Our primary goal in our portfolio is to accumulate dividend growth stocks. Our secondary goal is to trade options around those stocks to generate income and reinvest that income to accumulate even more dividend growth stocks.
To find a proper strategy that would get me to my goal, I needed to answer a simple question: How to invest to achieve my goal? How to achieve a large enough income that can buy more stocks that would generate even more income? The answer was dividend growth stocks.
I was not satisfied with just dividends. An income from dividends is small and grows slowly. At least, at the beginning of the accumulation phase. So, I added an options strategy to generate even more income selling options and collecting premiums. But I wanted more. So, I started looking for speculative but safe high yielding dividend stocks (mostly ETFs and closed-end funds “CEF”). These stocks, unlike the dividend growth stocks, can be bought, but also sold out from our portfolio. The dividend growth stocks are the only stocks we plan to hold forever (unless they cut the dividend due to insufficient earnings or free cash flow).
Dividend growth stocks to accumulate in May 2021
Ticker | Name | Today’s Price |
Estimated Annual Dividend |
Estimated Yield |
Accumulated |
AFL | Aflac | 56.18 | 1.32 | 2.38% | 100.0% |
OMF | OneMain Holdings | 56.00 | 7.43 | 13.38% | 75.0% |
APAM | Artisan Partners | 56.35 | 3.35 | 6.16% | 0.0% |
ASG | Liberty All-Star | 9.08 | 0.72 | 7.96% | 100.0% |
QYLD | Global X NASDAQ Cov Calls | 22.33 | 0.72 | 11.73% | 100.0% |
CHI | Calamos Convertible Opps | 15.03 | 1.14 | 7.62% | 100.0% |
CSQ | Calamos Total Return | 18.00 | 1.23 | 6.85% | 0.0% |
NEWT | Newtek Business Services | 27.91 | 2.11 | 7.42% | 0.0% |
ADC | Agree Realty Corporation | 69.85 | 2.60 | 3.74% | 0.0% |
STAG | STAG Industrial | 35.80 | 1.45 | 4.15% | 0.0% |
MAIN | Main Street Capital Corporation | 41.58 | 2.46 | 5.85% | 0.0% |
O | Realty Income Corporation | 67.55 | 2.82 | 4.20% | 100.0% |
RYLD | Global X Russell 2000 Cov Call | 24.84 | 2.88 | 10.58% | 0.0% |
ABBV | AbbVie Inc. | 116.08 | 5.20 | 4.49% | 40.0% |
AES | The AES Corporation | 25.45 | 0.60 | 2.27% | 100.0% |
AAPL | Apple Inc. | 129.74 | 0.88 | 0.69% | 20.0% |
EVN * | Eaton Vance Muni Income | 13.96 | 0.57 | 4.11% | 0.0% |
PMX * | PIMCO Muni Income | 12.54 | 0.55 | 4.40% | 100.0% |
EIM * | Eaton Vance Muni Bond | 13.57 | 0.60 | 4.40% | 0.0% |
FLMN | Falcon Minerals Corporation | 4.98 | 0.20 | 4.16% | 0.0% |
NEV * | Nuveen Enhanced Muni | 16.29 | 0.73 | 4.49% | 0.0% |
(Prices and yields as of May 6th, 2021)
* Dividends are exempt from federal income tax
Do your own due diligence if you decide to invest in these stocks. The information here is believed to be accurate but may have changed since publishing.
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