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2022 Week 25 investing and trading report

Last week, our trading was not as successful as the week before. I still was battling with buying power issues and I had to close many trades early. I was closing them for a profit but smaller profit than expected and for debit. That debit lowered our options income by -$2,341.00. However, I could add a few more shares of dividend stocks to my portfolio, so overall, I consider last week a success.

I still keep struggling with buying power and overall margin. I still do not understand why I have such wild swings in the buying power when most of my risky trades are defined risk and I only have a few strangles now. Yet, my BP goes from $11k positive to $6k negative in a manner of minutes. Then, I receive a maintenance call, I adjust my trades, and my BP goes to $3k – $4k positive just to drop to negative $1k a few minutes or hours later. A total mess.

 
Cash - Net-Liq - BP 25
 

But I am surviving this and I hope, that when the market finally calms down, this will end. And I will also start building stronger cash reserves.

Our trading delivered -$2,341.00 premiums last week ending June 2022 at +$8,763.00 (+12.36%) options income. Our net-liq value increased by +8.81% last week to $70,904.92 value, and our overall account is down -32.24% YTD.
 

Here is our investing and trading report:

 

Account Value: $70,904.92 +$6,244.90 +8.81%
Options trading results
Options Premiums Received: -$2,341.00    
01 January 2022 Options: $8,885.00 +8.36%  
02 February 2022 Options: $10,009.00 +10.34%  
03 March 2022 Options: -$1,662.00 -1.47%  
04 April 2022 Options: $1,047.00 +1.19%  
05 May 2022 Options: +$8,604.00 +11.32%  
06 June 2022 Options: +$8,763.00 +12.36%  
Options Premiums YTD: $35,646.00 +50.27%  
Dividend income results
Dividends Received: $21.55    
01 January 2022 Dividends: $303.38    
02 February 2022 Dividends: $732.81    
03 March 2022 Dividends: $393.74    
04 April 2022 Dividends: $337.31    
05 May 2022 Dividends: $343.99    
06 June 2022 Dividends: $285.28    
Dividends YTD: $2,396.51    
Portfolio Equity
Portfolio Equity: $135,959.62 +$18,005.23 +15.26%
Portfolio metrics
Portfolio Yield: 5.74%    
Portfolio Dividend Growth: 11.75%    
Ann. Div Income & YOC in 10 yrs: $66,037.18 42.09%  
Ann. Div Income & YOC in 20 yrs: $2,734,484.09 1,742.75%  
Ann. Div Income & YOC in 25 yrs: $61,070,390.25 38,921.67%  
Ann. Div Income & YOC in 30 yrs: $4,978,126,709.660 3,172,683.33%  
Portfolio Alpha: 44.05%    
Sharpe Ratio: -17.85 BAD  
Portfolio Weighted Beta: 0.58    
CAGR: 348.18%    
AROC: 35.72%    
TROC: 15.26%    
Our 2022 Goal
2022 Dividend Goal: $4,800.00 49.93% In Progress
2022 Portfolio Value Goal: $151,638.03 46.76% In Progress
6-year Portfolio Value Goal: $175,000.00 40.52% In Progress
10-year Portfolio Value Goal: $1,000,000.00 7.09% In Progress

 

Dividend Investing and Trading Report

 
Last week we have received $21.55 in dividends bringing our June’s dividend income at $285.28. That is slightly below my expectations.


Last week, we bought these dividend growth stocks:

 
– 5 shares of TSCO @ $165.84
– 15 shares of GAIN @ $13.22

 
I wish I could buy more stocks, but my buying power is so depressed that I have to wait for my broker to start releasing the margin and my cash. It should start happening shortly.
 

Here is a chart of our account equity showing our accumulation goal and the value of all stocks in our account. It shows a nice upward-sloping chart as our equities grow. This is a result of our options trading and using premiums to buy dividend stocks:

 
Account Equity week 25
 

And here you can see the dividend income those equities pay us every year:

 
Annual Dividend Payout week 25

 

Growth stocks Investing and Trading Report

 


Last week, we bought the following growth stocks and funds:
 

  • 5 shares of ICSH @ $50.02
    I use ICSH as a cash equivalent. I built some reserves in the past but then I thought it was a waste of cash. So I liquidated some and invested it into other assets. And when this bear market hit, I suddenly became short on cash. A lesson learned. So I am now back to rebuild my cash reserves. I will be slowly reinvesting all options profits and dividends into the ICSH fund until I reach my required cash reserves.
  • 27 shares of SPXL @ $65.14
    I keep buying SPXL when it is significantly undervalued. My reason is that it should grow faster than the market when it finally reverses and goes up. And I will keep buying when the fund’s price is under my cost basis. I will stop buying when the price exceeds my cost basis, and when the gains reach 50%, I will start trimming the position.

  • 2 shares of SPY @ $375.23
    I will be also adding SPY shares until I reach 100 shares and then I will be selling covered calls. SPY would be a more passive investment.

 

Options Investing and Trading Report

 
Last week we rolled our strangle trades to keep our account safe. I also closed many trades for a profit but these still were debit trades.

However, these adjustments and closures delivered a loss of -$2,341.00 making our June options income +$8,763.00.

 

We were actively trading our SPX strategy that delivered $1,725.00 gain.

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

 
We have received $21.55 in dividends last week. Our portfolio currently yields 5.74% at $70,904.92 market value.

 
Our projected annual dividend income in 10 years is $66,037.18 but that projection is if we do absolutely nothing and let our positions grow on their own without adding new positions or reinvesting the dividends.

We are also set to receive a $5,986.76 annual dividend income ($498.90 monthly income). We are 9.07% of our 10 year goal of $66,037.18 dividend income.

 
Future Divi on YOC week 25
 

The chart above shows how our future dividend income is based on the future yield on cost and what dividend income we may expect. The expected dividend growth depends on what stocks we add 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 decreased from $117,954.39 to $135,959.62 last week.

In 2022 we plan on accumulating dividend stocks, monetizing these positions, HFEA strategy, and SPX trading. We plan on raising more of our holdings to 100 shares so we can start selling covered calls. We continued rebalancing our options trades that released buying power significantly. That allowed us to start repurchasing shares of our interest.

 
Stock holdings trading week 25
 

We aim to accumulate 100 shares of dividend growth stocks we like and then start selling covered calls or strangles around those positions. We also planned on reinvesting all dividends back into those holdings.
 

Investing and trading ROI

 

Our options trading delivered a +12.36% monthly ROI in June 2022, totaling a 50.27% ROI YTD. If our options income stays at this level by the end of the year, we will exceed our 45% annual revenue goal in selling options against dividend stocks.

However, due to the market selloff and reduction of value in our equity, our entire account is down -32.24%.
 

Our options trading averaged $5,941.00 per month this year. If this trend continues, we are on track to make $71,292.00 trading options in 2022. As of today, we have made $35,646.00 trading options.
 

Old SPX trades repair

 

We traded our SPX put credit spread strategy which you will be able to review in my next report. The SPX strategy held well so far, and our signals kept us from opening new aggressive trades.

 

Investing and trading report in charts

 

Account Net-Liq

 

TW Account trading Net-Liq week 25

Currently, our net-liq value looks horrible. The decline is not because of taking losses but because of stock value reduction and rolling some options trades. When we roll a trade, we are closing it for a loss. The new trade offsets that loss, but it doesn’t show up in my books until the trade ends (unrealized gain or loss).

 

Account Stocks holding

 
TW Account holdings week 25
 

Last week, S&P 500 grew 35.23% since we opened our portfolio while our portfolio grew 3.26%. On YTD basis, the S&P 500 fell -29.54% and our portfolio -26.52%. We are outperforming the market.

The numbers above apply to our stock holdings only. Our overall account net-liq is down by -32.24% this year.
 

Stock holdings Growth YTD

 
TW Account holdings Growth YTD
 

Our stock holdings are starting to outperform the market. Hopefully, this trend will stay, and we will be doing better than S&P 500 constantly.
 

Our 10-year goal is to grow this account to $1,000,000.00 value in ten years. We are in year two and we accomplished 7.09% of that goal.
 

Our 6-year goal is to reach $175,000 account value to be eligible for portfolio margin (PM) and today we accomplished 40.52% of that goal.
 

Our 2022 year goal is to grow this account to a $151,638.03 and today we accomplished 46.76% of this goal.

 

Investing and Trading Report – Options Monthly Income

 
TW Options Trading Income week 25
 

Investing and Trading Report – Options Annual Income

 

TW Options Annual Trading Income week 25
 

Our dividend goal and future dividends

 

TW Received vs Projected Dividends week 25
 

We plan to make $4,800.00 in dividend income in 2022. As of today, we received $2,396.51. This is in line with our projected dividend 2022 goal. We also accumulated enough shares to start making $5,986.76 a year.
 

TW Received vs Future Dividends week 25

 

Our account cumulative return

 

The chart below indicates our cumulative adjusted return since tracking this metric.
 

TW cumulative (overall) trading return wk 25
 

Here is the cumulative return for the year 2022:
 

TW cumulative (2022) trading return wk 25
 

Our win ratio overall:
 

TW trading win ratio (overall) wk 25
 

Our win ratio for 2022:
 

TW trading win ratio (2022) wk 25
 

As of today, our account overall cumulative return is -36.36% (note, data in this section are since March 13, 2021, only as that is the date we started tracking these metrics). Our 2022 cumulative return is -56.89%. That means we erased the entire 2021 revenue. That is a horrible result. But I am optimistic. As I mentioned above, the results are temporary as we are rolling our trades, and these rolls cause realized losses while we have open unrealized gains. Once the open trades end (when this horrible market finally calms down), the gains will offset the losses.

I have a favor to ask. If you like this report, please, hit the like like button button so I know that there is enough audience that like this content. Also, if there is something you want to know or you want me to change this report to a different format, let me know in the comments section.

 
 





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