Weekly Newsletter   Challenge account   Weekly Newsletter   

September – December 2023 Investing and Trading Report

Four months are behind us, and they were successful. We had a rough time in September, but the markets started rallying again, and our investing and trading performed great. I made many changes to our trading and investing. The most significant change was to our accounts’ SPX trading and cash management. I was always fully invested in the past, and when the markets hit bear madness, I got struck. And I needed more reserves to navigate the rough waters of the markets. For example, my account drawback in 2020 was only +1.38% (growth), but in the 2022 year-long bear market, the drawback was over -20%. In 2020, I could navigate through it as I had enough cash. But I invested a lot in 2021 and struggled in 2020. I decided to change this and set new rules on creating reserves. I will write about the new modified strategy in my strategy page.

From September to December 2023, our options trading delivered $13,480.00 in premiums. But we failed to complete our 2023 goal. One reason was a consolidation of bad options trades that I had been dragging since the 2022 bear market. The new “Crumbs” strategy is helping to fix this issue.

During the same period, our dividend stocks brought in $2,862.15 in dividends. Despite some dividend cuts (like IEP or MPW) we accomplished our 2023 dividend goal.

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

Cash - Net-Liq - BP trading

Our options trading delivered $13,480.00 gains in the last four months. Our net-liq value increased by 10.62% to $80,016.71 value. Our account is up 28.53% YTD and -23.53% from when the bear market started in January 2022. So, there is still much work to be done.

Here is our investing and trading report:


Account Value: +$80,016.71 $8,513.55 10.62%
Options trading results
Options Premiums Received: +$13,480.00
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%
06 June 2023 Options: +$3,116.00 +4.05%
07 July 2023 Options: +$4,484.00 +5.36%
08 August 2023 Options: +$3,498.00 +4.88%
09 September 2023 Options: +$2,573.00 +4.28%
10 October 2023 Options: +$1,930.00 +3.18%
11 November 2023 Options: +$8,915.00 +12.11%
12 December 2023 Options: +$20.00 +0.02%
Options Premiums YTD: +$51,026.00 +63.77%
Dividend income results
Dividends Received: +$2,862.15
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
06 June 2023 Dividends: +$848.65
07 July 2023 Dividends: +$478.37
08 August 2023 Dividends: +$795.50
09 September 2023 Dividends: +$723.17
10 October 2023 Dividends: +$475.23
11 November 2023 Dividends: +$762.72
12 December 2023 Dividends: +$487.28
Dividends YTD: +$7,748.44
Portfolio Equity
Portfolio Equity: $241,807.20 +$30,536.50 +14.45%
Portfolio metrics
Portfolio Yield: 6.16%
Portfolio Dividend Growth: 15.83%
Ann. Div Income & YOC in 10 yrs: $197,789.68 84.23%
Ann. Div Income & YOC in 20 yrs: $67,103,467.57 29,280.86%
Ann. Div Income & YOC in 25 yrs: $15,902,258,552.76 6,939,013.72%
Ann. Div Income & YOC in 30 yrs: $47,487,274,419,469.70 20,721,260,913.63%
Portfolio Alpha: 58.02%
Sharpe Ratio: 4.87 EXCELLENT
Portfolio Weighted Beta: 0.47
CAGR: 185.66%
AROC: 66.25%
TROC: 4085.65%
Our 2023 Goal
2023 Dividend Goal: $8,000.00 102.03% Accomplished
2023 Options Income Goal: $70,000 72.89% Failed
2023 Portfolio Value Goal: $96,532.51 83.01% Failed
6-year Portfolio Value Goal: $175,000.00 45.79% In Progress
10-year Portfolio Value Goal: $1,000,000.00 8.01% In Progress


Dividend Investing and Trading Report


In the last four month we have received $2,862.15 in dividends bringing our dividend income at $8,162.19.

In the last four months, we bought these dividend growth stocks:

– 20 shares of MLPR @ $48.95
We are building up the position of a high-yield stock. MLPR is a leveraged ETF measuring the performance of energy MLPs, currently yielding 9.75%. The ETF is not optionable.

– 20 shares of OHI @ $30.96
We owned 180 shares. Adding 20 new shares rounded our position to 200 shares. We also opened a new covered call against the new set.

– 10 shares of MCD @ $286.24
We only owned one share. It was a placeholder, a reminder to accumulate this stock, but we still need to do that. This purchase increased our position to 11 shares. We plan on accumulating until we reach 100 shares.

– 200 shares of MPW @ $4.86
We now own 400 shares of MPW, and we are selling covered calls against the position. Investors are bashing the stock and predicting its demise, but this stock will recover and perform well soon. As its clients (hospitals) crashed during the COVID-19 mess and started recovering (and many already did), MPW will improve, too.

– 90 shares of O @ $49.23
We now owned 110 shares. This addition increased our holding to 200 shares. I have a fair value of $52 a share, so any purchase below that price is a steal. I plan on adding more shares under the $52 price. I also added a new covered call.

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

Trading Account Equity 7

Our account almost recovered our pre-bear market equity value. Our net-liq is down due to open options still being underwater. But I am optimistic about 2024, and this will improve next year, too.

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

Annual Dividend Payout in trading account


Growth stocks Investing and Trading Report


In the last four months, we bought the following growth stocks and funds:

  • 29 shares of ICSH @ $50.35
    This fund is our cash parking ETF. So we were selling it when our buying power went down. Once the BP starts going up again, we will re-park our cash. Our goal, however, will be to increase holding in this fund to cover our options trades (to match the risk in options).
  • 95 shares of SGOV @ $100.41
    This fund is our second cash parking ETF. We will not sell this fund ever. We aim to raise our net-liq to $175,000 to apply for portfolio margin (PM). This fund will hold the net-liq value above the minimum requirement for PM, so it will not get suspended if it drops below. That would be catastrophic.


Options Investing and Trading Report


In the last four months of 2023, our options trading delivered a gain of $13,480.00.


Expected Future Dividend Income


We received $2,862.15 in dividends in the last four months. Our portfolio currently yields 6.21% at $80,016.71 market value. I am happy with this progress as I am nearing $1,000 monthly in dividend income. As of today, our projected monthly dividend income is $763.83 (the real income is $680.18, but that is because our new holdings still need to pay the dividend). Note that these numbers are averages. One month, we get less; another month, we get more income.

Our projected annual dividend income in 10 years is $206,900.71. However, that projection is if we do nothing and let our positions grow without adding new positions or reinvesting the dividends.

We are also set to receive a $9,165.96 annual dividend income ($763.83 monthly income). We are 4.43% of our 10 year goal of $206,900.71 dividend income.

Future Divi on YOC 08

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 increased from $211,270.70 to $241,959.11 in the last four months.

In 2023, we planned on accumulating dividend stocks, monetizing these positions, using the HFEA strategy, and using SPX trading. We plan to raise more of our holdings to 100 shares to sell covered calls. We continued rebalancing our options trades and released buying power significantly. That allowed us to start repurchasing shares of our interest.

Stock holdings trading

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 4.99% average monthly ROI in September to December 2023, totaling a 63.77% ROI YTD. We exceeded our 45% annual revenue goal in selling options against dividend stocks.

Our entire account’s net-liq is still down -23.53% from when the bear market started. However, in 2023, our account is up 28.53% YTD. Our goal for 2024 will be mostly to accumulate cash.

Our trading averaged $4,252.17 per month this year. If this trend continues, we will make $51,026.00 in trading options in 2023. As of today, we have made $51,026.00 in trading options. The income from options selling is below our projected goal. Next year we will strive for a better performance.


Investing and trading report in charts


Account Net-Liq


TW Account trading Net-Liq 7

The chart indicates how choppy the market and our account were last year. However, I expect the next year to improve (unless we hit a recession).


Account Stocks holding


TW Account holdings 7

In the last four months, S&P 500 grew 64.36% since we opened our portfolio while our portfolio grew 44.93%. On YTD basis, the S&P 500 grew 31.63% and our portfolio 35.45%. We are beating the market by +3.82%.

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 slightly outperforming the market. Hopefully, this trend will improve, and we will do better than S&P 500. However, our portfolio has performed better in bear markets so far. In 2022, we outperformed the S&P 500 by 11.73% (it lost less than the market).

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 8.01% of that goal.

Our 6-year goal is to reach a $175,000 account value to be eligible for portfolio margin (PM), and today (in year two of this goal), we accomplished 45.79% of that goal.

Our 2023 year goal is to grow this account to a $96,532.51, and today we accomplished 83.01% of this goal. Unfortunately, we failed to achieve the 2023 account value goal.


Investing and Trading Report – Options Monthly Income


TW Options Trading Income

Investing and Trading Report – Options Annual Income


TW Options Annual Trading Income


Our dividend goal and future dividends


TW Received vs Projected Dividends

We planned to make $8,000.00 in dividend income in 2023. As of today, we received $7,748.44. We also accumulated enough shares to start making $9,238.09 a year. Our monthly projected dividend income is $769.84, and our current monthly dividend income is $645.70.

TW Received vs Future monthly Dividends


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 you want to know something or want me to change this report to a different format, let me know in the comments section.


Leave a Reply

Your email address will not be published. Required fields are marked *