Dividend Income Report, August 2018
Hey everyone and welcome to my Dividend Income series! This will be for you to see the income I receive from my Stocks & Shares ISA and the changes compared to the previous year. The great thing about investing is that you get paid several times a year by the companies you’ve put money into! So not only do you get a paycheck from your employer, you also get paid several times a month from extremely well run businesses.
This was quite a busy month for me as I worked 2 days as overtime and we had a bank holiday here in the UK which I decided to work. All in preparation for my daughter being born as she’s due on the 15th September! We had a lot of hospital visits/appointments this month due to doctors & midwives monitoring my partner’s high blood pressure to make sure no harm would come to the baby, as it looks like gestational hypertension.
For this month I deposited £500 in fresh capital and I used roughly £225 from dividend income. I spent £597.82 on 224 shares of Legal & General (LON:LGEN) to average down on my position, with the remaining £125 into my indexes.
This means Legal & General is now a full position and I’ll no longer be adding to it, for September I’m looking to add to my Imperial Brands (LON:IMB) position after publishing an article on it recently.
I’m also looking into Vodafone (LON:VOD) and will probably establish a position shortly, as their 8.20% dividend yield is hard to ignore. I’ve been doing due diligence on the company and following their trading updates, I’ll try to publish my findings on Seeking Alpha in the next few days.
For August I received income from 9 holdings, these will be listed below compared to the same period the previous year.
|Company||August 2017||August 2018||Change|
|British American Tobacco||£5.86|
|Chatham Lodging Trust||£5.40||£5.48||1.48%|
|Gladstone Investment Corp||£7.29||£7.78||6.72%|
|Omega Healthcare Investors||£25.36||£49.79||96.33%|
|PennantPark Floating Rate||£9.23|
|Solar Senior Capital||£8.94|
|InfraCap MLP ETF||£19.83|
The 36% year-over-year increase is pretty nice and it’s mainly due to nearly doubling my position in OHI during a time when 1 of their tenants was having trouble. The company’s stock was heavily sold-off in anticipation of a potential dividend cut, I decided to follow the advice of Brad Thomas (1 of the foremost REIT experts) and listened to OHI’s management as they reassured investors that the dividend would remain unchanged.
My other holdings are either due to dividend increases or fluctuations in the currency exchange rate between the GBP/USD.
Dividend Changes Announced In August
For this month 3 of my holdings announced dividend increases for their shareholders these were from Ares Capital, Legal & General, and Newtek Business Services. Newtek actually restated their previous forecast from $1.72 to $1.80.
Ares Capital (NASDAQ:ARCC) declares $0.39/share quarterly dividend, 2.6% increase from prior dividend of $0.38.
Legal & General (LON:LGEN) announced an interim dividend of 4.6p, a 7% increase from 2017.
Newtek Business Services (NASDAQ:NEWT) restated its 2018 annual cash dividend forecast to $1.80/share, an increase of 9.75% from $1.64 in 2017
To any dividend bloggers or investors following my website, feel free to leave a comment below telling me how you did!