DGI Adventure 12-05-2016 Month in Review – November 2016

Well we elected a new idiot in chief. The market responded very positively for some reason.

In hindsight I wish I had been a little more active with my options trading, but all in all I’m pretty happy with how everything turned out. 

Thou can’t time the market so thou shalt not try to.

Let’s take a look at November.

Portfolio Summary

Stock Purchases

2 stocks purchased. 1 position increased; 1 new position. Projected annual income increased by $350 based on current dividends.

11/4/16 – TGT: 100 shares purchased @ $67.00/share. This was an assigned put, which I had sold earlier in October. This is a new position. It adds $240 to my projected income based on the current forward annual dividend of $2.40/share.

11/4/16 – VER: 200 shares purchased @ $9.50/share. This was another option assignment. The put was sold at the beginning of October. This is an increase to an existing position. I am trying to transfer my ownership of VER into tax-advantaged accounts, and this gives me an equal position in the beneficiary IRA as I have in the taxable. I will likely sell the 400 shares in the taxable account after the next ex-div date, so this won’t increase my projected income in the long run, but for now it increases that annual projection by $110 based on the current forward annual dividend of $0.55/share.

Pay Days and Raises

Dividend Income Tracker is published back at the mothership and has been updated..

Total investment income of $848.85, with a taxable total of only $30.88. We’ll call it 135“pay days” with 35 individual payments received.

Lending club income is aggregated into a single income record for simplicity’s sake. It actually arrives as a lot of small payments over the course of the month. There are still two loans that are late (between 31 and 120 days) and now there’s one in the grace period. So Lending club’s algorithm has decided to write down $$42.28 worth of principal (compared to $36.40 last month).

Month over month comparison is a little goofy considering last month had a major loss due to getting out of my gold miner stocks. When I disregarded that capital loss, I was at $635.41, so compared to that, this month represents a 33.6% increase.

Compared to November 2015, which was a $528.65 total, it represents a 60.6% YoY increase.

You’ll notice that the first month in the income summary back at the mothership is November 2014. This month’s total represents a 2,143% increase over that measly monthly income of $37.83. Of course I can’t sustain that kind of growth indefinitely, but it is kind of fun to write.

Two of the dividend payments represented an increase:

OHI came through again with yet another raise of $0.01 per share, which is a 1.67% increase over last quarter’s payout of $0.60. They keep raising the payout each quarter, never mind per year. Is this sustainable?

EV raised their payout as anticipated. The increase in the quarterly distribution was $0.015 from $0.265 to $0.28, which is good for 5.7%. Back when I first bought EV shares, my investment thesis was operating on an assumed DGR of 8%. In that context, this increase is kind of a disappointment, but a raise is a raise…right?

Net/net this was a pretty good month, even if we did put a moron in the oval office. It’s hard to say what December will look like, but there’s only one direction to move and that’s forward.

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