August was a particularly slow month for the stock market. I did see a relatively large pull back on a few of my top holdings. I'm really not to worried about it thought since I have faith in all my investments dividend growth history and historical track records for achieving results.
Although, investment growth is not a major focus of the independence fund right now, it doesn't hurt to generate a bit of a buffer between money I have invested so far and what I have earned out of pure stock price growth. The main goal of the independence Fund is to someday live off of the dividends my account will provide me with.
The whole goal is that I invest as much of my capital into companies that have the potential to grow their dividend from their current level and to also maintain those dividend payouts and growth for years to come.
I'm really trying to diversify my holdings right now and to dip my feet a bit into many major sectors in the market to insure better security within my holdings. This way if the market does fluctuate at all I will have a well diversified portfolio that should adjust to market changes and still provide me with the dividends and security I seek for my holdings.
I follow a lot of other dividend websites and the number one thing I always notice is the amount of holdings I see these bloggers have is just insane. I have seen some bloggers with a range of 50-100k in holdings spread between 60-70 companies which absolutely blows my mind. It makes it almost impossible to really track and keep unto date on all of the companies happenings. I would really like to get to 10 company holdings this year and focus on growing my position withing the companies I have already purchased into for good reasons. Maybe by next year I will try to diversify a bit more and grow my holdings from 10 to maybe 20 companies. I will keep track of my watch lists and purchase into companies when I see opportunities arise within companies with solid potential to grow dividend's for years to come.
Independence Fund Historical Value
My account portfolio had an amazing increase over July by a whopping 19.7%!!! I'm super happy about this number! I hope I can continue to put as much in as I have been doing recently! I expect to make two stock purchases this month but i'm waiting for just the right time to buy in! I have a few companies on my watch list that I'm looking at adding to my position. I'm trying to keep my dividend yield above 3.5% for my whole portfolio so I will be choosing my next few investments wisely to keep it weighted as such.
I also Just Received a great amount of Dividends from F and WFC today which I will have to Include In my September Independence Fund post.
Historically. September is not a stellar month for stock performance. However, I will be receiving my dividends from XOM and WMT this month which will be a nice added bonus to the Independence Fund.
I'm really focusing on my end of the year goal to hit a total value of $20k in the independence fund with an annual income of dividends of $800. My original goal was to hit $1,000 this year But I'm afraid I will most likely fall short on that one. Although I do like setting the bar high, at my current portfolio yield I would need to have $26k In my account by years end. At my current, and only way to save money, I will not be able to hit this number. I'm celebrating my wins with what I have been able to achieve in just 8 months time though!
Once I hit $720 In annual dividend Income I will no longer have a water bill that I will have to worry about paying! I'm slowly going to be able to substitute my basic needs In life with dividend income. This is just one step closer to becoming Financially Independent!
All In all, I'm super excited to be going on this journey in life and I hope I can inspire and educate a few people along the way!
Long all Aforementioned stocks
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