Money Saver and Strategies

 

The February edition of the Canadian Money Saver magazine has the usual interesting content for a DIY investor such as myself.

Matt from dividendstrategy.ca has an update article in the issue about Beating the TSX 2023/2024.

The 10 top Canadian companies/banks in dividend yield on the TSX. I hold all except AQN, Algonquin Power.

My approach is different than what the strategy suggests. Rather than buying all in equal amounts at the start of the year, I buy through out the year where I don't have plans to sell at the end of the year, I hold long term and continue to hold stocks that were listed on the BTSX in previous years.

For 2023, BTSX had a total return including dividend of 7.77%. Considering it was a year of Banks, utilities and telecoms lagging mainly due to the high interest rate set by the Bank of Canada ... not too shabby.

Over the long term, the strategy works as charted in the article while there are dividend increases along the way from the stocks listed.

For ETF fans, the magazine starts out it's issues with the performance of it's Model ETF Portfolio with a list of 14 ETFs. Since I'm a long term guy ... there is an additional article in the magazine about how they work the ETFs ... 5% weighting for each unless some are outperforming for awhile. 

They started with $100,000 on October 2013 and time certainly flies with 10 years later and a gain of 101.38%, for a total of $201,375.48. Impressive. Annualised yield of 7.09% for 2023

Those are two approaches to building cash dividends of the many plans out there. Personally, I'm more interested in holding individual stocks with an increasing yield over the years with no fees that "most" ETF managers will charge. 

An example is Manulife Financial, MFC with a recent 9.6% dividend increase which kicks in this month, which was listed for 2023. 

I find the Canadian Money Saver a good addition to the Blogs I read on my sidebar and other investing sites. There are a range of topics in each issue.