2016 – Page 12 – DIVICENTS

What I Made

Well, July has come and gone and it’s time to look back at my savings rate for the month. As you can see in the chart below, July was a big drop!

My total income for the month of July was $3050

My total hard cap expenses for the month was $1300

The total savings into my investment account was $1000

My total savings percent for the month of JULY was 32.79%

That left me with $650 of disposable income for the month, not bad but I knew it was going to be tight. …

July Income ReportRead More »

July Income Report Read More »

JULY DIVIDENDS

2016, Dividends / Steve

I received $380.16
in dividends in JULY.

Every quarter there are 3 months or dividend payouts, this is the smallest one.

Monthly Dividends per Year					2016
Month	2015	2016	2016 $INC	2016 %INC	Q OVER Q INC
April	$201.00	$313.00
July	$200.00	$380.00	$180.00	90.00%	21.41%

Last July my dividend total was $200 giving me a year over year increase of 90%!

My quarter over quarter increase was 21.41% and my total dividend haul this year is now $3221.

Is it just me or does anyone else feel like Gollum from lord of the rings every time you receive a dividend payment? My PRECIOUS!!

Market Musings

The Dow hit a record high in July off weak earnings.

I like to use the Schiller P/E ratio to gauge the value of the overall market.

July – S&P 500 had a Shiller P/E: 26.9.

That is 61.1% higher than the historical mean of 16.7

Prof. Robert Shiller of Yale University, who won the Nobel Prize in Economic Sciences in 2013 – invented the Schiller P/E to measure the market’s valuation. Schiller also predicted the crazy P/E ratios of the late 90’s would turn out to be a bubble.

I continue to move to safety.

Moves in JULY

Total Purchases $5580

Total Sales $1997

I sold 100 shares of KMI this month.

I bought 219 shares of TSE:XLB Canadian Long Term Bond ETF for $25.47 per share for a total of $5577. This brings my total share to 299. I plan to add more of this next month unless the market drops in which case I will buy more stocks.

I will look to buy if the DOW gets as low as 17000.

JULY DIVIDENDS Read More »

SOLD

Moves / Steve

I sold all my shares of Kinder Morgan today. As I mentioned in my older posts, I will be exiting many of my oil stocks that I picked up during the downturn.

I purchased KMI for $12.98 USD on Jan 15, 2016

I sold KMI for $19.97 USD on Jul, 12, 2016 for a 54.12% capital gain in 6 months not including dividends.

It crossed it’s 200 Day moving average so it might move higher on a technical level but whatever to that nonsense.

11468336923

The reason I sold this today is two-fold.

1) It sold a jewel of an asset to finance debt on what I see as a bad deal.

2) The Dow, S&P hit new highs. Anytime I read headlines of new highs I start to prepare a bit more for the lows. This is not to say I expect the market to implode tomorrow but as Warren Buffet says “Cash combined with courage in a time of crisis is priceless”. According to Prof. Robert Shiller of Yale University, the market is historically over priced right now.

Shiller P/E: 26.7 (+ 0.76%) as of Jul,12 2016

Shiller P/E is 59.9% higher than the historical mean of 16.7
Implied future annual return: -0.5%
Historical low: 4.8
Historical high: 44.2
S&P 500: 2153.33

I would bet that having near zero interest rates plays a large part in this market but i’m not sure that tells the whole story.

Unfortunately I had very few shares of this. I was never comfortable with the amount of debt they carried and still am not. I bought this as well as another half dozen or so oil stocks that I figured could hold out in the low price environment for a sustained period of time and catch a better price when oil eventually recovered. I thought oil would stay lower for longer so I was only picking up $1000-$2000 per payday and didn’t want to leverage into it.

So far I have only unloaded 2 of my oil companies

Sold-

TSE:TCK.B (+43.23) Sold way too soon!

KMI (+54.12)

Holding and looking to sell-

TSE:ECA (-36.44) Bought way too soon!

TSE:BTE (+182.91) Bought just right….

Holding and never plan on selling-

TSE:SU (+16.42)

SOLD Read More »