November has come and gone ( and yes it is the middle of december ). Apologies for the late post, i have been tied up with work and travel since the end of november. This month, the dividend income came in at $905.63, this is roughly 20-30% over 2016 for the same time period. November and December will be typically quiet but there should be another surge going into January.
My annual target looks to be on track give or take, i aimed in January 2017 to get around $23,000 in dividend income and i will roughly be there by the looks of it.
Where to go from here? All else being equal, my aim will be $25,000-$26,000 in dividend income for 2018. This is based off very little trading and no big adjustments in the portfolio. If i spot some big opportunities, i may leverage some capital to take advantage thus reducing the income in the short-term.
I am watching the yield curve in the bond market as it is starting to make moves which is getting attention – people are mentioning an inverted yield curve latter half of 2018…something to watch.. ( a potential precursor to a recession in ’19-’20 )….this has been mentioned by a few pundits online. I’m also watching the yields as they start to nudge to 3% or so…this ( and the tapering of QE every month ) will likely surpress equities ( why get 3% dividend yield when you can get a ‘safer’ 3% in the bond market? )…i am expecting more volatility in 2018, maybe the back half. We’ve had a hell of a run so the chance of a decent correction is growing..
It seems people are already talking about 3000 S&P for next year, we may get one final hurrah with this tax cut stuff now behind us and that may be a decent point to exit and re-strategise. We’ll see how this plays out when i look back and read this post in a year!
I hope your trading and investing are keeping you well