Archive for the ‘Dividend Income’ Category.

2019-12 Dividend Income Report

Here is the dividend income report for December, 2019.

The monthly dividend income came out to $3,570.31. The yearly income total for 2019 through the end of the month was $10,474.31. I finally broke the 10K barrier.

The income for December, 2018 was $2,313.99, and the yearly income for 2018 through the end of December was $6,971.76.

One of the reasons I got more income is that I increased my stake in BND in my IRA. I also got shares of RWR in a taxable account.

I might get a premium account at ETFGuide.com. It is a site run by Ron DeLegge, the guy who runs the Index Investing Show. They do a monthly income trade using covered calls on some ETFs. He always gives the amounts based on investing $100,000. I will be investing less than that. I will email and see if it is worth it if I invest less money. I would no longer be a purely dividend investor, but it might be an extra $3,000 a year.

Maybe I will get a membership and see how the trades pan out. I can track the ETF prices without buying options. I still need to hold on to RWR for a while to avoid captial gains tax.

I am going to need more money soon. My rent will be going up by about $50/month (which is more than 20%). I am almost 50, and I will be eligible for catch-up contributions in my Roth IRA and Roth 401K. Right now I could put all the extra into my Roth 401K, but then I would have nothing left for my IRA. I will need about $7K a year.

There is an option to put my Roth 401K in a brokerage account, but the trading costs are pretty high. I can only rollover to an IRA when I leave the company. A lot of places do not offer 401Ks, so for now I am staying. I wish I could leave for a day, roll my money over and then come back.

I need a better job in general. I am not too thrilled with the technology at the job I am at, but not too many people use the technology I am interested in.

I started qigong recently. A few people have said it has changed their lives, and a few said they got better jobs. We shall see.

One thing I also did recently is I converted a small part of my traditional IRA to a Roth. I want to see how much I will pay in tax. Ron DeLegge says that now is the time to convert since tax rates will go up in a few years. The problem is I do not want to use up all my savings paying for the taxes on a conversion. He says to keep a margin of safety. Maybe he would disagree with this, but I consider my emergency savings to be my margin of safety.

I also plan on taking Ron DeLegge’s advice and come up with a written investment plan.

I still sometimes wonder if what I am doing will be enough. On one hand, if I was investing my Roth 401K from work the same way I invest the rest of my money, my totals would be higher. But I have been doing this for a while, and I am still not seeing the wild compounding I was expecting. I started going all-in on dividend growth investing in 2010. (I do not include 2010 numbers in my monthly posts because I started partway through the year.) In the nine years I have been doing this, I have made $52,389.49. I still think going for capital gains is just the Greater Fool Theory, and I have no interest in that. We will see what happens.

Here is a table with the year-to-date amounts, the monthly amounts, and the three- and twelve-month moving averages for each December from 2011 through 2019:

Month YTD Amount 3MMA 12MMA
2019-12 $10474.31 $3570.31 $1329.54 $872.86
2018-12 $6971.76 $2313.99 $1165.08 $580.98
2017-12 $7536.98 $1837.78 $913.40 $628.08
2016-12 $6076.53 $1027.76 $605.28 $506.38
2015-12 $5472.07 $954.52 $575.86 $456.01
2014-12 $4438.02 $909.86 $481.67 $369.80
2013-12 $3406.20 $594.59 $344.05 $283.85
2012-12 $3585.01 $686.10 $386.41 $298.75
2011-12 $3091.99 $514.94 $323.40 $253.92

Here are the securities and the income amounts for December, 2019:

  • Vanguard Total Bond Market ETF: $173.12
  • Vanguard Total International Bond ETF: $10.51
  • Vanguard Utilities ETF    VPU    ETF: $216.67
  • RLI Corp: $101.33
  • RLI Corp: $23.31
  • SPDR S&P Dividend ETF: $802.33
  • SPDR Dow Jones REIT ETF (second account): $572.57
  • Vanguard Total Bond Market ETF: $180.53
  • Vanguard Total International Bond ETF: $284.98
  • SPDR Dow Jones REIT ETF: $308.68
  • SPDR S&P Global Dividend ETF: $884.40
  • Brokerage Money Market: $4.33
  • Brokerage Treasury Account: $7.55

Big Jim wonders if the first thing Olivia de Havilland thinks when she wakes up is: “Suck it, Kirk Douglas.”

Image  from Wikimedia, assumed allowed under Fair Use. Painting of the Transfiguration by Duccio di Buoninsegna (c. 1255–1260 – c. 1318–1319), aka “The Duce”.

2019-11 Dividend Income Report

Here is the dividend income report for November, 2019.

The monthly dividend income came out to $126.48. The yearly income total for 2019 through the end of the month was $6904.00.

The income for November, 2018 was $50.86, and the yearly income for 2018 through the end of November was $4657.77.

There is not a lot to report for the past month. I deployed some of my cash and bought more BND, so the income from that fund is a lot higher this month.

In other news, the Trump administration tightened the work requirements for SNAP benefits. (SNAP is basically food stamps.) While I think Trump is the worst president ever, I do not disagree with this move. At least not entirely. See news articles here at NBC News and here at USA Today. The economy is doing well, so on one hand it makes sense to tighten requirements. But what will they do if the economy slows down? Of course, that is assuming that we have a GOP president when that happens. Hopefully we will not. (I work for a company that makes and manages the benefits management server for a few US states.)

I think this might be another indicator a recession will be coming very soon. Back towards the end of the last expansion, people were talking about putting the Social Security trust fund into the stock market. Right at the worst possible time to do so.

Humans are good at contra-indicators. If/when the next recession hits, I bet a lot of states will do what they did the last two times: Cut services when people have a greater need for them, and raise taxes when people have less capacity to pay. We should have higher taxes and fewer services during the good times, and use the reserve in the bad times. When would the bad times happen? When everybody says, “Why don’t we just spend the money now?”

In other news: Trump was impeached by the House. Best day ever.

Here is a table with the year-to-date amounts, the monthly amounts, and the three- and twelve-month moving averages for each November from 2011 through 2019:

Month YTD Amount 3MMA 12MMA
2019-11 $6904.00 $126.48 $843.65 $768.17
2018-11 $4657.77 $50.86 $562.56 $541.30
2017-11 $5699.20 $560.60 $559.31 $560.58
2016-11 $5048.77 $506.98 $502.98 $500.27
2015-11 $4517.55 $460.83 $477.55 $452.28
2014-11 $3528.16 $291.27 $357.30 $343.53
2013-11 $2811.61 $252.75 $277.74 $291.48
2012-11 $2898.91 $247.99 $262.78 $284.49
2011-11 $2577.05 $246.37 $232.84 $240.81

Here are the securities and the income amounts for November, 2019:

  • Vanguard Total Bond Market ETF: $103.89
  • Vanguard Total International Bond ETF: $10.86
  • Brokerage Money Market: $4.32
  • Brokerage Treasury Account: $7.41

Big Jim says this is the best day ever.

Painting of  Rejection of Joachim’s Sacrifice by Giotto di Bondone (1267 – 1337), at his website. I actually got the image file from somewhere else, but his site has a page about it. Assumed allowed under Fair Use.

2019-10 Dividend Income Report

Here is the dividend income report for October, 2019.

The monthly dividend income came out to $291.83. The yearly income total for 2019 through the end of the month was $6777.52.

The income for October, 2018 was $1130.39, and the yearly income for 2018 through the end of October was $4606.91.

The Vanguard Utilities ETF (VPU) paid out in October instead of September. Other than that, no real news on my front.

I might make some adjustments to my 401(k) at work, like taking some money out of stocks and putting it into bonds. Stocks have been going up for ten years. That will not go on forever.

Here is a table with the year-to-date amounts, the monthly amounts, and the three- and twelve-month moving averages for each October from 2011 through 2019:

Month YTD Amount 3MMA 12MMA
2019-10 $6777.52 $291.83 $822.53 $761.86
2018-10 $4606.91 $1130.39 $561.66 $583.77
2017-10 $5138.63 $341.83 $566.34 $556.11
2016-10 $4541.79 $281.09 $508.05 $496.43
2015-10 $4056.72 $312.23 $459.42 $438.15
2014-10 $3236.89 $243.87 $368.19 $340.32
2013-10 $2558.86 $184.81 $295.19 $291.08
2012-10 $2650.92 $225.14 $285.46 $284.35
2011-10 $2330.68 $208.90 $258.17 $238.44

Here are the securities and the income amounts for October, 2019:

  • Vanguard Utilities ETF: $228.96
  • Vanguard Total Bond Market ETF: $38.18
  • Vanguard Total International Bond ETF: $10.91
  • Brokerage Money Market: $4.95
  • Brokerage Treasury Account: $8.83

Big Jim does not have much news this month.

Painting by Meister der Legende der Heiligen Cecilia, circa 1300. Image from Wikimedia, assumed allowed under Fair Use.

2019-09 Dividend Income Report

Here is the dividend income report for September, 2019.

The monthly dividend income came out to $2112.65. The yearly income total for 2019 through the end of the month was $6485.69.

The income for September, 2018 was $506.44, and the yearly income for 2018 through the end of September was $3476.52.

The international stock dividend fund did not pay as much this quarter as last quarter.

The Vanguard Utilities ETF (VPU) did not pay this month. It paid a dividend on October 1. I know it’s a first-world problem, but I am thinking of replacing it with State Street’s Utilities Select Sector SPDR Fund (XLU). XLU is State Street’s only utility ETF, and BlackRock’s  iShares U.S. Utilities ETF (IDU) has a much higher expense ratio. VPU has the most holdings. I think for the time being I will stick with it.

I am a bit surprised that State Street does not have a broader utility ETF in addition to XLU. XLU has the dividend stocks that are in the S&P500.

Fidelity has the Fidelity MSCI Utilities Index ETF, FUTY. It has the lowest expense ratio, almost as many holdings as VPU, and a nice dividend. But as I stated, I think for now I will stay put. As Buffett has stated, returns decrease and trading increases. Or maybe it was Jack Bogle.

My brokerage money market account paid $6.03 in August, and $4.86 in September. Interest rates are low and getting lower. The only reason Dolt 45 wants lower interest rates is because he owes a LOT of money. I don’t think the economy really needs it. Granted, things are not great, but I don’t think the economy is slowing down yet. I don’t think the next recession will be as bad as the one we say in 2008-2011 (depending on what country we are talking about), but cutting rates at this stage is a bad idea. Rates are historically speaking low right now. In 2006, the federal funds rate (what the Fed says banks can charge each other) was 5.25%, and the discount rate (what the Fed charges banks) was 6.25%. Right now, those rates are 1.75% and 2.75%.

A lot of people think interest rates are too high right now. Perhaps things are a lot worse than they seem. Or perhaps the whole Rethuglican Party is abandoning its supposed rock-solid principles, and just following Dolt 45’s lead. When conservatives seem inconsistent, they are really not. They are lying (whether to themselves as well as others I do not know) about what they are consistent about. It’s not about freedom, or balanced budgets. It’s about being in charge and staying in charge.

Here is a table with the year-to-date amounts, the monthly amounts, and the three- and twelve-month moving averages for each September from 2011 through 2019:

Month YTD Amount 3MMA 12MMA
2019-09 $6485.69 $2112.65 $744.85 $831.74
2018-09 $3476.52 $506.44 $430.49 $518.06
2017-09 $4796.80 $775.50 $562.76 $551.05
2016-09 $4260.70 $720.86 $505.47 $499.02
2015-09 $3744.49 $659.59 $443.06 $432.46
2014-09 $2993.02 $536.75 $353.04 $335.39
2013-09 $2374.05 $395.65 $293.78 $294.44
2012-09 $2425.78 $315.21 $283.66 $283.00
2011-09 $2121.78 $243.26 $256.81 $233.01

Here are the securities and the income amounts for September, 2019:

  • Vanguard Total Bond Market ETF: $39.47
  • Vanguard Total International Bond ETF: $11.22
  • RLI Corp: $23.25
  • SPDR S&P Dividend ETF: $694.60
  • SPDR Dow Jones REIT ETF: $264.32
  • SPDR Dow Jones REIT ETF (second account): $436.67
  • SPDR S&P Global Dividend ETF: $630.07
  • Brokerage Money Market: $4.86
  • Brokerage Treasury Account: $8.19

Big Jim pays attention to details and remembers the big picture.

 German painting from about 1518 in a museum in Austria. Image from Wikimedia, assumed allowed under Fair Use.

2019-08 Dividend Income Report

Here is the dividend income report for August, 2019.

The monthly dividend income came out to $63.10. The yearly income total for 2019 through the end of the month was $4373.04.

The income for August, 2018 was $549.51, and the yearly income for 2018 through the end of August was $2970.08.

I am considering not putting money into any REITs and going with a bank ETF. Let’s face it, the banks always win no matter what happens. I thought about going with insurance, but there are two issues. One is I am not sure how each individual insurance firm makes their money to pay the dividend. I know a lot of them invest the float. If ABC Insurance pays for their dividend by buying XYZ Oil Company, maybe I should cut out the middleman? (Granted, finance is nothing but middlemen.)

For all the shady things banks do, in some ways insurance companies are worse. One of the big stories out of Hurricane Katrina was that they tried to tell people who were covered for wind damage that they had flood damage. Granted, that was almost 15 years ago, but it is pretty shady. When someone files a claim, their back is against the wall. Not a good time for a wealthy corporation to be playing games. I read somewhere that an insurance company’s business model is basically to deny as many claims as possible.

Here is a table with the year-to-date amounts, the monthly amounts, and the three- and twelve-month moving averages for each August from 2011 through 2019:

Month YTD Amount 3MMA 12MMA
2019-08 $4373.04 $63.10 $788.78 $697.89
2018-08 $2970.08 $48.14 $549.51 $540.48
2017-08 $4021.30 $581.69 $558.23 $546.50
2016-08 $3539.84 $522.20 $493.44 $493.92
2015-08 $3084.90 $406.45 $427.26 $422.22
2014-08 $2456.27 $323.94 $348.41 $323.64
2013-08 $1978.40 $305.11 $279.05 $287.74
2012-08 $2110.57 $316.04 $280.53 $277.00
2011-08 $1878.52 $322.35 $254.56 $225.45

Here are the securities and the income amounts for August, 2019:

  • Vanguard Total Bond Market: $40.47
  • Vanguard Total International Bond: $11.33
  • Brokerage Money Market: $6.03
  • Brokerage Treasury Account: $5.27

Big Jim is banking on dividends.

“Radha Pining for Her Beloved”, 1634, at the Brooklyn Museum, assumed allowed under Fair Use.

2019-07 Dividend Income Report

Here is the dividend income report for July, 2019.

The monthly dividend income came out to $58.79. The yearly income total for 2019 through the end of the month was $4309.94.

The income for July, 2018 was $736.90, and the yearly income for 2018 through the end of July was $2921.94.

I maxed out my 401(k) with my employer, so I have more money coming in every paycheck. I transferred the extra money to my broker to keep it separate from my checking account until I put it in my Roth IRA next year, and to hopefully earn a small bit of interest. And so far, it is very small. $0.72 to be precise. For some reason the money was put in a new account at my broker, so now I have two cash accounts. I thought it would go into the money market account. I just hit the “Submit” button thinking it would go into the same account. Hopefully this will not be a big deal. I hope the shares of RWR I bought bring in enough to make up for the $100 or so I am not getting anymore.

I am still thinking about putting money into REITs. Realty Income will announce their quarterly results tomorrow. I might decide to take the plunge with them. I mentioned a few other REITs a few months ago. I looked at their financial statements, and a lot of them have wide fluctuations in net income from year to year, sometimes from quarter to quarter. I want income, not drama. Realty Income has been increasing their income for 26 years. Granted, sometimes you have to go to the fourth decimal place to see the increase; in 2013 they increased from $0.1812292 in May to $0.1815417 in June. On the other hand, they pay monthly and have more than one increase in a year.

Here is a table with the year-to-date amounts, the monthly amounts, and the three- and twelve-month moving averages for each July from 2011 through 2019:

Month YTD Amount 3MMA 12MMA
2019-07 $4309.94 $58.79 $818.06 $696.65
2018-07 $2921.94 $736.90 $548.35 $584.94
2017-07 $3439.61 $331.08 $541.56 $541.54
2016-07 $3017.64 $273.36 $464.99 $484.27
2015-07 $2678.45 $263.13 $412.44 $415.35
2014-07 $2132.33 $198.43 $333.77 $322.07
2013-07 $1673.29 $180.57 $258.23 $288.65
2012-07 $1794.53 $219.72 $261.24 $277.53
2011-07 $1556.17 $204.83 $235.96 $211.69

Here are the securities and the income amounts for July, 2019:

  • Vanguard Total Bond Market ETF: $40.59
  • Vanguard Total International Bond ETF: $11.43
  • Brokerage Money Market: $6.05
  • Brokerage Treasury Account: $0.72

Big Jim prefers dividend increases of at least $0.01. Is that too much to ask?

“The Purification of the Temple” by El Greco (1541 – 7 April 1614), at the El Greco Foundation site, assumed allowed under Fair Use.

2019-06 Dividend Income Report

Here is the dividend income report for June, 2019.

The monthly dividend income came out to $2244.44. The yearly income total for 2019 through the end of the month was $4251.15.

The income for June, 2018 was $863.49, and the yearly income for 2018 through the end of June was $2185.04.

This is the first month with income from the State Street ETFs. So far, it was a pretty bug haul. WDIV paid over $1000. I usually do not get to $4000 in income until September. This ETF has bigger payouts in June and December, and smaller ones in March and September, so I do not expect to have such a nice haul every single time.

Dividend growth ETFs in general do not always have increasing payouts every quarter. That is one disadvantage relative to investing in the individual stocks. I think this is because people are buying and selling the fund all the time, and not buying and holding. I do not know if it is hedge funds doing the trading, or if people are continually seduced by the deceptive siren song of capital gains.

I also used some of my money market fund at one of my brokerage accounts to by additional shares of RWR. I did not buy the shares in time to get the dividend. I guess I bought on the ex-record date, or something. Still, waiting three months for the first payout is not the end of the world.

Here is a table with the year-to-date amounts, the monthly amounts, and the three- and twelve-month moving averages for each June from 2011 through 2019:

Month YTD Amount 3MMA 12MMA
2019-06 $4251.15 $2244.44 $959.55 $753.16
2018-06 $2185.04 $863.49 $319.68 $551.12
2017-06 $3108.53 $761.91 $539.42 $536.73
2016-06 $2744.28 $684.76 $464.00 $483.42
2015-06 $2415.32 $612.21 $411.83 $409.95
2014-06 $1933.90 $522.86 $333.10 $320.58
2013-06 $1492.72 $351.48 $257.79 $291.91
2012-06 $1574.81 $305.84 $260.85 $276.29
2011-06 $1351.34 $236.50 $235.38 $203.23

Here are the securities and the income amounts for June, 2019:

  • Vanguard Total Bond Market ETF: $40.29
  • Vanguard Total International Bond ETF: $11.37
  • RLI Corp: $23.19
  • SPDR S&P Dividend ETF: $626.86
  • Vanguard Utilities ETF: $204.89
  • SPDR Dow Jones REIT ETF: $260.03
  • SPDR S&P Global Dividend ETF: $1006.00
  • Money Market: $71.81

Big Jim likes the big payouts, and he likes them better when they are more predictable.

Painting of the Flight To Egypt by Guido of Siena (13th Century), assumed allowed under Fair Use.

2019-05 Dividend Income Report

Here is the dividend income report for May, 2019.

The monthly dividend income came out to $150.95. The yearly income total for 2019 through the end of the month was $2006.71.

The income for May, 2018 was $44.66, and the yearly income for 2018 through the end of May was $1321.55.

I have sold some of my Vanguard ETFs and replaced them with State Street ETFs. I sold six and bought three. I hope they will all pay in C months and make my income more predictable.

As I was looking, I took a look at some of the iShares ETFs. I thought their expenses were rather high, considering how big they are. Then again, some of the State Street ETFs have high expense ratios as well. Higher than the unpredictable Vanguard. I wonder how expense ratios are calculated. Real Estate Select Sector SPDR Fund has an expense ratio of 0.13%, 33 holdings, $2.927 billion in assets, and 80.3 M shares. State Street’s other US real estate fund, SPDR Dow Jones REIT ETF has an expense ratio of 0.25%, 96 holdings, $2.373.3 billion in assets, and 24.1 M shares. (RWR has a higher dividend, so I think the higher expense ratio is worth it.) So their assets are not that far off, the more expensive one has more holdings, but the cheaper one has more than three times as many shares. Does a high share count lower the expense ratio?

I am looking at putting some REITs into my brokerage account. A couple that I am looking at pay monthly dividends. STAG Industrial has a lot of warehouses, which are becoming more important with online delivery. Blackstone just bought a logistics and warehouse company. LTC Properties, Inc. has a lot of seniors housing and health care properties, but their dividend has not increased since October 2016. Welltower is also into senior housing and health care, but they pay quarterly and they have also frozen their dividend. Ventas is also into senior housing and health care, they pay quarterly, and they have been increasing their dividend for nine years.

Another REIT that I am looking at is Easterly Government Properties, Inc. They buy buildings that are leased to federal agencies. They seem to like law enforcement. Rethuglicans always talk about cutting spending, but they never do it.

I am also looking at Gladstone Land Corporation. I am a bit on the fence about this one; I will have to look more into it. They buy farmland across the US, and they say they are still in acquisition mode. I hope so, because frankly it looks like they are doing it wrong. Their site says, “All our farms have abundant water sources”, yet they have a lot of farms in California, and two in Arizona, which are very dry, and a lot in Florida, which is Hurricane Central. They have only two in Michigan, and no others in the Midwest. For all the years I lived in Illinois, there were not that many tornadoes, and it has a lot of water. Right now I cannot access their investor relations page, so I cannot look at filings or listen to conference calls. I will try again later.

But seriously, farming in Arizona? Are you crazy?

Here is a table with the year-to-date amounts, the monthly amounts, and the three- and twelve-month moving averages for each May from 2011 through 2019:

Month YTD Amount 3MMA 12MMA
2019-05 $2006.71 $150.95 $592.51 $638.08
2018-05 $1321.55 $44.66 $398.51 $542.66
2017-05 $2346.62 $531.68 $553.90 $530.30
2016-05 $2059.52 $436.85 $479.79 $477.37
2015-05 $1803.11 $361.99 $411.92 $402.51
2014-05 $1411.19 $280.01 $304.77 $306.30
2013-05 $1141.24 $242.65 $260.91 $288.11
2012-05 $1268.97 $258.15 $257.13 $270.51
2011-05 $1114.84 $266.55 $233.03 $194.61

Here are the securities and the income amounts for May, 2019:

  • Vanguard Total Bond Market ETF: $40.47
  • Vanguard Total International Bond ETF: $10.71
  • Money Market: $99.77

Big Jim likes predictable income.

“Adoration of the Magi” by El Greco (1541 – 1614), file on Wikimedia, assumed allowed under Fair Use.

2019-04 Dividend Income Report

Here is the dividend income report for April, 2019.

The monthly dividend income came out to $483.26. The yearly income total for 2019 through the end of the month was $1855.76.

The income for April, 2018 was $50.88, and the yearly income for 2018 through the end of April was $1276.89.

I have looked at the indexes used by some of the funds I invest in, and I am selling some of my funds. I am moving my domestic funds to the SPDR S&P Dividend ETF, SDY, which follows the S&P High Yield Dividend Aristocrats Index I might put the money that was in international ETFs into SPDR S&P Global Dividend ETF, WDIV, which follows the S&P Global Dividend Aristocrats Index It has some of its assets in US firms, but most of it is in other countries.

These funds have their assets in fewer firms than the ETFs that I am selling, but they still have money in more companies than I owned when I had my money in individual stocks.

I am also thinking about moving my money market fund into Realty Income, the Monthly Dividend Company Getting monthly dividends sounds nice. They are part of the S&P High Yield Dividend Aristocrats Index (1.45% of SDY). I know Wolf Street has been blogging about the retail apocalypse (remember kids, it’s not just because of Amazon; private equity is also a big factor), but Realty Income has their quarterly calls available on their site. If I keep track of it, things might work out okay; as Andrew Carnegie said, the way to get rich is to put all your eggs in one basket and watch that basket carefully. They still increased payouts during the Great Recession, so I am sure they will do fine during the next downturn.

Besides, a lot of people who predict disaster all the time never see any good news anywhere, and never seem to reflect that they might be wrong when they see their predictions not coming true.

I find it a bit odd that index providers will license their indexes to different firms. It is pretty frustrating that many of the providers do not provide a list of constituents on their index pages. Some of them give the top ten, but not the whole list.

Here is a table with the year-to-date amounts, the monthly amounts, and the three- and twelve-month moving averages for each April from 2011 through 2019:

Month YTD Amount 3MMA 12MMA
2019-04 $1855.76 $483.26 $588.35 $629.22
2018-04 $1276.89 $50.88 $405.77 $583.24
2017-04 $1814.94 $324.66 $532.02 $522.40
2016-04 $1622.67 $270.38 $461.86 $471.14
2015-04 $1441.12 $261.30 $409.21 $395.68
2014-04 $1130.58 $196.43 $323.64 $303.18
2013-04 $898.59 $179.23 $262.82 $289.40
2012-04 $1010.82 $218.56 $274.05 $271.21
2011-04 $848.29 $203.10 $216.30 $179.46

Here are the securities and the income amounts for April, 2019:

  • Vanguard Dividend Appreciation ETF: $208.52
  • Vanguard REIT ETF: $130.79
  • Vanguard Total Bond Market ETF: $41.37
  • Vanguard Total International Bond ETF: $11.08
  • Money Market: $91.50

Big Jim prepares for the future, but not at the expense of awareness.

Painting of the Annunciation by Guido of Siena (13th Century), assumed allowed under Fair Use.

2019-03 Dividend Income Report

Here is the dividend income report for March, 2019.

The monthly dividend income came out to $1143.33. The yearly income total for 2019 through the end of the month was $1372.50.

The income for March, 2018 was $1099.99, and the yearly income for 2018 through the end of March was $1226.01.

I am thinking about selling some or all of my shares of RLI. I have made enough and gotten enough shares through re-investment that I could sell enough shares to cover my original investment and just play with the house’s money. I am also considering replacing it with a different insurance stock. RLI pays special dividends, which unlike their regular dividends do not grow every year. I would like to have an individual stock around to see the compounding compounding of DGI at work.

I am also thinking about selling some or all of my Vanguard ETFs and replacing them with different ETFs. Other funds have slightly higher costs and slightly lower dividends, so it might take longer to become independently wealthy, but I have a couple of issues with some Vanguard ETFs.

One is that several of them (at least the ones that I have) do not always pay their dividends in the “C” months (March, June, September and December). Some of them spill over into the following “A” month (January, April, July, October) [1]. It is usually different funds that have a late payment in different quarters. But no fund was late with the December payment (I am guessing taxes has something to do with this). Most people spend December running around very busy, taking time off, or both. If they can make a payment on time in the busiest month of the year, why is it so hard to make timely payments in the other three months?

From what I can tell, iShares and State Street ETFs have no problem paying in “C” months.

This might sound like a “first world problem”, but I am putting money into these funds for my retirement, for the time of my life during which I will not be able to work. I will need my income to be predictable. Unlike now, my income will be more spread out. None of my current ETFs pay in January, and most only pay out every three months. I will need more consistency than Vanguard seems able to provide. I know some people get paid in irregular intervals, but I should not have that circumstance forced on me. Plus, the stocks that these funds invest in generally pay their dividends consistently. The ETFs should be able to do the same.

One of my funds, the Vanguard Global ex-U.S. Real Estate ETF (VNQI), is not making a payment at all this past quarter. The iShares and State Street international real estate funds are able to make payouts this past quarter, so why can’t Vanguard? What is the point of lower cost if there is no income?

Another issue is that I have looked at a few of the index criteria for the indices these funds are based on (as well as a few for indices for funds I am looking at), and I do not like some of the criteria or the structure for the indices used by some of the Vanguard funds. I plan on writing more about this later.

Here is a table with the year-to-date amounts, the monthly amounts, and the three- and twelve-month moving averages for each March from 2011 through 2019:

Month YTD Amount 3MMA 12MMA
2019-03 $1372.50 $1143.33 $457.50 $593.19
2018-03 $1226.01 $1099.99 $408.67 $606.06
2017-03 $1490.28 $805.35 $496.76 $517.88
2016-03 $1352.29 $732.13 $450.76 $470.38
2015-03 $1179.82 $612.48 $393.27 $390.27
2014-03 $934.15 $437.87 $311.38 $301.75
2013-03 $719.36 $360.85 $239.79 $292.68
2012-03 $792.26 $294.68 $264.09 $269.92
2011-03 $645.19 $229.43 $200.06 $163.15

Here are the securities and the income amounts for March, 2019:

  • Vanguard Total Bond Market ETF: $37.98
  • Vanguard Total International Bond ETF: $9.65
  • RLI Corp: $31.32
  • Vanguard Utilities ETF: $196.01
  • Vanguard International Dividend Appreciation ETF: $10.78
  • Vanguard High Dividend Yield ETF: $401.84
  • Vanguard High Dividend Yield ETF (other account): $269.22
  • Vanguard International High Dividend Yield ETF: $91.65
  • Money Market Fund: $94.88

Note [1]: I think it was the late David Fish who categorized the three months of each quarter as “A”, “B” or “C”.

Big Jim likes consistency as well as efficiency in his investments.

Pope Dionysius of Alexandria, aka “Pope Dynomite”,who has been dead for about 1800 years, so I think we can assume Fair Use.