June 2020 Buys and Sells

Old Man Gremlin here to talk about what investments and sales I have made over the past month.  In June I finally closed out a few positions that had eliminated or suspended dividends and reinvested that money to dividend growing streams.  This is an annoying, but necessary process where I add more towards quality while discarding stocks with inferior management teams / business plans.  Long term this is a positive thing, but it does feel like bloodletting.

Market wise, I am a bit flabbergasted.  My science / engineering and history background tells me that the market is currently not even close to a true reflection of the US and world economic reality.  I keep saying we will not truly be able to understand or appreciate this period of time for another five to ten years.  However, it still feels like there is a middle ground approach that this world has consistently missed. The issue is, as always, how something can be done - not that should or even could it be done (i.e. can the laboratory conditions be replicated consistently in the real world?).  Anyways, I digress - what did I buy.

No purchase or account fees were paid this month (* indicates a new position, which will be discussed below):

Taxable:
SALES: GPS, KTB, and YUMC - all shares, wash sale (total proceeds of $925.39)
AXP - 2 shares @ $99.61 ($199.22), $3.44 income added
CM - 2 shares @ $68.99 ($137.99 total), $7.10 income added [approx. $CAD]
GD - 2 shares @ $153.83 / share ($307.66 total), $8.80 income added
JNJ - 1 share @ $139.46 / share, $4.04 income added
KO - 3 shares @ 45.66 / share ($137 total), $4.92 income added
CSCO - 2 shares @ $46.80 / share ($93.59 total), $2.88 income added
RY - 5 shares @ $68.28 / share ($341.39 total), $13.10 income added [approx. $CAD]
Total Invested = $1356.31
Annual Income Added (AIA) = $44.28

Income lost due to YUMC cut = $5.72
Net: +$38.56

Roth:
CSCO - 2 shares @ $46.04 / share ($92.08 total), $2.88 income added
LEG - 1 share @ $34.07, $1.60
Total Invested = $126.15
AIA = $4.48

Standard IRA:
FLIC- 9 shares @ $14.98 / share ($134.80 total), $6.48 income added
Total Invested = $134.80
AIA = $6.48

Totals:
Invested = $1617.26
AIA [net] = $49.52

Sales and Cuts:
YUMC: I received this as a spinoff from YUM, and I was pleasantly surprised by their initial dividend growth, however they have fallen off a cliff in terms of the dividend.  I locked in a huge gain on this sale, and it washed my losses to the point where I am slightly ahead.
GPS & KTB: As I stated last month, I did plan to sell these two, and I did after a minor recovery.  Overall they are a disappointment, especially KTB.  That said sometimes the lesson is worth the weight, and the recovered cash will go be a lot more useful than these two anchors are at the moment.

I will update my portfolio page at the end of the month.

What do you think of these companies?

- Gremlin
- Long most tickers mentioned, except GPS, KTB, and YUMC.

May Review / June Preview 2020

What a World Gremlin here to discuss May and June.  Ah the law of unintended consequences and the principle of when it rains - it pours. The situation in the USA can best be described as sticky with social unrest in the middle of a once a century medical emergency. In the meantime, I am planning for a cross country trip for my daughter to get her (hopefully) last major heart surgery. So all I am looking for is some peace, quiet, and a smooth trip.

That said none of this will slow the financial freedom snowball.  After all, it is not just financial freedom for myself, but also for my family.  So, despite everything going on in the world, how did my investing do this month?

May:

This month I added shares to 10 positions and sold off two positions in my accounts.

Last month I brought in a total of $324.20 in dividends ($99.29 taxable, $109.61 Roth, and $115.3 in my IRA).  This is an increase from last year ($323.36 total) by 0.25%.

In terms of dividend increases, I realized 5 dividend increases from Apple (AAPL), Royal Bank of Canada (RY), Ameriprise Financial (AMP), Kinder Morgan (KMI), and General Dynamics (GD). The increases range from 3% to 10%. This brings my total raises to 28 for 2020.

Next month I will realize 2 dividend increases from Pepsico (PEP) and Johnson & Johnson (JNJ).  The increases are 7 and 6.5%, respectively.

My fund has absorbed the following cuts or suspensions this year: Disney (DIS) [sold], Dunkin Brands (DNKN) [sold], the Gap (GPS) [hold for now],  Kontoor Brands (KTB) [hold for now], WestRock (WRK) [hold], and Welltower (WELL) [hold].

NOTE: I only count increases when realized, because until that money is delivered any statements or declarations are simply conjecture.

June:

The mortgage continues and I am putting extra cash towards the principal monthly - not a huge number, but every little bit counts. Our debts currently outstrip our assets, because I consider our house a liability and NOT an asset.

I will continue to make rolling purchases going forward.

Next month should produce around $510 in dividends, which is a 16% YOY increase.

My portfolio page is currently up to date.

Hope everyone has a June that is better than May.
- Dividend Gremlin
- Long all stock tickers