Saturday, June 21, 2014

Recent buy - June

My very first dividend yielding stocks are bought!
These are the stocks that I felt were worth my money.
You will find my short motivation below.

Please feel free to comment, as I'm very excited about this first step to financial independance.

  • Coca Cola company (KO)
Dividend growing for an amazing 53 years. Very stable stock price, but has shown a steady growth over the last decade. Combine this with their nearly 3% yield and a 3-year DGR of 8.37% and this should be a great champion to start my portfolio with.

  • AT&T (T)
One of the few IT related dividend champions in the list. This company originated in 1875, right after Bell invented the phone itself. Despite its age, the company succeeded to bring innovations decade after decade. Their 5.19% yield is huge, as it is amongst the top 4 of the dividend champions list, in this category. However the 3-year DGR of 2.33% is small.

Despite my focus to growth rather than high yield, I think this high yielding company is a safe stock to own.

  • Johnson & Johnson (JNJ)
Life care will always be important. Johnson & Johnson provides millions of people with their medical supplies. I could not find any reason why this stock is risky or not worth anyones money. Their stats back me up fortunately. With an average yield of 2.3% and a 3-year DGR of just over 7% I think this is a great low risk addition to my portfolio.

  • Target Corp (TGT)
Due to several problems this company has had, its stock price has shown a large downfall over the last couple of months. However, I'm confident that their new CEO will be able to solve these problems over time. Some experts are warning us for rough times ahead, but as always, we can't believe all rumors. Besides that, stocks in a DGI portfolio should be measured over the long run, not over the next months or two.

The company has a current yield of 3.0% and a top 3-year DGR of 23.44%, which makes Target the #1 of the entire Champions list, in this category. Given the price and these stats, I couldn't find a better stock to start my DGI career with.

My total portfolio could be viewed here.

Full disclosure: Long KO, T, JNJ & TGT

Thursday, June 12, 2014

Goals are set!

My goals page is updated. It is important to set goals in order to achieve victory.

- Get my income and expenses categorized
Currently I have a general idea of my income and my expenses, but I want to know it exactly.
This data will be shared on this blog for inspirational purposes. If you can save 50% of your income, you will be financially independent in just 10 to 15 years. Isn't that great? I'm not sure if I can reach that, but I will definitely try!

- Determine which companies to invest my starting capital of €5000
If you want to start, start now. Determining which companies are worth my money is my first priority after categorizing my expenses.

- Generate an annual dividend income of $200 (December 2015)
At the end of 2015 I'd like to have received at least $200 of Dividend, passive income.
This is a small estimate, because although I'm confident, I do know that this method of investment is a long term activity. This $200/year does not seem much, but remember that my bank offers me approximately $60 in interest rate for my starting investment of just €5000.

Wednesday, June 11, 2014

Hello world

This blog is a personal blog about my journey to financial independance.
I'm 30 years old and I don't like the idea to work until I am 70 years old.

The tool to reach my goals will be Dividend Growth Investment.
This is a low risk investment method which doesn't make you a millionaire over night, but done correctly will return you more than your local bank offers you in interest nowadays.

I am by no means an expert on the subject, so please check out my blogroll for more experienced and inspiring people.

Thanks for stepping by!