The market in December last year was essentially flat one (ETF: SPY) but with fair amount of volatility thrown in. It looks like volatility is becoming a new game in the town. The moody market never goes straight up or down but over long period, direction of market is up and will reward patient investors like us.
The month of December remained a busy month for me, though, I was not expecting this way. I allocated extra capital in BHP Billiton plc (BBL), BP plc. (BP), and Orchids Paper Products Company (TIS) with current dividend yields of 5.8%, 6.3% and 4.83% respectively.
I initiated 20 positions in BBL, 15 positions in TIS and added 20 positions in BP, dollar cost averaging down my original price in BP. At current yields, BBL, TIS, BP will add $49.60, $21.00 and $48.00, with gross total amount of $118.60 annually to my passive dividend income. This will push me closer to being financially independent in 12 years.
My DRIP Portfolio was also active in December and following positions were added:
Chevron Corp. (CVX): 3.55 ($400)
Royal Dutch Shell plc (RDS.B): 4.24 ($300)
Verizon Comm. Inc. (VZ): 6.18 ($300)
Exxon Mobile Corp. (XOM): 2.22 ($200)
ConocoPhillips (COP): 1.57 ($100)
Altria Group, Inc. (MO): 1.77 ($100)
GlaxoSmithline plc. (GSK): 1.04 ($50)
AbbVie Inc. (ABBV): 0.74 ($50)
McDonalds Corp. (MCD): 0.49 ($50)
The Clorox Corp. (CLX): 0.48 ($50)
The Coca-Cola Company (KO): 1.08 ($50)
The Proctor-Gamble Company (PG): 0.54 ($50)
I sold 100 positions in American Realty Capital Properties Inc. (ARCP) but kept 75 positions that I was comfortable to keep for long-term. This will result into reduction of my passive income by $100 for this year.
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 December is $57,869.03. It was a slight increase of 2.09% over last month of November Portfolio value of $56,219.56. This was mostly due to addition of extra capital in BBL, TIS, BP and DRIPs in CVX, RDS.B, VZ, XOM, COP, MO, GSK, ABBV, MCD, CLX, KO, and PG.
In the month of October, I crossed a very important and big milestone for me, i.e, crossing half-mark across a 6-figures portfolio size, that I’m happy to mention here.
Happy New Year 2015!
Thanks for reading.
Full Disclosure: Long on the above mentioned securities.