Hello everyone, welcome to MydividendSnowBall’s income report for February 2022. February proved to be another great month with larger than expected dividend increases from 7 different companies. Also, we were able to add more income from our monthly buying.
Passive Income
For the month of February 2022, we have received $2,078.27 of dividend income and $228.98 income from writing options. The total passive income for the month of February 2022 was $2,307.25. This passive income included both incomes from dividends and option calls.
Dividend Income
There were 11 companies have paid us in February 2022:
| No | Name | Ticker | Dividend Income Feb 2021 | Dividend Income Feb 2022 | Dripped |
|---|---|---|---|---|---|
|
1 |
Abbvie Inc. |
ABBV |
$231.40 |
$308.79 |
1 |
|
2 |
Apple Inc. |
AAPL |
$36.49 |
$58.96 |
|
|
3 |
Bank of Montreal |
BMO |
$108.12 |
$583.87 |
1 |
|
4 |
BlackRock Science and Technology Trust |
BST |
|
$80.75 |
1 |
|
5 |
BlackRock Science and Technology Trust II |
BSTZ |
|
$93.12 |
3 |
|
6 |
First National Financial Corporation |
FN |
|
$19.59 |
|
|
7 |
Main Street Capital |
MAIN |
$38.95 |
$50.53 |
1 |
|
8 |
National Bank of Canada |
NA |
|
$193.14 |
1 |
|
9 |
Power Corporation |
POW |
|
$49.50 |
1 |
|
10 |
Pembina Pipeline Corporation |
PPL |
|
$185.22 |
|
|
11 |
Realty Income |
O |
$34.94 |
|
|
|
12 |
Royal Bank of Canada |
RY |
$227.88 |
$454.80 |
3 |
|
|
|
Total: |
$943.46 |
$2,078.27 |
12 |
We received total of $2,078.27 an 120.28% increased from February, 2021 from 11 companies. Out of $2,078.27 received, $1,486.12 is in CAD and $592.15 is in US dollar or 70 to 30 split. For simplicity of this calculation, we are using 1:1 rate for the currency approach.
My top 3 dividends for February were RY, BMO and ABBV. They were combined for total of $1.347.46 or 65% of the dividend income this month. Ideally, we wanted the top 3 companies of our monthly dividend no greater than 50% of the monthly dividend income because we wanted to minimize the risk of dividend cut.
By the end of January 2022, our Projected Annual Dividend Income (PADI) was $38,244. Our monthly dividend income was $3,195. As of March 18, 2022, our PADI was $37,208 or $3,101 monthly. Our goal for the year 2022 is able to reach $45,000 in the Project Annual Dividend Income.
Options Income
Selling covered calls is perhaps the best options strategy for extra income while waiting for the stock to grow. While selling put option is strategy for extra income designed to buy stocks at a lower cost.
For our growth stocks in my portfolio, we decided to enhance my passive income with selling covered call/put options. The following transaction were expired in the month of February 2022:
| Date | Transaction | Expired Date | Amount | Exercised | |
|---|---|---|---|---|---|
|
1 |
11-Feb-2022
|
CALL SOFI 13.5 |
14-Feb-2022
|
$65.78
|
N |
|
2 |
09-Feb-2022
|
CALL SE 180 |
11-Feb-2022
|
$68.95
|
N |
|
3 |
04-Feb-2022 |
CALL SE 155 |
04-Feb-2022 |
$94.25 |
N |
The total income for selling Call/Put option for the month of February 2022 was $228.98 US dollar compared to $173.85 US from in January 2022. Our plan going forward is continue to sell Monthly covered call/ far out of the money Put for extra passive income. Our strategy of selling options is using the short expiry time. (i.e. Monthly option)
Dividend Snowball Update
Our Dividend Snowball Portfolio was able to accumulate more Dividends in February for growing to a bigger Dividend Snowball. The $2,307.25 total income that we received in February were used to reinvest in dividend growing companies to generate more dividends.
Our Dividend Snowball investing is relying on 3 things:
- Dividend Growth
- Reinvest Dividends
- Additional Contribution
In February 2022, our dividends increased 120.28% YoY compared to February 2021. The main reason for the increase was our new buys since last year. In addition to the new buys, we had 7 dividend increases for the month of February. Therefore, the growth of the our dividend income depended on Dividend Reinvestment, Dividend Increase and purchase of new stocks.
Dividend Increases
In February 2022, we have only 7 companies increased the dividend.
| Ticker | # of Shares | Original Dividend | Increased Dividend | % Change | Dollar Change |
|---|---|---|---|---|---|
|
GSY |
155 |
$2.64 |
$3.64 |
37.88% |
$155.00 |
|
BEP-UN |
492 |
$1.2152 |
$1.28 |
5.33%
|
$31.88
|
|
BIP-UN |
141 |
$2.04 |
$2.16 |
5.88% |
$16.92 |
|
BCE |
300 |
$3.50 |
$3.68 |
5.14% |
$54.00 |
|
EQB |
121 |
$0.74 |
$1.12 |
51.35% |
$45.98 |
|
TRP |
207 |
$3.48 |
$3.60 |
$3.45% |
$24.84 |
|
ABR |
943 |
$1.44 |
$1.48 |
$2.78 |
$38.12 |
The total Dividend increases were $366.74. At 4.0% dividend rate for my dividend portfolio , these increases were equivalent to additional $9,000 invested in our portfolio in order to generate $360.00 of dividend income. We were very happy with the dividend increases from our GSY and EQB.
| Month | 2019 | 2020 | 2021 | 2022 | YoY% |
|---|---|---|---|---|---|
|
Jan |
$303.30 |
$829.32 |
$1,387.48 |
$3,815.68 |
175.01% |
|
Feb |
$195.63 |
$409.79 |
$944.54 |
$2,078.27 |
120.28% |
|
Mar |
$365.59 |
$878.85 |
$1,661.87 |
|
|
|
April |
$413.77 |
$947.88 |
$1,616.23 |
|
|
|
May |
$259.79 |
$483.04 |
$913.40 |
|
|
|
Jun |
$397.69 |
$1086.17 |
$1,778.32 |
|
|
|
July |
$611.83 |
$1074.04 |
$2,878.45 |
|
|
|
Aug |
$215.28 |
$539.82 |
$1,675.49 |
|
|
|
Sep |
$288.39 |
$1518.41 |
$2,221.06 |
|
|
|
Oct |
$896.64 |
$1271.16 |
$4,090.98 |
|
|
|
Nov |
$512.08 |
$652.66 |
$2,098.62 |
|
|
|
Dec |
$512.08 |
$2,076.88 |
$4,328.96 |
|
|
|
Total |
$4757.74 |
$11,768.02 |
$25,594.15 |
$5,887.68 |
|
See the list below for all Dividend Growth Stock transactions were made in February 2022:
| Number of Shares | Ticker | Dividend |
|---|---|---|
|
Buy 115 |
TSE:MFC |
$151.80 |
|
Sell 267 |
TSE:BNS |
-$1068.00 |
|
Buy 200 |
TSE:ENB |
$688.00 |
|
Buy 100 |
TSE:TD |
$356.00 |
|
Buy 27 |
TSE:RY |
$129.60 |
Dividend Reinvestment Plan (DRIP)
In February, we were able to drip 12 shares for the total of $1,027.55 of the dividend income. We are enrolled in DRIP Plan whenever it is possible. Using DRIP Plan, we increased
Portfolio Update
By the end of January 2022, our portfolio was $695,529. Our portfolio at the end of February 2022 was $696,570. The total capital increase for the month of February 2022 was $1,311 or 0.19%.
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Summary
February was a slower month for dividend income. However dividend increases were great. So far in 2022, we collected total of $5,887.68 in dividend income. Hopefully, we will get over $45,000 of dividend by the end of the year.
Our Dividend Snowball portfolio is progressing well for us. We are happy with our buy/sell transactions in February. How was your passive income in February?
Let the Dividend Snowball rolling!!!
Thanks everyone for reading. Feel free to leave comment below.
Thanks,
Sam
Disclaimer
I am not a licensed investment Advisor or Tax professional; Therefore all content posted on this blog represents my personal views and opinions and should never be considered as professional advice. This blog should be viewed for entertainment or educational purposes only. Not as recommendation to buy/sell certain stocks. Please do your own research before buy/sell stocks.
I am just sharing my journey of buying and holding certain stocks for my journey to financial freedom. My thoughts, opinions and research are my own;therefore they should not be taken as a reason for you buying or selling certain stocks.
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