Monday, 31 August 2015

August 2015 Dividend Income

I would like to inform all my loyal readers of my August 2015 dividend income. This is something that interests most investors along with dividend growth. I only hold 3 dividend stocks and one pays dividends in July, one in August and one in September.

National Grid was August dividend payer and paid me for holding 50 shares on ex dividend date. I received £14.08 in dividend income and £8.85 of this was subsequently reinvested into another National Grid share with the remainder of the money going into my trading account.

I topped up my National Grid shares recently and now hold 97 of this particular stock which means my dividend income will be higher in 2016. The stock has been volatile of late and I might buy more of it should the price dip below £8.40 a share.

How was your August dividend income?

Wednesday, 5 August 2015

Legal and General Dividend Increase

This is just a short post but one which makes me very happy. One of my dividend stocks, Legal and General had a very positive meeting today outlining company profits and as a result raised the interim dividend by around 19% to 3.45 pence per share. This dividend is due to be paid on the 17th September and will enable me to invest in another Legal and General share as well as having some cash left over.

I am also hoping the final dividend payment to be announced in April next year will also increase and enable me to invest in more shares in the life insurance company.

Would you sell your shares if your stock portfolio was worth 2 million dollars

I often ask myself would I sell all my shares if my stock portfolio was worth 2 million dollars? I could retire from my stressful 9-5 job if I had 2 million dollars so why would I hold onto a stock portfolio of such value.

There are pros and cons of selling such a large stock portfolio and I will consider both here. However I might pass the question onto someone who has a stock portfolio of $200 000 and see what their thoughts are on the matter so it is onto Jason from Dividend Mantra.

Firstly the pros of selling such a large holding. The biggest advantage is that you get a large sum of cash into hand. You do not have to worry about the value of the stocks going down and losing you money as you have access to the full 2 million dollars. Secondly it should enable you to escape the daily grind and stresses of a daytime job. This provides opportunities for spending more time with family and pursuing hobbies. These are brilliant reasons to sell your shares but why might you want to hold onto them?

Okay so now onto the cons of selling a 2 million dollar stock portfolio. The worst thing about selling is the fact that you might lose out on a potential gain. Imagine your $2 million dollar stock portfolio was to grow in value to $4 million. How heartbreaking would it be to lose out on so much extra profit. If I was in this position I could not rest easy nor sleep at night!! There is also a chance that you would miss a regular dividend income which comes with a large dividend stock portfolio. You could keep the income for living expenses or you could use it to grow your stock portfolio even more. Finally some people invest in stocks as a hobby. It takes over their life and they become addicted to it so selling everything might make them feel like there is a huge gap in their life!

I have to say that in my current position if I had a 2 million dollar stock portfolio I would definately sell off a a large chunk possibly up to 1.5 million dollars worth so that I could do something more pleasurable between the hours of 9 and 5 as opposed to work. This amount of money would enable me to never have to worry about money again.

I do hope that Jason maybe constructs a post on how big he would like to grow his portfolio and whether he will ever sell all or most of his stock portfolio.

Saturday, 1 August 2015

I am still saving hard and investing

I have not been online as much as I am looking after my newborn daughter, however I am still saving hard and investing. Obviously my income is down drastically as I am on maternity leave but this just means I have to make my money work harder.

Last week I was fortunate enough to reach Royal Mail dividend income. I recently sold lots of my Royal Mail shares so my dividend payment was much less than previous payments, however the dividend income was enough for me to invest in 1 more share. My total holding now is 43 which is rather pitiful but better than nothing.

I still have some National Grid shares and will be receiving a dividend payment on Wednesday 5th August, and some Legal and General shares which will pay me dividends in October. I will be reinvesting all these dividend payments back into these stocks in order to grow my holding.

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