I have bought $1000 in ADP this week.
I have removed BUD, NSRGY, and NVO from my portfolio because of tax complexity. My net gain is around 4 to 5% capital appreciation and I have received all year dividends from NSRGY and NVO and half a year of BUD dividend. Don't get me wrong these three are great companies but I sold them for practical reasons. NSRGY and NVO only pay once a year while BUD pays twice a year. I prefer my dividends to be quarterly. The other main issue I had is that the dividends are taxed heavily when they pay to your account, but I can reclaim some of these withheld dividends back when I file my tax return. I want all my dividends reinvested back into the same company immediately with no withholding. Since I hate taxes I decided the fuss was not worth the effort. Also the dividends are also influenced by the foreign exchange rate and since the US dollar is stronger, the US dividend amount is reduced.
Next week I plan to execute a larg purchase with my surplus cash at hand. I'm currently sitting on $32k in US dollars.
Regards
Youngdividend
Good move in my opinion. As dividend growth investors, it's paramount that we have access to that reinvestment capital as soon as possible. Whether it allow us to DRIP as we go or let us immediately see it in the account and gain the ability to allocate it right away, once per quarter payments are the bare minimum requirement (if monthly is not possible).
ReplyDelete-Dividend Reaper
do you have a watch list of stocks you're considering for purchase?
ReplyDeleteHi, the stocks I am looking to purchase I listed below.
ReplyDeleteYou will notice these companies deposit dividend checks on the 1/4/7/10 months and 2/5/8/11 months because I am trying to increase my dividends in these target months.
1/4/7/10:
NKE (showing correction), ADP (normal value), KO (bit expensive), XEL (expensive)
2/5/8/11:
T (normal value), VZ (nice pullback), ABT (showing correction), HRL (showing correction), PG (normal value)
I'm going to try to make it so my total purchase yields on average 2.5%
nice, I just added to my NKE today at $53.34 and COST recently at 138.88. Also looking at adding to D, ABC, ROST, DIS, ABT, CVS as well. VZ isn't quite there yet for me, but I would like to add more in the future.
ReplyDeletelook forward to your future posts!