Thread Rating:
  • 0 Vote(s) - 0 Average
  • 1
  • 2
  • 3
  • 4
  • 5
Dividends from 2020
#1
Hi all,

I thought I'd take a look back at 2020 and see how much dividend income I made in my Etrade account (both taxable & ROTH).  My strategy is mostly growth, so dividends aren't a focus.

And the answer is ... $673.05

I think that's not bad given it was essentially year 1 for the taxable account.

How about the rest of you?
Reply
#2
My dividend income in 2020 was up 31% compared to 2019.
And my cash flow (which is dividends + option trades + other small stuff - taxes) was up 40%.

I'd love to keep this speed going for another year or two Smile
Reply
#3
My dividend income was up 9% for 2020. With it basically on auto pilot this year, I was happy especially considering the dividend cuts that occurred. Barely missed my goal of $12,000 in dividend received for 2020.
Reply
#4
Glad you are starting new threads for us, and your first year dividend performance is excellent. My results will be a little hard to interpret, though I believe Crimsonghost understands my game and can connect the dots. I have many sources of income. Unfortunately I don't see where Waterhouse separate option transaction income from capital appreciation. I just know what my average and quite consistent monthly option income is.

I had a short term goal of maximum income. Secure extra cash beyond my pensions for first two years of real retirement. Those funds were secured late 2020 and gradually transitioning a more growthy portfolio. But for 2020 it was VERY income focused.

-2020 dividends down 35%
-2020 income from selling puts is up 50%, and it was already over 2X my annual dividend income in 2019. Now it's over 3X and consistent.
-My stock market FCF was up about 35% for 2020. My intent for 2021 is to dial that back about 5% with a little more focus on growth. I've learned that gradual adjustments to the plan are usually prudent.

Moral of story is it's not difficult to exceed dividend income by a margin. There will definitely be a capital appreciation penalty for doing so in a strong bull market.
Reply
#5
(02-05-2021, 10:22 AM)ChadR Wrote: My dividend income was up 9% for 2020.  With it basically on auto pilot this year, I was happy especially considering the dividend cuts that occurred.  Barely missed my goal of $12,000 in dividend received for 2020.

Nice!

(02-05-2021, 11:09 AM)fenders53 Wrote: Glad you are starting new threads for us, and your first year dividend performance is excellent.  My results will be a little hard to interpret, though I believe Crimsonghost understands my game and can connect the dots.  I have many sources of income. Unfortunately I don't see where Waterhouse separate option transaction income from capital appreciation.  I just know what my average and quite consistent monthly option income is.  

I had a short term goal of maximum income.  Secure extra cash beyond my pensions for first two years of real retirement.  Those funds were secured late 2020 and gradually transitioning a more growthy portfolio.  But for 2020 it was VERY income focused.

-2020 dividends down 35%
-2020 income from selling puts is up 50%, and it was already over 2X my annual dividend income in 2019.  Now it's over 3X and consistent.
-My stock market FCF was up about 35% for 2020.  My intent for 2021 is to dial that back about 5% with a little more focus on growth.  I've learned that gradual adjustments to the plan are usually prudent.

Moral of story is it's not difficult to exceed dividend income by a margin.  There will definitely be a capital appreciation penalty for doing so in a strong bull market.

I have to admit most of what you and crimsonghost practice is way, way over my head.  I don't know what "selling a put" is, what FCF stands for, how to trade options, and some of the things you've mentioned in other threads.  But I think that's okay.  I'm just a buy-and-hold guy.
Reply
#6
(02-05-2021, 02:53 PM)ken-do-nim Wrote:
(02-05-2021, 10:22 AM)ChadR Wrote: My dividend income was up 9% for 2020.  With it basically on auto pilot this year, I was happy especially considering the dividend cuts that occurred.  Barely missed my goal of $12,000 in dividend received for 2020.

Nice!

(02-05-2021, 11:09 AM)fenders53 Wrote: Glad you are starting new threads for us, and your first year dividend performance is excellent.  My results will be a little hard to interpret, though I believe Crimsonghost understands my game and can connect the dots.  I have many sources of income. Unfortunately I don't see where Waterhouse separate option transaction income from capital appreciation.  I just know what my average and quite consistent monthly option income is.  

I had a short term goal of maximum income.  Secure extra cash beyond my pensions for first two years of real retirement.  Those funds were secured late 2020 and gradually transitioning a more growthy portfolio.  But for 2020 it was VERY income focused.

-2020 dividends down 35%
-2020 income from selling puts is up 50%, and it was already over 2X my annual dividend income in 2019.  Now it's over 3X and consistent.
-My stock market FCF was up about 35% for 2020.  My intent for 2021 is to dial that back about 5% with a little more focus on growth.  I've learned that gradual adjustments to the plan are usually prudent.

Moral of story is it's not difficult to exceed dividend income by a margin.  There will definitely be a capital appreciation penalty for doing so in a strong bull market.

I have to admit most of what you and crimsonghost practice is way, way over my head.  I don't know what "selling a put" is, what FCF stands for, how to trade options, and some of the things you've mentioned in other threads.  But I think that's okay.  I'm just a buy-and-hold guy.

Don't feel bad, that's all over my head too. Buy and hold is all I do as well.
My website: DGI For The DIY
Also on: Facebook - Twitter - Seeking Alpha
Reply
#7
It's not over either of your heads. You just haven't learned it. There are many times a buy and hold long strategy will outperform. The past three months comes to mind. In my experience my methods are best in a sideways or choppy market. You might realize a 10%+ return with a stock that goes nowhere in a year. Of course I am not trying to own that stocks performance intentionally.

Carry on with the dividend thread. Smile
Reply
#8
I am very much a buy and hold guy too. Over 90% of my portfolio is pure buy and hold, and I intend to keep it that way. Options are just something we use to increase the incoming cash... or sometimes decrease it if things don't go according to plan. Big Grin Personally, it's not my intention to have the option stuff to replace anything, it's just something I do on the side for fun and hopefully some extra cash.
Reply
#9
My port is about half buy and hold. Conservative use of options is just another tool. A diverse set of skills is good. Once your portfolio is over halfway to goal, it's not all that much fun to watch it do nothing for 5-10 years. There is really no extended historical period when you wouldn't deal with that. A quality DGI port will lessen the pain. Market doesn't care about Divs lately but we got it right for the longterm.
Reply
#10
(02-06-2021, 06:31 AM)fenders53 Wrote: My port is about half buy and hold.  Conservative use of options is just another tool.  A diverse set of skills is good.  Once your portfolio is over halfway to goal, it's not all that much fun to watch it do nothing for 5-10 years.  There is really no extended historical period when you wouldn't deal with that.  A quality DGI port will lessen the pain.  Market doesn't care about Divs lately but we got it right for the longterm.

I see your point; I'll probably dive into learning options some day.

I have to admit, about 6-7 years ago I had a portfolio built with the trendy stocks of the day - Tesla, Amazon, Netflix, eBay, etc. and at the time; this was before they took off like rockets, they weren't doing much, so I got bored and sold them all.  Ugh, I know.  Had I just stayed the course...
Reply




Users browsing this thread: 1 Guest(s)