Sunday, June 8, 2014

Monthly Update: May 2014

Portfolio Acitivities
$1,000 deposited into the Investing Account
Bought 18 shares PETM @ $55.85
Bought 40 shares PSEC @ $10.18
Bought 11.5494 shares AFSI @ $42.95
$350 deposited into Lending Club

Portfolio Income
     AAPL: $3.29
     POT: $10.85
     RKT: $3.50

     STX: $8.31     
     ARCP: $6.35
     PSEC: $7.51
     NDRO: $1.01

     WHZ: $30.49     
     BLV: $2.61
     JNK: $4.76
     PCY: $2.01
     Interest from Cash: $0.89
Lending Club
     Interest: $16.67
Rental Income
     Townhouse 1: $233

Lease signed: I have a renter who signed up this month. Pro-rated amount was $233. Next month I should be receiving $925 a month and I have a year lease. The husband is a dentist on a military base and the wife is no longer in the military. I shouldn't have any more deployments that move me renter away. That has happened twice now. They asked for a two year lease which is encouraging. I only went one year to start but I'd consider it next time.

1st Lending Club safety level hit: I am now estimating a forward monthly interest amount of $20. This is important because that's the size of 1 loan at the 10 month mark which is what my screen looks for. I can now have 1 default a month and not have it set back the entire account. The interest will pay for it. 
It also means that every month I will be having my profit buy me 1 additional note. Which is nicely timed because it looks like I am gonna get my first default.

Need to focus on rebalancing equities: As my current position size is $1,000 and I make my new purchases at that level, I look back and see my first couple investments are lagging. MDT, MCD, WMT are all $400. I'll be looking to add into those at a good valuation. 

Overall it was a great month and I'm happy with its activities. $98 in income (non rental as that goes entirely to pay for itself and isn't profit I don't count it).

Disclaimer: The investments and trades discussed are not recommendations for others. I am not a financial planner, financial adviser, accountant, or tax adviser. The financial actions I talk about are for my own portfolio and money and only suited for my own risk tolerance, strategy, and ideas. Copying another person's financial moves can lead to large losses. Each person needs to do their due diligence in researching and planning their own actions in the financial markets.


  1. Good post. Glad you found a new tenant. Is the rent lower then the previous tenant? The buy of PETM should do well as people love their pets and spend a lot of money on them.

    I have to add new positions or make some of my current ones larger. One of my stocks, Just Energy, just announced a dividend cut of 40 % and switching to a quarterly dividend after this month. Just Energy also sold a part of there business and you the profits from this to reduce their debt. Hopefully the company can get its finances in order. I am thinking about selling this position as it is considered high risk.

    1. Its $25 a month less. $925 vs $950 so hardly any difference.

      Just Energy... you know I can't say I am surprised at that. I looked at them a couple years go because they paid monthly but I didn't like their financials. Hope it works out for you and turns around. Looks like this is the second dividend cut.

  2. Looking good there Pully! I'm glad you found a tenant, must be a huge sigh of relief!

    1. It really is a relief. That was $950 a month of income I lost. Even though it wasn't profit that I received for investing or for fun... it covered $950 worth of bills a month that still have to be covered. To be honest, I wasn't sure what my investing deposits was going to be this month.

  3. Congrats on signing a new lease. Your income should be a lot higher next month :) I'm debating whether to continue investing in the frothy stock market or diversify my investments into real estate. I like the idea of passive income from a rental property like yours. But a townhouse in my city, Vancouver, costs about $600K on average, so I don't really have the money right now to buy one even if I wanted to. I supoose there's always the options to buy more REITs.

    1. A few things to consider that I didn't when I first started.

      1: Don't look at the full value of the house vs the full rent you get....
      Look at how much of your money you are going to put down vs the profit you are going to make.
      Then compare that to other forms of income.

      2: However much money you are putting as a down payment. Consider that a your portfolio for diversification purposes

    2. Thanks for the useful tips :) I'll keep them in mind.