Investment portfolio update
I thought I would give you a little update to the portfolio. Just a quick post. Today I have done something that perhaps I should not have, but it felt right.
This afternoon I sold out of my positions with Boeing and Ford taking a loss on both. Not a big loss, around £30 across both positions.
Initially, the plan was to just hold and hope they recovered and reinstate the dividends. They no doubt both will at some point I am sure.
I figured it would be a while and decided to take a loss and sell out.
This leaves me with all but one dividend-paying stock now in my portfolio in the form of HSBC, this I do plan to keep. They for sure will bring their dividend payment back in time.
Firstly, Disney was sold at a profit even after they cut their dividend. Secondly, Disney will more than likely be added again when the dividend comes back.
Furthermore, the capital gained from selling off my 10 Ford shares and a tiny piece of a Boeing share has been reinvested into AT&T allowing me to buy another 3.5 shares.
Now my total shares with AT&T sits at 34.3 and just a couple of days before the ex-dividend date 9/7/20 as well.
After the withholding tax of 15% I should be getting a dividend payment of £12.08 on the payment date 3/8/20.
Perhaps I should have just held on. No doubt they would have recovered in time but I wanted to put that capital to work now and did not mind taking a small loss.
Knowing when to cut your losses
Would you have held on? To be honest, around 3 of the 10 Ford shares were Free Shares anyway so that made the decision a little easier.
Knowing when to cut your losses and when to hang on can be tough.
As the two position were only small, cutting my losses now felt right.
Anyway, I wanted to get that off my chest! Hopefully, you do not think any less of me…
Portfolio Current Value
Currently, my portfolio is sitting at £12,011
with a weighted dividend yield of exactly 3.61%
Giving me a dividend income of £435.68 a year or an average of £36.3 per month.
It would be great if by the end of the year my monthly average was at £50 although I think that may be pushing it. Got to aim high though right?
To help me track my dividend income I created a dividend tracking spreadsheet that you can grab here.
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None of the above should be used as financial advice, I am not a professional. Always do your own research.
Thanks,
Sean
In your position, I wouldn’t have sold, but that’s because I guess I don’t know when to cut my losses, haha! It’s far easier to sell when in a profit.
I have investments which are showing a loss of 80% but which I still hang on to as they continue to pay dividends (well they did until the recent Covid cut!).
Some I’ve topped up on as the prices have dropped but most I’ve just left, perhaps in the hope that they will recover in the future.
There’s no wrong or right strategy – best to just do what you’re comfortable doing and according to your own plan/strategy.
I no what you are saying. As they were only small positions though I just thought it better to sell them. Ford was purchased very on before doing any research. Based solely on the share price and dividend yield haha, so that was never going to be a long term position anyway.