Dividend-Income Portfolio Off To A Roaring Start

Portfolio Up 3.5% After Only One Month

December 31, 2019 Bob Weir Dividend Portfolio, Market Insights

eResearch | The Dividend-Income Portfolio launched on December 1. At year-end 2019, after just one month in existence, the Portfolio gained 3.5% even though only one stock paid a dividend during December. Since most of the stocks in the Portfolio pay monthly dividends, there will be a notable increase in the amount of dividends received by the end of January. This report assesses the Portfolio’s performance after the conclusion of its first month. At year-end, it was valued at $517,425, a gain of 3.5%.

Initial Portfolio

The Portfolio was capitalized at $500,000 and consists of 10 equally-weighted stocks taken from a select list of 28 high dividend payers. The cut-off yield for selection to the Portfolio was 4%.

The 10 stocks that comprise the Portfolio at inception are shown below.

2019-12-31-Dividends-Chart1
Source: eResearch

Comparables

We have included 5 ETFs as comparables (which also are actively traded and, so, could have been included in the Portfolio) and the S&P/TSX Composite Index to serve as benchmarks for our Portfolio’s performance. These are as follows.

2019-12-31-Dividends-Chart2-Comparables
Source: eResearch

Portfolio Performance

The next table shows the Portfolio’s performance after the first month. The Current Value represents the stock price times the number of shares held and does not include dividends received. The Inherent Value does include dividend income.

2019-12-31-Dividends-Chart3-Performance
Source: eResearch

Comprehensive Report

You can read our entire report, with additional commentary, by clicking here: Dividend-Income Portfolio – December 31, 2019

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About Bob Weir 329 Articles
Bob Weir has over 50 years of investment research and analytical experience in both the equity and fixed-income sectors, and in the commercial real estate industry. He joined eResearch in 2004 and was its President, CEO, and Managing Director, Research Services until December 2018. Prior to joining eResearch, Bob was at Dominion Bond Rating Service (DBRS).

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