

Revenue growth (5yr, annualized): 11.14%

EPS growth rate ((5yr, annualized): -1.82% (acquisitions affected earnings)

Dividend growth rate (5yr, annualized): 4.14% (paid in USD)

With the rise of online shopping, the packaging industry should benefit from this tailwind. ITP expects to reach $1.5 billion in sales by 2022. Intertape is #1 and #2 in its main market in North America and shows international expansion opportunities. Management also expects to grow by acquisition to expand its current line of products, consolidate its activities, and open additional doors in international markets. In August 2018, the company completed the acquisition of Polyair Inter Pack for $146M. This was a strategic move to expand ITP’s product offerings while opening doors to cross-selling opportunities to PIP’s clients.

intertape polymer acquisitions

Source: November Investor presentation

The ITP dividend more than doubled over the past 5 years (in CAD), and the company shows solid payout ratios. Keep in mind the dividend payment is in USD (currently $0.147USD/share). Don’t expect regular dividend increases as the company uses most of its cash for acquisitions to increase its revenue. Nonetheless, shareholders can expect a mid-single-digit dividend growth rate for the upcoming years.

Brookfield Property Partners LP (BPY.UN.TO) (BPY)

brookfield property partners

Market cap: 23B

Yield: 7.13%

Revenue growth (5yr, annualized): 16.66%

EPS growth rate ((5yr, annualized): 15.07%

Dividend growth rate (5yr, annualized): 25.97%

As I mentioned in the sector review, Canadian REITs probably offer some of the best high yielding opportunities at this time. Brookfield Property Partners trades on both U.S. and Canadian markets and is part of the “Brookfield family”. BPY is mostly an Office (41%) and Retail (43%) REIT that is diversified across the world with nearly $200B in Real Estate assets. The REIT is managing some of the most important buildings in the world.

brookfield property partners assets

Source: BPY investors presentation

The company shows over 100 years of history as an owner-operator. It has the expertise to manage through any type of recession. Management’s vision is all about growth through organic projects and acquisitions.

While I mentioned that I don’t like retail REITs, BPY has a unique strategy for retail malls. It focuses on buying top-tier shopping malls that have adjacent land that can be developed with hotels, offices, and residences. It’s not the same game when you are in the “building an entire environment including stores to attract people” game.

Find out about 6 companies that will crush 2020

Each year, I compile 20+ stocks that are expected to do better than the market. In 2019, my US picks outperformed the market by 7% and my Canadian picks did 10% better than the TSX. You can download 6 of my top 20 for 2020 right here:

Disclaimer: I hold shares of Enbridge and Intertape Polymer

 

The post Top 3 Canadian Retirement Stocks for 2020 appeared first on The Dividend Guy Blog.

Top 3 Canadian Dividend Stocks for 2020

Happy New Year Dear Dividend Investors!

As you read this, my Top 3 Canadian Dividend Stocks for 2020, I’m flying over the Atlantic Ocean, scheduled to land on January 2nd in Hanoi, Vietnam. This is a great way to start the year!

What are the best Canadian dividend stocks for 2020? Do you think the market will continue to rise or will we finally hit the crash everybody is talking about?

I don’t really worry about where the market will go in 2020, to be honest. What really matters is how many dividends I will receive in the next 12 months. I can tell you it’s going to be more than last year. Although following the market is like watching a tennis ball bouncing up and down, focusing on dividend growth alleviates the stress.

It’s never easy to pick stocks in such volatile market.

Here’s a shift of perception I’d like to suggest: look at the amount of dividends you receive each month or each quarter:

Keep your eyes on the prize: dividend growth!

Which Canadian Dividend Stocks Should be in your portfolio for 2020?

Today, I’m picking companies that will pay and increase their dividends and will likely provide you with a nice capital appreciation. The selection methodology of those companies is explained in this article:

What should a Dividend Growth Investor buy in 2020?

Here are some great stock ideas for 2020:

Andrew Peller (ADW.A.TO)

Andrew Peller Wayne Gretzky EstatesMarket cap: 1.0B

Yield: 1.75%

Revenue growth (5yr, annualized): 5.09%

EPS growth rate ((5yr, annualized): 8.66%

Dividend growth rate (5yr, annualized): 9.00%

I guess the best deals are to be found in alcohol for 2020! Andrew Peller is one of my favorite consumer staple stocks in Canada. Why do I like such a low dividend yielder? Because of its dominant position in its market. Currently the company has an estimated 27.9% share of total volume and an 8.6% share of domestic volume in the English Canadian wine market, with the Company’s Peller Estates brand the top?selling wine in this market. The company can and has grown through acquisitions (17 acquisitions since 1995) and organically as well.

After a strong ride supported by growth coming from major acquisitions, Andrew Peller has spent the last 2 years integrating those vineyards along with investing massively in its Wayne Gretzky’s brands (craft beers and whiskies). The company expects to increase its margin and benefits from organic growth coming from its recent massive investments. While the yield isn’t that impressive now, you can count on steady high single-digit increases in both top-line revenues as well as the dividend.

Royal Bank (RY.TO) (RY)

Royal BankMarket cap: 149B

Yield: 3.91%

Revenue growth (5yr, annualized): 6.23%

EPS growth rate ((5yr, annualized): 7.84%

Dividend growth rate (5yr, annualized): 7.46%

Royal Bank is probably the company that has ranked highest on my “top stocks of the year” most often since my first write-up in 2012. The reason is quite simple: this bank is the definition of a “sleep well at night” investment. I often use Royal Bank in my presentations when I want to explain the dividend triangle. RY shows not only growth, but most importantly, steady growth for all three metrics. This is a “no surprise” type of business.

Royal Bank dividend triangle

Since it is the largest Canadian bank (or second largest behind TD, depending on what metrics you are evaluating) and has developed a diversified business model through the U.S., wealth management, capital markets and insurance services, it is in a good position to get through a potential housing slowdown in Canada. The Bank has recently inked a partnership to participate in the ETF market with BlackRock, who happens to be the world’s largest ETF maker.

I do have to admit, it is hard to fail when you buy shares in a Canadian bank. RY is my favorite due to its dominant position and its diversified sources of business. In my opinion, today is always the best day to buy Royal Bank shares.

Fortis (FTS.TO) (FTS)

Fortis utilityMarket cap: 25B

Yield: 3.44%

Revenue growth (5yr, annualized): 15.70%

EPS growth rate ((5yr, annualized): 8.41%

Dividend growth rate (5yr, annualized): 6.83%

The last, but not least, company to be reviewed in our top 20 for 2020 is the most stable Canadian utility: Fortis. The company has a stellar dividend growth history and has survived through multiple recessions and crises. It’s ability to increase its dividend while keeping its payout ratio in the 60-70% range is nothing short of extraordinary. If you are looking for stability in 2020, FTS should be your first pick.

Fortis dividend

Source: Fortis investors relation website

You will rarely find a company with such a profile paying a decent yield (3.50%). The recent stock price drop also opens a small window to making a quick buck, but its real power resides in its income generation. Like Dominion, Fortis counts on an aggressive investment plan ($18.3B through 2020-2024) to boost its revenue. Earnings are expected to grow at a 6-7% pace going forward. With 94% of its assets being regulated utilities, rates will increase naturally… as well as your paycheck.

Find out about 6 companies that will crush 2020

Each year, I compile a list of 20+ stocks that are expected to do better than the market. In 2019, my US picks outperformed the market by 7% and my Canadian picks did 10% better than the TSX. You can download 6 of my top 20 for 2020 right here:

Disclaimer: I hold shares of Andrew Peller, Royal Bank and Fortis.

The post Top 3 Canadian Dividend Stocks for 2020 appeared first on The Dividend Guy Blog.

My Favorite Dividend Articles of 2019

As you read this post, I’m adding the final touch to my trip to Vietnam. I will start the year on a strong note as we are doing a family trip to this beautiful country for the entire month of January!

I will keep writing on this blog and will post update of my trip on my Youtube Channel. In the meantime, let’s review some of my favorite articles from this blog:

Should I Go With Dividend Growth Investing or ETFs? An Answer to Ben Felix

And…

Dividends Are Relevant and Can Beat the Market (still an answer to Ben Felix)

Not too long ago, I watched an interesting video on YouTube which claimed that “dividends are irrelevant.” The video comes from my archenemy, Ben Felix. Ben is a financial advisor who sells ETF products and has also written a column for the Globe & Mail, a while back, which had several caveats. I, myself, have written a complete blog about Dividend Growth Investing Vs ETFs Investing in the past, but Ben just poked the bear in me, once again, with his new video.

How to Invest a Lump Sum of Money

The arrival of a Lump Sum of money would likely create mixed emotions. It could come from a former employer pension plan, an inheritance, the sell of a property or a business, or simply because you have been sitting on the market sideline for a while and you are now ready to invest. In any case, receiving an amount over $100,000 is quite exciting. You picture several projects and a world of possibilities open-up. Unfortunately, the sudden arrival of a Lump Sum of money comes with it loads of concerns. Today, I’m going to answer a crucial question:

How to Invest a Lump Sum of Money?

Investing in 2019 and Beyond; How to Build a Safe Dividend Portfolio

I tend to have a simple and rational way of looking at the market. Whatever will happen in 2020 will happen- no matter what I think, no matter how I invest. It was also right for last year.

Investing the Canadian Way – Tricks I use to Boost My Returns

Investing as a Canadian comes with it’s fair share of challenges. The first is that we come with a very biased background. We are fortunate to have the Federal Government to set protectionism rules around our banks and our telecom. This situation creates perfect oligopoly where everybody makes profit. While it is not optimal for consumers, it does ensure some stability.

International Dividend Stocks; Do You Really Need Them?

I read about many dividend bloggers who just love international dividend stocks. International companies open the door to additional diversification and growth vectors. Since many international dividend stocks trade on the New York Stock Exchange (NYSE), it is easy to buy them. In fact, some of international stocks even pay their dividend in US dollars!

I’m Going 30% Cash

You’ve probably figured by now that I’m not going cash at anytime. Not 50%, not 30%, not even 5%. I’m always 100% invested in equities (here’s my portfolio). But since so many investors think it’s the way to go, I wanted to see the impacts (both positives and negatives) of staying invested vs keeping 30% or 50% in cash to wait for the dip.

Invest Now, Or Wait? The Results of My Decision

I faced this very situation not too long ago: Invest now or wait. $100,000 is a lot of money. I worked very hard to build that nest egg. For a long time, it was growing inside my former employer’s pension plan. When I finally realized that I didn’t want to wait until I’m 65 to enjoy freedom, I quit my job and asked for my pension check!

3 Red Flags Telling You It’s a Bad Dividend Stock

With any red flags, these are not sure shot rules. It’s not because you see one of many factors happening at the same time that the stock is an automatic sell. It doesn’t mean the company will cut its dividend either. But it gives you a very good idea that this specific stock isn’t as strong as others.

2 Years After Quitting My Job – The Dream, The Frustrations, The Achievements

I’m taking a break from the dividend world today to tell you a little bit more about my story. I’ve always been as much transparent as I could with you, and this won’t change today. On July 1st, 2017, I officially quit my job as a private banker and started my journey as an entrepreneur.

This is also a great way to end this “best of” as I’m now able to travel the world with my family because I have the ability to run my business with a laptop and a wifi connection!

I wish you all health & wealth for the New Year!

Cheers,

Mike

The post My Favorite Dividend Articles of 2019 appeared first on The Dividend Guy Blog.