Monthly Update January 2021

Firstly, Happy New Year folks! It has been an absolutely crazy start to the year, hence why I’m only posting about January and February in the middle of March! I toyed with the idea of just doing a Q1 update, but as I have a tiny bit of free time I thought I may as well post.

Work Work Work

I can safely say, that the start of 2021 has been the most challenging I have ever faced from a professional perspective. As someone who’s day job was heavily impacted by Brexit (positively!), I have found myself working 60 hour weeks since early January. I know to some of you this is the norm, but 12 hour days are new to me! Thankfully, the workload is slowly receding so I should get back to some sort of normal posting schedule over the next few months. From a financial point of view, the increase in workload will correspond to a significant increase in income over the next year or so, so every cloud and all that.

Overview

If you aren’t familiar with the Income Portfolio, check it out before you read on. This series is primarily focused on monthly portfolio updates.

As I mentioned in the December update, I had a nice increase in salary that kicked in in January. Although I had planned on putting two-thirds of the money directly into my pension, this hasn’t been the case yet. With the Covid lockdown, building on our house has been paused until April. With that delay, there is a possibility that we will have to re-apply for a mortgage so until that process is complete the pension contributions will be staying as they were before the raise.

Crunching the Numbers

January

Savings: €1,200 saved.

Pension: €562.50 contributed. Half by my employer, half by me. My contributions cost me €168.75 in after-tax income.

Income Portfolio: $370.01 contributed in January. Figures for the income portfolio will be stated in USD as that is the primary currency the stocks are denominated in. Currency risk will play a role in the returns for this portfolio but as we know from our risk post, that can work both ways.

Passive Income: In January I added an estimated $12.74 in future yearly dividends.

February

Savings: €1,200 saved.

Pension: €562.50 contributed. Half by my employer, half by me. My contributions cost me €168.75 in after-tax income.

Income Portfolio: $295.03 contributed in February.

Passive Income: In February I added an estimated $8.11 in future yearly dividends.

The amount added to the portfolio and the passive income was lower in February than usual. This was due to the act that my limit order on CSCO was never filled. The money from that rolled over into March’s contribution.

The Income Portfolio Returns

As a benchmark, the S&P 500 returned -1.11% in January and 2.61% in February. The Income Portfolio returned 1.34% in January and 4.01% in February. After Decembers under-performance, it was nice to get back on track.

Dividends Received: 

  • KBAL –$0.24 received.
  • STLD – $0.41 received.
  • CSCO– $0.93 received.
  • MSM – $1.92 received.

Total Dividends Received = $3.50

Stocks Added in January/February

There were no new stocks added to the portfolio in January, but I did add to my positions in HVTCSCOJNPRKBAL and MSM.

The only new position that opened in February was CRWS. I also added to JNPRGNE and NC.

CRWS – Crown Crafts Inc. 

  • Number of Shares – 10
  • Purchase Price – $7.64
  • Dividend Yield at Purchase – 4.19%
  • Closing Price – $7.63
  • Return – -0.13%

As I mentioned earlier, I also had a CSCO order that did not get filled. For an up to date and more complete picture of the portfolio, you can view it here.

March Stock List

All of the below stocks are on my list to purchase in January. I have added €300 to the account for the month.

  • CSCO
  • GNE
  • NEM
  • RIO
  • CRWS
  • NC
  • PFE

Some of the above do not yet feature in the portfolio, so March should see some new additions to the portfolio.

Although investing, in general, has not had as much of my attention as it usually would, the performance for January and February was relatively solid.

As always, this post is not a recommendation to buy the above list of stocks. It is for informational purposes only. Before investing your hard-earned money, make sure you do your research.

The Stoic Trader

Posted in Income Portfolio, Monthly Updates and tagged , , , , .
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