Although February hasn’t quite finished, all my dividend income is in for the month. I’m proud to say i’ve hit a new record. This has been an interesting journey in balancing the ‘trader’ and ‘investor’ in me. With volatility up, my gut instinct is to want to trade more but i’ve tried to leave things alone more often than not these days. 4.5 years into this journey and the income is starting to crank, i reached a new milestone of $2008 this month, that is almost 100% better than February 2015.
Why the massive jump? I took a bunch of options trades which earn no income, made some gutsy trades which fortunately worked out and fed them back into dividend stocks to boost my dividend income. It is a strategy that works for me but is still fraught with risk, if my theories don’t pan out or the market throws a curve ball, i could easily lose those leveraged bets so it is not for everyone.
I’m trying to ride this train as long as i can, my aim is to about 13-15k$ in dividend income this year but the increase in dividend cuts from many companies is not expediting this process. I am still taking long term bets on energy ( read: electric, renewables, some oil, energy transport and storage ), food, water etc – the stuff we all need – this is my investment focus, my trading focus is everything else. I’m hoping in another 4-5 years or so i’ll be bringing in north of 5k$ per month.
Hope your portfolio is progressing well and you are ignoring the gyrations of the tape, one day everything is going to hell, next day, things aren’t so bad, following day omg, we are so screwed, next day…consumer is ok, next day china is crashing, next day, china is ok….get the drift? Media bs. You can’t invest with that influence. My stress levels go way down when i am not watching tv, so many paid pundits forcing their own opinions or people with super short term views. I’m learning to just chill and adjust as necessary.
The only guy i think is worth time to follow is Josh Brown at The Reformed Broker
Have a great weekend.