The market in November rallied with Dow Jones Average (ETF: DIA) gaining almost 5%, as compared to 7% drop in October; volatility is becoming the name of the game. The moody market never goes straight up or down but over long period, direction of market is up and will rewards patient investors like us.
The month of November was a busy month for me with a long shopping list in my cart , though, I was not expecting to spend some of my Thanks Giving holidays time this way. But, hey, I’ll gladly take the offer from Mr. Market whenever he is in a mood to give me his goodies at fire-sale prices.
I allocated extra capital in energy securities: Royal Dutch Shell plc (RDS.B), ConocoPhillips (COP), BP plc. (BP) and REITs: Realty Inc. (O), and American Realty Capital Properties Inc. (ARCP) with current dividend yields of 5.9%, 4.68%, 6.62%, 4.73%, and 11.12% respectively. A lot has been written about ARCP whether it’s a buy, sell or hold and for me, it is a hold for me as I’m looking at long term, though, my opinion may change if some other issues are uncovered.
I initiated 20 positions in RDS.B, added 10 positions in BP, 5 positions in COP, 25 positions in O, 50 positions in ARCP, dollar cost averaging down my original prices. Also, initiated positions in Verizon Comm. (VZ) in my DRIP Portfolio. At current yields, RDS.B, BP, COP, O, ARCP will add $75.20, $12.00, $14.60, $55.00 and $50.00, with gross total amount of $206.80 annually to my passive dividend income. This will push me closer to being financially independent in 12 years.
Currently, I’ve got 4 Portfolios: DRIP, HID1, HID2 and a recently added Roth IRA account. New capital is distributed across these 4 portfolios in both taxable and tax-free accounts so that I’ve freedom to enjoy my passive dividend income whenever they are able to cover all my expenses. I also contribute towards 401K account in order to get employer’s match and help lower taxes as well.
My total portfolio value at the end of November is $56,219.56 which is 11.65% increase over last month of October Portfolio value of $50,350.85. This was mostly due to addition of capital in RDS.B, COP, BP, O, ARCP and DRIPs in VZ and XOM. In the last month of October, I crossed a very important and big milestone for me, i.e, crossing half-mark across a 6-figures portfolio.
Thanks for reading.
Full Disclosure: Long on the above mentioned securities.