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May 2023 Investing and Trading Report

Another month is over and it was a successful month to our investing and trading. We finished options trading on a positive note (added $6,942 of premiums income) but we also added new shares to our portfolio and started consolidating it (finally, we started creating cash reserves which were depleted during 2022 bear market). Our dividend income was also positive as we added $590 in dividends last month.

Our cash to buying power dropped a bit as we continued reinvesting our proceeds:

Cash - Net-Liq - BP 04

Our options trading delivered $6,942.00 gain last month (9.85%). Our net-liq value decreased by -1.86% to $70,463.53 value. Our overall account is up 13.18% YTD and -32.66% from when the bear market started in January 2022.

Here is our investing and trading report:


Account Value: $70,463.53 -$1,307.80 -1.86%
Options trading results
Options Premiums Received: +$6,942.00
01 January 2023 Options: +$1,466.00 +1.97%
02 February 2023 Options: $2,754.00 +10.34%
03 March 2023 Options: -$1,462.00 -2.05%
04 April 2023 Options: +$16,410.00 +8.54%
05 May 2023 Options: +$6,942.00 +9.85%
Options Premiums YTD: +$26,110.00 +37.05%
Dividend income results
Dividends Received: +$590.19
01 January 2023 Dividends: +$407.13
02 February 2023 Dividends: +$731.21
03 March 2023 Dividends: +$482.14
04 April 2023 Dividends: +$820.22
05 May 2023 Dividends: +$590.19
Dividends YTD: +$3,030.89
Portfolio Equity
Portfolio Equity: $188,305.99 -$23,819.77 -11.23%
Portfolio metrics
Portfolio Yield: 6.34%
Portfolio Dividend Growth: 22.13%
Ann. Div Income & YOC in 10 yrs: $465,525.66 224.40%
Ann. Div Income & YOC in 20 yrs: $10,815,335,024.59 5,213,446.16%
Ann. Div Income & YOC in 25 yrs: $265,366,868,002,064.00 127,917,986,322.26%
Ann. Div Income & YOC in 30 yrs: $552,070,981,810,733,000,000.00 266,121,422,134,862,000.00%
Portfolio Alpha: 30.95%
Sharpe Ratio: 7.13 EXCELLENT
Portfolio Weighted Beta: 0.56
CAGR: 218.83%
AROC: 38.05%
TROC: 2.12%
Our 2023 Goal
2023 Dividend Goal: $8,000.00 37.89% In Progress
2023 Options Income Goal: $70,000 37.30% In Progress
2023 Portfolio Value Goal: $96,532.51 72.99% In Progress
6-year Portfolio Value Goal: $175,000.00 40.26% In Progress
10-year Portfolio Value Goal: $1,000,000.00 7.05% In Progress


Dividend Investing and Trading Report


In May 2023 we have received $590.19 in dividends bringing our dividend income at $3,030.89.

Last month, we bought these dividend growth stocks:

– 20 shares of IEP @ $47.35
As IEP continued sharply lower we started adding shares of this fund to our portfolio.

– 20 shares of IEP @ $32.15
We added more shares of IEP.

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 March 2023

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

Annual Dividend Payout March 2023


Growth stocks Investing and Trading Report


In May 2023, we purchased no growth stocks.


However, we sold a TMUS covered call at 155 strike price. I forgot to roll it when it got in the money at expiration and our shares were called away at 155 a share. I was mad at first but when I saw the stock falling the following week I was actually happy that the stock was called away from me. I bought shares at $130 average cost and sold at $155. Now the stock is below my original cost and in June, I started buying the shares back.


Options Investing and Trading Report


In May 2023, our options trading delivered a gain of $6,942.00.


Expected Future Dividend Income


We received $590.19 in dividends last month. Our portfolio currently yields 6.34% at $70,463.53 market value.

Our projected annual dividend income in 10 years is $465,525.66, but that projection is if we do absolutely nothing and let our positions grow without adding new positions or reinvesting the dividends.

We are also set to receive a $7,801.56 annual dividend income ($650.13 monthly income). We are 1.68% of our 10 year goal of $465,525.66 dividend income.

Future Divi on YOC 02

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 $212,125.76 to $188,305.99 last month.

In 2023 we planned on accumulating dividend stocks, monetizing these positions, HFEA strategy, and SPX trading. We plan to raise more of our holdings to 100 shares to sell 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 03

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 9.85% monthly ROI in May 2023, totaling a 37.05% ROI YTD. We plan to exceed our 45% annual revenue goal in selling options against dividend stocks.

Our entire account is still down -32.66% from when the bear market started. However, in 2023 our account is up 13.18% YTD.

Our trading averaged $5,222.00 per month this year. If this trend continues, we will make $62,664.00 in trading options in 2023. As of today, we have made $26,110.00 in trading options. This is below our projected goal. Based on the goal, we should average $5,834 options income per month. But I hope, as the year progresses, we can increase options income to our goal.


Investing and trading report in charts


Account Net-Liq


TW Account trading Net-Liq 04

The drawdown of our account is highly discouraging, but it started improving. I am not selling any stock positions, and I will be buying back those I sold to release our Buying Power. On top of that, I will be buying more dividend-paying shares as much as possible.


Account Stocks holding


TW Account holdings 04

Last month, S&P 500 grew 45.38% since we opened our portfolio while our portfolio grew 13.80%. On YTD basis, the S&P 500 grew 12.65% and our portfolio 4.32%. We are underperforming market.

The numbers above apply to our stock holdings adjusted by options premiums.


Stock holdings Growth YTD


TW Account holdings Growth YTD

Our stock holdings are underperforming the market. Hopefully, this trend will improve, and we will do better than S&P 500.

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 7.05% 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 40.26% of that goal.

Our 2023 year goal is to grow this account to a $96,532.51, and today we accomplished 72.99% of this goal.


Investing and Trading Report – Options Monthly Income


TW Options Trading Income 02

Investing and Trading Report – Options Annual Income


TW Options Annual Trading Income 03


Our dividend goal and future dividends


TW Received vs Projected Dividends 03

We planned to make $8,000.00 in dividend income in 2023. As of today, we received $3,030.89. We also accumulated enough shares to start making $7,801.56 a year. Our monthly projected dividend income is $650.13, and our current monthly dividend income is $252.57.

TW Received vs Future monthly Dividends 03


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