October has been an interesting month. Finally, we were able to witness a substantial correction in US markets as we saw a fall of ~10%. You would naturally think that it should be worrying. Actually, the contrary happened – it felt like a relief. The market finally is presenting quite a few opportunities so I can’t wait to employ some capital and take advantage of this fall in the market. Let’s see what happened with my investments during October!
I received dividend from two companies this month:
First month of the quarter is the smallest month for me in terms of dividend income so it was not a spectacular month. I am back in the league of sub-$10. I would love to receive more than $10 each and every month so hopefully this is the last time when it happens.
Talking about individual payers, CSCO made the biggest contribution. CSCO was also one of the biggest losers in my portfolio during October and its market value fell by ~10% but it’s still up by ~40% since I purchased it last September.
As always, let’s see where I could spend the money I received from dividends this month:
- $7.16 from Cisco Systems would cover 21% of my Internet+TV bill;
- $2.47 from Realty Income would cover ~0,4% of our monthly rent.
I like to perform this exercise because it gives me motivation to keep going. Hopefully, one day dividends will be able to cover at least some of our expenses each month.
Let’s see how dividend amount compares to October of last year:
The increase compared to last year is not that big this month, as I haven’t added any additional companies to my portfolio that would pay during October. However, I am very happy to see 11% organic growth. Ideally, I would like to have year-on-year growth which would be bigger than annual inflation. Latest data shows 2.4% annual inflation in Lithuania. Since we are not living in Venezuela or Argentina, 11% growth rate of dividend income is more than enough 🙂
This is how my dividend income progress looks like since the beginning of 2016 when I started recording it:
Purchases and Portfolio Contributions
This month I didn’t purchase any shares but managed to add €818 to my investment account which is higher than usual. With the recent volatility in the markets, I can’t wait to deploy the capital to some stocks to increase my dividend income. I can see quite a few opportunities at the moment so I should be able to pick up something in the nearest future. I should publish a separate post with my watchlist in a few days.
None of my companies declared dividend increases this month so nothing to report here, unfortunately.
Income from P2P Lending
During October, I received €7.55 in interest from P2P lending. This is higher than last month (when I received €6.53), even though I haven’t deployed any new capital in the last few months. Simply some late loans were paid back, so this month saw a small increase in income from this platform. My P2P lending portfolio currently consists of 53 loans with total value of €625.62.
In total (after converting to EUR) I received €16.01 from passive income. This brings my total for 2018 to €211.88 which is quite close to my goal to reach €240 from passive income during 2018. I should be able to reach it easily with two months to go.
How was your month? Are you happy with the results? Did you manage to take advantage of the opportunities presented by the market during October? I would love t read your comments!