Saturday, April 28, 2012


It was a pretty good week for both my investment accounts.  The small rally in the market helped my investment balances end up for the week.  Managed to complete my purchase of a stake in CH, adding 4 dividend payments per year.  Also reinvested buyout money from AEA into shares of EOI for another 12 dividends a year.  My total dividend payments should now be 184 annually.  It's rolling right along towards my goal of 365 days of dividends.

This week I collected a great dividend payment from AGNC for my taxable account.  Also collected dividends from GE, CPB and SPY for my IRA account.  The month of May looks to be a good month for dividends.  Several of my long held stocks pay in May and some of the more recent purchases should begin payments, so I should be collecting several payments next month.

As for work, I've decided that my job is not really going anywhere.  I originally took the job to ride out the recession, but it's not a place I want to retire from.  With that in mind, I'm looking into launching my own business.  I believe I've come up with an idea that will give me much more free time, be more enjoyable and better for my health and will replace the income from my current job.  I blog more about my idea, should it actually pan out as a viable business.

Thursday, April 26, 2012


Received payment for the buyout of AEA shares reducing dividend payments by 4 per year.  To replace the lost dividends, I placed an order to reinvest the money in EOI which pays monthly dividends.  Not only will this add 12 dividend payments, replacing the 4 quarterly payments lost from AEA and adding an additional 8 payments, but each monthly dividend from EOI will be close to the amount earned quarterly from AEA.  So not only will it bring my total dividend payments per year to 192, but it increases the amount of income on this portion of my portfolio to roughly 10 times what it was earning before!

AEA was also what I call a "free stock", which means it is an investment that I bought low, sold enough shares after the price went up to pull out my original investment and kept the remaining shares.  So this means the money I invested in EOI is pure profit from AEA, so in a sense I'm buying this investment with passive income only.  While this is not something you can do every day, it's a great way to make money when the opportunity presents itself.  

Which leads me to my next possible ploy for speeding up stock purchases to get to my goal of 365 dividend payments per year. Right now I'm sitting on some large capital gains on multiple stocks in both my taxable and retirement accounts.  I may decide to pull out some of the profits to purchase shares in additional dividend stocks, increasing the total number of dividend payments per year and accelerating compounding of my investments.

Tuesday, April 24, 2012


This past week was not a great one, didn't collect any dividends and both account balances ended down for the week.  However, things are looking up this week.  Just completed purchase of a stake in Aberdeen Chili Fund (CH) for my taxable account, which pays quarterly dividends, bringing my total dividend payments per year to 176.  Yeah, I'm almost to the halfway mark, just 189 more and I'll be collecting a dividend for every day of the year!!!

With the upcoming purchase of PFE and LLY for my IRA I'll add an additional 8 dividends.  Thanks to recent research I've also identified another four monthly dividend payers I'm planning on buying stakes in:

EOI dividend yield of 10.3% on recent price of $10.73.

PVX  6.5% yield on recent price of $8.49.

AT  7.9% yield on recent price of $14.98.

GGN  9.9% yield on recent price of $16.97.

With monthly dividends, the above four stocks would add an additional 48 payments to my 365 days of dividends plan.  Still have quite a way to go, but with new dividend payments starting to kick in, my rate of purchases are increasing rapidly.  It's possible I may get to 365 dividends per year much sooner than I expected.  Originally I estimated it would take 3 to 4 years, but now I'm thinking it will take less than 2 years!

Saturday, April 14, 2012


I revised my automatic stock purchase plan for my IRA account to purchase my next two dividend stocks.  The newest additions to my IRA will be Eli Lilly (LLY) and Pfizer Inc. (PFE).  Both are well known corporate brands with great dividend yields and have a long history of paying dividends.  I believe that both companies will be around for years to come and will make good additions to my investment portfolio.  The purchase of shares in these two stocks will add a total of 8 dividend payments per year towards my goal of 365 days of dividends. 


I'm happy to report some great progress this week towards my goal of 365 dividend payments per year.  With this weeks' stock purchases, I was able to add a total of 16 dividend payments per year, bringing my total to 172 dividends.  So I'm covered for 172 days of the year, leaving me 193 dividend payments to go.  Not to bad, I'll soon reach the halfway mark, so I'm ahead of schedule, compared to the amount of time I originally expected to take.  I'll be reinvesting all dividends until I've acquired stock in enough companies to provide a dividend payment for every day of the year.  That being said, the more dividend payments coming in, the faster the purchase process, so I'll be acquiring stock at an ever accelerating pace.  Once I've reached 365 payments per year, the dividend income will be redirected towards increasing stakes in each of my positions to increase daily payments.  It's all about cash flow and where you direct the money.

It was also a very good week for dividends.  This week I collected dividends from MO, O and WIN in my taxable account and PM and KFT in my IRA account.  So I collected a dividend for 5 out of 7 days of the week, helping to build cash balances in my accounts for my next investment purchases.  The more I think about this plan, the more excited I get about it.  But the greatest motivator is seeing the cash balances replenishing themselves with each dividend payment.  I'm looking forward to reporting future progress, which I'll try to do on a weekly basis.

Tuesday, April 10, 2012


Finalized my purchases of AWF and ERF for my IRA account today.  Locked in an 8.11% dividend yield on AWF which should start paying monthly dividends to my account in May.  With the small price drop since my last post, was able to get a final dividend yield of 10.97% on my shares of ERF.  The completion of these purchases add a total of 16 payments a year to my "dividend a day" plan. 

Since AWF is a high yield global bond fund, it also means I'll be investing in bonds for the first time.  While I'm a firm believer that stocks outperform bonds over the long haul, I figure at my age it doesn't hurt to have some exposure to bonds and a small amount invested in a fund like AWF has little change of adversely affecting my portfolio in any way.  I definitely like their monthly payments :0). 

Friday, April 6, 2012


The first full week of April proved to be good for dividend payments.  Between my IRA and my taxable account I collected dividends from Westar Energy (WR), Universal Insurance (UVE), Reynolds American (RAI) and Telstra (TLSYY).  I received 5 payments from the 4 stocks since I hold shares of UVE in both accounts.

The money from dividends will help pay for this months stock purchases.  For my taxable account I'll be purchasing a stake in Aberdeen Chile Fund (CH) with a dividend yield of 10.37%.  I also plan to purchase shares in Ship Finance International (SFL) with a current yield of 8.12%.  April's purchases for my IRA account will include AllianceBernstein Global High Income bond fund (AWF) yielding 8.05% and Enerplus Corp (ERF) with a current dividend yield of 10.47%.  The goal of this month's purchases is to raise total average yield on investments in both accounts and to increase total number of dividend payments by 32 payments per year.  Two of this month's purchases pay monthly dividends while the other 2 pay quarterly.  This serves a two fold purpose, increasing monthly cash flows and giving me a jump start on reaching my goal of 365 dividend payments per year.

This will bring my total number of payments per year to 168.  Only 197 dividends to go! 

Wednesday, April 4, 2012


The news media is buzzing with doom and gloom over today's drop in the stock market.  More European woes, a bad auction for Spanish debt, ADP reporting less new jobs, the Fed bowing out of another round of quantitative easing, it all sounds like too much for the market to handle. 

However, this works out great for me!  I'm making at least 4 new stock purchases this month.  I've decided to put off my purchase of CLX, for my IRA account, in favor of a couple of high yield issues, one paying monthly dividends.  I'm also planning to add two high yield stocks to my taxable account, one quarterly payer and one monthly payer.  The drop in stock prices couldn't have come at a better time for me.  With the completion of the above purchases I will boost my number of dividend payments by 32 per year (12 x 2 + 2x4).  I'm currently receiving 136 dividend payments per year.  Adding 32 more payments with this month's purchases will give me a total of 168 dividends, meaning I'll only have to get an additional 197 payments to reach a dividend for each day of the year.  This may sound like a lot, but it would only take 16 more monthly dividend payers plus 2 quarterly paying stocks to exceed my goal.  

All this will be a lot easier if the stock market prices are down.  So rather than doom and gloom, I'm excited about a pullback in stock prices.  Once my dividend a day cash machine is in place, I'll be looking forward to a rebound.