June 2015 – Dividend income and portfolio update

No typo here – this is a catchup post on my income in June after a hot and hectic July. This is the first of two posts summarizing my progress towards financial independence and describes how my investment portfolio performed last month.

Most of my portfolio is actually in Vanguard funds; the individual stock portion is steadily growing and the portfolio as a whole is slowly tilting towards individual stocks and stock funds. But first let’s see take a look at the income for June since that’s probably what you’re interested in!

Dividend Income

My total dividend income from my portfolio in June was $1,083, an increase from last month’s $341 and the first time that it’s reached 4 figures ever! June is always a strong month as the Vanguard funds pay in June and many of my individual stocks do too. Back in June 2014, I earned $844 so this is an increase of 28% over the same time last year!

The following chart shows the cumulative dividend income so far this year compared to previous years. Last month I crossed the $2,000 line, and this month I crossed the $3,000 line!

I almost exceeded my cumulative dividend income from August last year which is pretty good considering I’m comparing to June this year.

Income breakdown

The chart below shows what contributed to my total income of $1083 this month.

I received income from individual stocks as well as from my four Vanguard mutual funds.

Dividend income from stocks

19 stocks paid dividends this month as shown below.

The yield calculations are annualized, or extended forward a year based on the current dividend payment against the market value. The value amounts include contributions from stocks added after the ex-dividend date so yield shown may be a little lower than the current yield.

Dividend income from funds

I received most of my income this month from my two bond funds, VWEAX (Vanguard High-Yield Corporate Bonds) and VWESX (Vanguard Long-Term Investment Fund). These pay their distributions monthly. The two stock funds that I own pay quarterly income so they only show up in March, June, September and December.

My Income Portfolio

Here’s an overview of my Portfolio and how it’s made up as of the end of June 2015.

It consists of individual dividend stocks as well as 4 Vanguard mutual funds and cash. Cash holdings continued to increase as I’ve been adding more cash to my portfolio than spending it. The bond portion is slowly coming down; and the stock portions are mostly flat.

Asset Allocation

The following table shows the detailed asset allocation in my portfolio.

Portfolio Performance

Overall this month my portfolio decreased by $307 to $202,994, a decrease of 0.15% from last month’s $203,301 and my unrealized gains decreased from 7.23% to 4.37%.

Last month I added $4,909 to my portfolio, including $719.75 in a new purchase of National Healthcare. In addition to that, I also purchased $2,950 of VHDYX, $100 of VTIAX and $100 of VWEAX via recurring automatic purchases. Finally I added $1,039 of new cash to my cash reserves as I’m transferring some savings into my income portfolio.

Since the overall decrease in portfolio value was $307 and I added $4,909 of new money, this implies a market value decrease of $5,216 or about 2.5%. Overall however my current portfolio total is now $28,128 higher than at the end of last year.

 

Quote of the Day

You cannot strengthen the weak by weakening the strong.

8 thoughts on “June 2015 – Dividend income and portfolio update”

  1. Hey Dividend Life,

    Congratulations on the amazing income in June! Breaking the 4 figure milestone must be incredible (I’m not even close to breaking the 3 figure one!).

    Dividend Legion

    1. Hi Dividend Legion,

      Thanks! Yes it’s a great milestone to reach and I wasn’t expecting it as I’m quite conservative with forward projections. My first investment income was in the single digits back in 2011; starting in the first place is the most important thing which you have done.

      Most of the income growth is from new capital but the dividends themselves are growing each year too.

      Best wishes!
      -DL

  2. What a month! Your first four-figure income total! Excellent news. Can’t wait until I eventually get to that stage. Will be a long time coming, however. Still worth looking forward to.

    You should easily beat your $5,850 target for the year at this rate!

    Keep up the good work!

    (PS: I assume your dividend income table is supposed to be in $ rather than £?)

    1. Hi D²,

      Hopefully you won’t have too long to wait. As I’m writing this I’m wondering how long it’ll be for the $2,000 milestone – it might be interesting doing some forward predictions to the next major milestone.

      I’m confident of beating my $5,850 target by a fair margin this year but I won’t know for sure until December.

      Yes, my charts and data are all supposed to be in $.

      Best wishes,
      -DL

  3. Another good month DL. I too am slow on my posts with summer. Glad to see you broke 4 digits. That must be an awesome feeling. With the market turning I bet your itching to spend more of your cash reserves. Happy buying.
    DFG

    1. Hi DFG,
      Yes stocks seem to be on their way down for the most part lately so hopefully there are some bargains out there this month!

      I’m looking forward to reading your July updates!

      Best wishes,
      -DL

  4. Congratulations DL that’s bloody marvellous! You must be chuffed to bits!

    Here’s to many more 4 digit dividends.

    I’d put my mortgage on you hitting your 2015 dividend goal, and I’m interested to see how strong you finish the year.

    Keep up the good work!

    Cheers
    Huw

    1. Hi Huw,

      Thanks for the support and I think that’d be a safe bet to make 🙂

      Yes it’d be interesting to write out a list of ‘first’ milestones reached on an FI journey – first double-digit dividend, first three-digit portfolio value etc.

      Keep up the great work over there,
      Best wishes,
      -DL

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