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2021 Week 35 investing and trading report

August is done! Another best month investing and trading dividend growth stocks and options. This month turned up to be absolutely the best as far as Net-Liq growth. This month, our net liquidating value jumped up by a whopping $7,000 dollars! This week we lost -$48.00 in options premiums. It was because of options trades adjustments that we did closing some trades still in August and reopening them in September. But overall, we made $6,133.00 in options premiums in August. And the dividends were even better this month. We received $780.09 in August. The most we ever had. I am happy with the performance of our account. Let’s see how we will perform in September.

September started well too. So far, we have received $469.00 in premiums and $37.60 in dividends.
 

Here is our investing and trading report:

 

Account Value: $82,871.85 $1,598.38 +1.97%
Options trading results
Options Premiums Received: -$48.00    
01 January 2021 Options: $4,209.00 +16.65%  
02 February 2021 Options: $4,884.00 +15.41%  
03 March 2021 Options: $5,258.00 +12.79%  
04 April 2021 Options: $2,336.00 +4.30%  
05 May 2021 Options: $6,346.00 +9.22%  
06 June 2021 Options: $4,677.00 +6.37%  
07 July 2021 Options: $3,865.00 +5.14%  
08 August 2021 Options: $6,133.00 +7.40%  
09 September 2021 Options: $469.00 +0.57%  
Options Premiums YTD: $38,177.00 +46.07%  
Dividend income results
Dividends Received: $144.61    
01 January 2021 Dividends: $53.04    
02 February 2021 Dividends: $63.00    
03 March 2021 Dividends: $30.31    
04 April 2021 Dividends: $139.70    
05 May 2021 Dividends: $167.45    
06 June 2021 Dividends: $168.56    
07 July 2021 Dividends: $228.62    
08 August 2021 Dividends: $780.09    
09 September 2021 Dividends: $37.60    
Dividends YTD: $1,709.85    
Portfolio metrics
Portfolio Yield: 4.55%    
Portfolio Dividend Growth: 8.13%    
Ann. Div Income & YOC in 10 yrs: $19,580.50 18.02%  
Ann. Div Income & YOC in 20 yrs: $165,016.24 151.83%  
Ann. Div Income & YOC in 25 yrs: $760,348.15 699.60%  
Ann. Div Income & YOC in 30 yrs: $5,568,246.11 5,123.38%  
Portfolio Alpha: 39.10%    
Portfolio Weighted Beta: 0.66    
CAGR: 685.35%    
AROC: 46.72%    
TROC: 16.91%    
Our 2021 Goal
2021 Dividend Goal: $1,071.42 159.59% Accomplished
2021 Portfolio Value Goal: $42,344.06 195.71% Accomplished

 

Dividend Investing and Trading Report

 
Last week, we have received a $144.61 dividends income. We have enough stock holdings to generate a $4,421.90 annual dividend income.

Last week, our dividend income reached 159.59% of our dividend income goal. We projected to receive $1,071 in dividends in 2021. Our growth was fast and we have received $1,709.85.

Here are our stock holdings that contribute to our dividend income:

 
Annual Dividend Payout week 35
 

Options Investing and Trading Report

 
Last week, we rolled our trades against ABBV. The stock got unexpectedly hammered by an FDA announcement about the side effects of a drug manufactured by ABBV. Of course, the market overreacted as is typical, but we wanted to make sure the trade is always safe, so we rolled it down. We also took the opportunity and bought shares of ABBV.

We also rolled OXY strangle that was in the money. We tried to open a butterfly against AMZN but unfortunately, the stock moved too fast. It moved in our direction and the way we wanted, but too fast so we had to close that trade for a small loss.

We rolled AAPL trade as well, last week. And lastly, we opened a new TSLA put spread.

We plan all new and existing trades to expire worthless. We will roll them only if in danger or they become worthless with a lot of time left in them.
 

You can watch all our trades in this spreadsheet. You can watch the spreadsheet and look for a “NEW” indication next to the trading date. When the indicator shows up, it is typically good for up to 3 days to follow that trade.
 

Expected Future Dividend Income

 
As the table at the beginning of this report indicates, our aggressive dividend growth stocks accumulation is starting to show significant progress in our current and future dividends income. Our portfolio dividend yield and dividend growth will be bringing us almost $165,016.24 in 20 years and $5,568,246.11 in 30 years. I wish, I had that $5.5 million income now. But that is the fate of dividend growth investing. It is not a quick rich scheme and building an account takes time.

We will keep aggressively accumulating dividend growth stocks to generate liveable income sooner than in 20 years. And the portfolio is starting to show this to be happening. In just 10 years, we will start receiving $19,580.50 in today’s dollars. It is not bad considering that in March 2021 it was only $3,202.52 in projected future dividends.

 
Our projected annual dividend income in 10 years is $19,580.50 but that is if we do absolutely nothing and let our positions grow on their own.

We are also set to receive a $4,421.90 annual dividend income. We are 22.58% of our 10 year goal!

 
Future Divi on YOC week 35
 

The chart above shows how our future dividend income is based on the future yield on cost and what dividend income we may expect in the future. The expected dividend growth depends on what stocks we are adding to our portfolio and the stocks’ 3 years average dividend growth rate. It is interesting to see what passive income we may enjoy 10, 20, 25, or 30 years from now.

 

Market value of our holdings

 
Our non-adjusted stock holdings market value increased from $114,902.05 to $118,145.31.

It is nice to see how options help our stock holdings. Without trading options, our stock holdings would be up by $9,462.18 only. With options that offset our cost basis, our stock holdings are up by $20,454.18

As the markets and businesses continue growing, we expect the value of our holdings to grow even more. We are also building cash reserves to buy depressed stocks during selloffs and corrections as well as negative analysts reports (as long as the company is still good long term).

 
Stock holdings week 35
 

We are accumulating the dividend growth stocks (and some income-only stocks) not only to build a strong dividend income but also to create a “rental property” in our portfolio that can be monetized and generate additional income. This strategy will also provide safety for our strangles and cover our call side.

Our goal is to accumulate 100 shares of each stock of our interest and we are getting to that goal.
 

Investing and trading ROI

 

Our options trading delivered a 7.40% monthly ROI in August 2021, totaling a 46.07% ROI YTD. We exceeded our 45% annual revenue selling options against dividend stocks target!

Our account grew by 302.83% beating our projections and the market.
 

Our options trading averaged $4,241.89 per month this year. If this trend continues, we are on track to make $50,902.67 trading options in 2021. As of today, we have made $38,177.00 trading options. We are over halfway of the projected annual income.
 

Old SPX trades repair

 

This week, we didn’t adjust any SPX trades. Our goal is to reach a level that we will be eligible for portfolio margin (PM). Once that happens, we plan on converting the existing SPX Iron Condors to strangles and trade these positions as strangles.

With RegT margin, the capital requirements would be approx. $66,586.06 and that is beyond our means. With PM the requirement for margin would drop to around $10k. That is doable in our account. Once we reach this level, we will start adjusting our SPX trades accordingly. Until then, we will just roll these trades around.

 

Accumulating Growth Stocks

 

Last week, we didn’t buy any new growth stocks. We however decided to start accumulating 2x and 3x leveraged ETFs. We bought 10 shares of SSO and 2 shares of SPXL. We also placed a stop loss to protect our downside and hopefully, let these ETFs run-up. We plan on accumulating up to 20% of our entire portfolio in these ETFs. Then we will manage the position by trimming any exceeds and accumulating when we get below the desired target.

 

Accumulating Dividend Growth Stocks

 

Last week, we added 10 shares of ABBV taking the advantage of the stock’s selloff. And we added 10 shares of ICSH.

In the upcoming weeks, we will continue to accumulate the higher yield income stocks to boost our income and reinvest the proceeds but within our share purchasing plan for the rest of the year (see above section).

Our goal is to reach 100 shares of high-quality dividend stocks and build a weekly dividend income as per this calendar, but we have made no changes to this goal last week:
 

Weekly dividends income calendar
 
You can see the entire spreadsheet here.

 

Market Outlook

 

The S&P 500 is still in a strong uptrend but it is showing signs of a slowdown.

There is still no resistance for S&P500, so the sky is the limit. The support is at $4,407 and it is a weak buy this week.

I expect the market to reach $4,570 by the end of September but it may change.
 

SPX prediction next week

 

If you want to learn more about the stock market, events that moved the market last week and will likely impact it in the near future, I recommend you to subscribe to our weekly newsletter. Knowing where the market is heading and knowing when you should expect its reversal can benefit your trading and investing. Subscribe and you get one month free.

 

Investing and trading report in charts

 

Account Net-Liq

 

TW Account Net-Liq week 35

 

Account Stocks holding

 
TW Account holdings week 35
 

Our stock holdings still do not beat the market but I am positive that the growth will pick up and exceeds the market. We just need time and continue reinvesting the proceeds. S&P 500 grew 56.79% since we opened our portfolio while our portfolio grew 20.94% only. On YTD basis, the S&P 500 grew 26.94% and our portfolio 13.95%.

But the numbers above apply to our stock holdings in our account, not the overall account net-liq growth. Our overall account beats the market growing by 302.83%!
 

Stock holdings Growth YTD

 
TW Account holdings Growth YTD
 

I expect our stock holdings to start outperforming the market as they mature. However, these are just our stock holdings. The entire portfolio beats the market by far thanks to monetizing those positions.

Our goal is to grow this account to $1,000,000.00 value in ten years. We are in year two.

 

Investing and Trading Report – Options Monthly Income

 
TW Options Income week 35
 

Investing and Trading Report – Options Annual Income

 

TW Options Annual Income week 35
 

Our dividend goal and future dividends

 

TW Received vs Projected Dividends week 35
 

We have accomplished our dividend income goal. We planned to make $1,071 of dividend income this year and we finished receiving $1,709.85. However, we accumulated enough shares to start making $4,421.90 a year.
 

TW Received vs Future Dividends week 35

 

Our account cumulative return

 

The chart below indicates our cumulative adjusted return. It shows how the last week’s selloff shook down our returns but we are recovering along with the market.
 

TW cumulative return wk 35
 

TW win ratio wk 35
 

As of today, our account cumulative return is 44.42% (note, data in this section are since March 13, 2021, only as that is the date we started tracking these metrics. Thus the results are skewed a bit and will show full picture next year.).

 

Conclusion of our investing and trading report

 

This week our options trading was within our expectations and I believe, the rest of the month will be even better.

We will continue accumulating the dividend growth stocks in our portfolio to reach 100 shares and continue building our cash reserves so we have enough cash to sustain any market corrections and be able to buy depressed stocks.

We will report our next week’s results next Saturday. Until then, good luck and good trading!





2 responses to “2021 Week 35 investing and trading report”

  1. David says:

    Please send me updates

  2. Eric says:

    Hello,

    Found your website unexpectedly through reddit and looking forward to reading more!

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