Baby DivHut Dividend Income Portfolio Update Q3 2018

With nine months of the year already behind us, it is time for me to highlight baby DivHut’s quarterly dividend income/portfolio progress. Generally speaking there is not much change in his portfolio on a month to month basis as fresh capital is not always available to make trades for him. Still, with dividend reinvestments, stock spin offs and a small buy I made, his portfolio continued to grow in size from last quarter. Of course, the aim of his portfolio is not necessarily to achieve capital appreciation rather dividend growth with the ability to generate an ever increasing passive income stream.

 

As you already know, I never try and time the market nor my buys. I simply buy when cash is available and let time work its compounding magic. See, when baby DivHut was born it could have been said, in fact it was, that 2015 wasn’t the best possible time to invest. The energy markets were in a tailspin and, if you recall, going into 2016 we were welcomed with one of the worst starts for the stock market as a whole. Of course, the upcoming U.S. election, at the time, was throwing a lot of doubt on stocks too. What I’m trying to say is that there will always be negative headlines and always a reason to not invest. Looking back I’m happy to have started investing for baby DivHut soon after he was born and not wait for the “best” time to put his money to work. With that being said, let’s take a look at baby DivHut’s current holdings, sector allocation and dividend income for Q3 2018.

 

Portfolio

SymbolDescriptionQuantityCost BasisMarket ValueCost/ShareGain or Loss
ABBVABBVIE INC2$126.19$175.94$63.10+$49.75
39.42%
ABTABBOTT LABORATORIES9$341.15$608.31$37.91+$267.16
78.31%
CATCATERPILLAR INC15$1,025.32$1,969.80$68.35+$944.48
92.12%
DDOMINION RESOURCES INC10$698.88$735.00$69.89+$36.12
5.17%
EMREMERSON ELEC CO COM39$2,048.68$2,818.53$52.53+$769.85
37.58%
GISGENERAL MLS INC COM16$895.53$712.64$55.97(-$182.89)
(-20.42%)
ITWILLINOIS TOOL WKS INC6$515.30$762.18$85.88+$246.88
47.91%
JNJJOHNSON & JOHNSON8$811.82$1,112.40$101.48+$300.58
37.03%
KMBKIMBERLY CLARK CORP5$576.09$551.15$115.22(-$24.94)
(-4.33%)
MCDMCDONALDS CORP5$817.49$837.45$163.50+$19.96
2.44%
MMM3M CO1$191.89$199.85$191.89+$7.96
4.15%
PEPPEPSICO INC10$1,066.21$1,102.90$106.62+$36.69
3.44%
PFEPFIZER INC13$433.75$578.50$33.37+$144.75
33.37%
PGPROCTER & GAMBLE CO15$1,288.70$1,309.50$85.91+$20.80
1.61%
SOSOUTHERN CO10$444.84$450.70$44.48+$5.86
1.32%
ULUNILEVER PLC - ADR13$524.83$702.26$40.37+$177.43
33.81%
VFCV F CORP30$1,887.09$2,332.80$62.90+$445.71
23.62%
YUMYUM! BRANDS INC14$742.56$1,251.60$53.04+$509.04
68.55%
YUMCYUM CHINA HLDGS INC COM14$318.67$445.90$22.76+$127.23
39.93%

Total Investment Balance $18,657.41

Gain or Loss $3,902.42

Year to date dividend income: $369.95 which has surpassed his 2017 total.

Sector Allocation

SectorSector %Market Value
Industrials30.82%$5,750.36
Consumer Cyclical26.09%$4,867.75
Consumer Defensive23.47%$4,378.45
Healthcare13.27%$2,475.15
Utilities6.36%$1,185.70

 

Even though baby DivHut’s investment balance has dropped as a result of the recent market swoon his dividend income continues to rise at a nice clip and has already surpassed his 2017 total. The primary goal of this portfolio is to generate an ever increasing passive income stream and so far I have no complaints with the progress made.

 

What do you think about baby DivHut’s portfolio and sector allocations? I would appreciate any suggestions for potential stock picks as well. Please let me know below.

Disclosure: Long all above

12 thoughts on “Baby DivHut Dividend Income Portfolio Update Q3 2018

    • Hi DI,

      I appreciate your kind words. Going forward will be more of the same which is to buy more stocks when cash is available and slowly start to teach him about what dividends are all about.

  1. Wow, baby Divhut is a very lucky baby to have such a thoughtful father! Almost all of your investments are in green as well so the results of the portfolio are also great.
    Any reason why there are no companies from Technology sector in baby Divhut’s portfolio? I also don’t see any companies from the financial sector but I guess those are not so great for dividend growth portfolios.
    Great work!
    BI

    • Hi BI,

      His portfolio was looking a lot better before the October swoon but as you know my main focus with his portfolio is not capital appreciation rather growing passive income. I don’t hold any tech either. I might like to add an INTC or AAPL one day to his portfolio but not just yet. I’d like to build it up with the slow, boring, stable dividend payers first. Tech seems too volatile at the moment. Financial stocks might be good too. AFL, CB, TD and RY have done nicely for me. There are many, many more years of planning and growing for his portfolio. One step at a time.

    • Hi DD,

      I agree. AFL and CB have done well for me. I still plan to expand the portfolio over the coming years and always welcome suggestions. For now, the focus is on the more stable, boring dividend growers. Thank you for stopping by and commenting.

    • Hi MR,

      His portfolio was up a lot more before the October swoon. Of course, I’m not totally concerned with price appreciation as much as continuing to grow his passive income stream. Once he is an adult he can focus on growth or other types of investing.

    • Hi Passivecanadianincome,

      There are still many new names I’d like to add to his portfolio but I don’t have limitless cash 🙂 In the meantime, I’ll continue to reinvest all his dividends and make buys when I can. I look forward to teaching him more about it as he gets older.

    • Hi DD,

      Thank you for those kind words. I’m just taking advantage of his greatest asset, time. I’m sure along the way a dud will be held but overall his passive income should continue to grow.

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