Dividend growth investors, you don’t have to wait any longer to find great dividend growth stocks; The Dividend Guy Blog along with my fellow bloggers are launching the Dividend Growth Index next week!
What’s the Dividend Growth Index?
I was looking create a group project with other dividend bloggers but didn’t want to post a stock picking contest. The purpose of dividend investing is to hold your stock long enough to benefit from the power of dividend growth. Therefore, hosting an annual stock contest didn’t make much sense to me.
This is why I came up with the idea of gathering a bunch of dividend bloggers together and ask them about their favorite stocks. Each blogger picked 3 stocks that they like or presently hold. With all the stocks, we have created a portfolio; The Dividend Growth Index.
We will follow the dividend growth index on a quarterly basis by presenting the overall portfolio and each blogger will comment on their 3 stocks. They will follow the companies’ financial performance along with stock value and dividend yield, payout, etc. Therefore, by following any of the participants, you will get the big picture of the index and by reading each of our posts, you will be able to follow each stocks more closely.
Dividend Growth Index Rules
We start the Dividend Growth Index with stock prices on September 23rd, 2011 and will update our performance on a quarterly basis (September 30th, December 31st, March 31st and June 30th). We will have a “virtual cash account” where our dividends will be reinvested. Once a year, each blogger will make the decision to reinvest those dividends into one of their 3 stocks. We do not take into consideration transaction costs, inflation or taxes. It makes it easier to follow and leaves less open to interpretation.
Who’s part of this project?
I’m very proud of the crowd I was able to gather around this project. Each blogger is an experienced investor and has some great dividend posts under their belt. So here we go!
An experienced investor since 2006 and blogger since 2010, The Dividend Monk sees himself as “a minimalist with a sharp focus to build wealth with a responsible, long-term view. He views money as a valuable resource, and resources can help you achieve your goals and increase your options in life, whatever they may be.”
A frugal and well disciplined investor (he saves up to 50% of his income!). Dividend Mantra started his blog this year. He is relatively new to dividend investing but surely puts a lot of effort into it!
Before I even started to read his first post, Dividend Ninja caught my attention by his cool name. He “converted” to dividend investing after the crash of 2008 and then left the world of mutual funds to the much better world of dividend growth.
Jason, aka The Wealthy Canadian authors this new blog since July 2011 but he is no rookie blogger. And he is not new to investing either. The Wealthy Canadian certainly deserves a read and I’m sure you’ll head to his blog if I tell you that this guy is semi-retired at the age of… 33!
The Passive Income Earner is another very solid dividend investing blog. This blog has grown significantly in 2011 and I wouldn’t be surprised to see his name in the newspapers shortly ;-).
The last but not the least, Mark was once called “financial cents”. My Own Advisor has been running since 2009 and covers dividend and index investing. Another great resource for dividend investors!
And myself; The Dividend Guy Blog!
I guess you know me already so I don’t have to introduce myself ;-). If you are new to this blog, I strongly suggest that you take a look at my Free Dividend Investing eBook and sign-up for my free newsletter ;-).
The Dividend Growth Index:
So here’s the Dividend Growth Index! As you can see, the portfolio is well diversified between US and Canadian markets. We also tried to pick stocks in different sectors.
Name Company Name Ticker Starting Price Dividend Yield
My Own Advisor Abbott Labs ABT-US $50.76 3.80%
ScotiaBank BNS-T $50.73 4.20%
CML Healthcare CLC-T $9.20 8.40%
The Dividend Guy Blog Intel INTC-US $22.16 3.80%
Coca-Cola KO-US $67.42 2.80%
National Bank NA-T $66.98 4.20%
The Dividend Monk Energy Transfer Equity ETE-US $36.09 6.30%
Novartis NVS-US $53.73 4.00%
Wal-Mart WMT-US $50.80 2.90%
Dividend Ninja Husky Energy HSE-T $22.26 5.50%
PepsiCo PEP-US $60.34 3.40%
Staples SPLS-Q $13.22 3.00%
Passive Income Earner Canadian National Railway CNR-T $67.34 2.00%
Canadian National Resources CNQ-T $30.23 1.20%
Aflac AFL-US $31.46 3.80%
Wealthy Canadian Royal Bank RY-T $46.09 4.80%
Daylight Energy DAY-T $5.76 10.60%
Progressive Waste Solutions BIN-T $21.68 2.40%
Dividend Mantra ConocoPhillips COP-US $62.51 4.20%
Philip Moris International PM-US $63.81 4.80%
Procter & Gamble PG-US $61.25 3.40%
Avg Dividend Yield 4.26%
Next Monday, I’ll comment on my 3 stock picks, tell you why I picked them and I’ll provide additional information on their most recent financial results. It should be pretty interesting to follow the index over time!
What do you think of the Dividend Growth Index? Do you own any shares of these stocks already? Do you have any questions regarding our stocks?
disclaimer; I own shares in NA, BNS, KO, INTC, HSE,