On April 25th, I added 150 shares of TransAlta Renewables Inc. (TSE: RNW) to The Dividend Beginner’s portfolio. I purchased the shares at $12.32 with a trading cost of $6.95 for a total cost basis of $1, 854.95.
TransAlta Renewables Inc pays a monthly dividend of $0.0733 per share, which adds up to an annual dividend of $0.8796. My initial yield on cost works out to 7.14%.
TransAlta Renewables Inc. adds $132.00 to my annual dividend income, or $11 per month. RNW has increased their dividend consecutively for 2 years, since their IPO / split from TransAlta Inc (TSE: TA). They also have plans to increase the dividend by 6% to 7% in 2017/2018 with their South Hedland project coming online.
|Annual Dividend Income||$1,673.72||$132.00||$1,805.72|
|Monthly Dividend Income||$139.48||$11.00||$150.48|
Thanks to my investment in RNW, I’m very pleased to announce that my monthly dividend income has now surpassed $150 per month. My monthly dividend income goal for 2016 has been accomplished due to my incredibly aggressive investment record so far this year. I had no idea that my dividend income would grow so insanely quickly when 2016 started.
It had a lot to do with the stocks I chose: popular banks whose prices were hammered and resulting yields skyrocketed, as well as other monthly-paying high-yielding financial and energy companies. I put a lot of capital to work since the beginning of January 2016.
I also just recently closed a GIC I had set up before I started investing and now have access to another $5, 500 of capital that was previously locked up in a worthless 1.00% investment.