Dividend Magic

Saving and Investing towards Financial Independence in Malaysia

Dividend income

Tiger Brokers Review

By
Filed Under: Dividends, FI/RE, Financial Independence, Investment, Investment Portfolio, Sponsored, US Stocks 2

I have had an account with Tiger Brokers since 2020 but have yet to utilise it apart from trying out their interface and depositing a small amount in there.

If you are looking to trade international stocks and have yet to open an account with Tiger Brokers, you will be glad to know that there are huge perks to opening an account now.

Tiger Brokers Account Opening Referral and Promotion

Account Opening Rewards

  • 1 unit of Grab share
  • Unlimited commission-free trades for HK, SG, and China A-Shares for 365 days.
  • Unlimited commission-free trades for US stocks for 180 days. 

Account Funding Reward (Initial Deposit of SGD1,000 or more + execute 5 BUY trades)

  • SGD88 cash

The full T&C can be viewed hERE. The promotion lasts till 12 October 2022.

Why Tiger Brokers?

Fees

First off, as always, fees. Tiger Brokers’ zero-commission trading is huge and beats many other international brokers.

Now, zero commissions do not mean that trading of US shares is totally free because there is, of course, a platform fee of USD0.005 per share or a minimum of USD1 per trade. It is a fee, but it is cheaper in comparison to many other brokers. So, keep that in mind.

As I’ve mentioned many times, fees are important because they eat their way into your investment and you’ll find yourself paying a lot more than 1% at the end of day, say, 20 years.

You may think a 0.1% or a 1% fee is of no significance but with the compounding nature of long-term investing, we, as average investors, are looking at hundreds of thousands to millions of dollars in our investments at the end of the day.

Regulation and Protection

Tiger Brokers (Singapore) Pte Ltd is regulated by the Monetary Authority of Singapore (MAS).

Elsewhere, they’re also regulated by the SEC in the US, ASIC in Australia and HKSFC in Hong Kong. They’re compliant in all the countries they operate in so they’re safe. Apart from that, customer funds are held in a segregated trust account with DBS Bank Ltd. Custodian of investors’ shares is with the Central Depository (CDP) as well as overseas brokers.

Another important safety factor is that Tiger Brokers is listed on NASDAQ and under the ticker TIGR. This, in my book, adds credibility to Tiger Brokers as a brokerage platform. Their books and reports are easily accessible should you feel the need to refer to them as well.

Rewards

There’s a built-in rewards system for users of Tiger Brokers – Tiger Coins. By completing certain tasks (which aren’t all that hard) you’ll be credited with Tiger Coins which can be used to redeem rewards such as commission-free trades.

Account Opening and Registration

So, you’ve decided to open an account. Two types of accounts are available at Tiger Brokers – Margin and Cash Upfront. I’ll always recommend a cash upfront account to start with. If you’ve been trading and investing for a long time and are confident in your abilities, you can always move up and open a margin account.

Link to register hERE.

Funding Your Tiger Brokers Account

The are many ways to move your funds to Tiger brokers but the best I’ve found and that’ll save you fees in the future is this: You’ll have to open a bank account in Singapore. Basically, you transfer your monies to an SG bank account (you can use services like Transferwise etc to save on fees) and then from there into your Tiger Broker’s account.

Another transfer method to note is to use Wise which is integrated directly into the Tiger Trade APP, as part of a collaboration with Tiger Brokers. This method is fast and easy once it is set up. More info can be found here: https://www.tigerbrokers.com.sg/help/detail/87168024.

What I’ll be Using

Because of Tiger Broker’s low fee structure, I’ll be looking to add a ton of long-term international stocks here. Especially US shares.

Love the rewards I get from trading as well in the form of Tiger Coins.

End.

Account opening rewards are looking good and you get rewards as you trade and invest.

If you’ve yet to sign up and want to, use the registration link hERE. Check out the full details of the promotion hERE.

This post is sponsored by Tiger Brokers.

Dividend Income Update 2021

By
Filed Under: Dividends 4

A list of my past dividend income and updates can be found below:

December

Freedom Fund as of December 2021
Dividend Income (Dec) –  RM140
Dividend Income (2021) –  RM15,595.07
Dividend Yield – 3.80%

A little change in dividend yield from last month’s as I made a mistake with my gross investment.

As always, Facebook, Instagram, and now YouTube! Follow, keep up to date. I use Rakuten Trade as my broker.

Acquisition and Disposals

Nil.

Nestle (M) Berhad

December 2021 Dividends – RM140
December 2020 Dividends – RM464
Total 2021 Dividends –  RM140
Dividend Yield – 3.47%

November

Freedom Fund as of November 2021
Dividend Income (Nov) –  RM748.54
Dividend Income (2021) –  RM15,455.07
Dividend Yield – 3.84%

As always, Facebook, Instagram, and now YouTube! Follow, keep up to date. I use Rakuten Trade as my broker.

Acquisition and Disposals

Nil.

Thong Guan Industries Berhad

November 2021 Dividends – RM125
November 2020 Dividends – N/A
Total 2021 Dividends –  RM437.50
Dividend Yield – 1.23%

Axis REIT

November 2021 Dividends – RM230.92
November 2020 Dividends – RM211.47
Total 2021 Dividends –  RM889.59
Dividend Yield – 5.12%

IGB REIT

November 2021 Dividends – RM392.62
November 2020 Dividends – RM701.47
Total 2021 Dividends –  RM1,975.28
Dividend Yield – 3.81%

October

Freedom Fund as of October 2021
Dividend Income (Oct) –  RM2,368.25
Dividend Income (2021) –  RM14,706.53
Dividend Yield – 3.52%

As always, Facebook, Instagram, and now YouTube! Follow, keep up to date. I use Rakuten Trade as my broker.

Acquisition and Disposals

Sold PetGas for a small 5% profit as I look to consolidate and streamline my portfolio and hold more cash on hand.

Tenaga Nasional Berhad

October 2021 Dividends – RM880
October 2020 Dividends – RM660
Total 2021 Dividends –  RM3,200
Dividend Yield – 6.78%

QL Resources Berhad

October 2021 Dividends – RM138.25
October 2020 Dividends – N/A
Total 2021 Dividends –  RM138.25
Dividend Yield – 0.56%

Nestle (M) Berhad

October 2021 Dividends – RM140
October 2020 Dividends – RM140
Total 2021 Dividends –  RM324
Dividend Yield – 2.42%

Malayan Banking Berhad

October 2021 Dividends – RM777.84
October 2020 Dividends – N/A
Total 2021 Dividends –  RM2,177.18
Dividend Yield – 10.28%

Sunway Berhad

October 2021 Dividends – RM86.53
October 2020 Dividends – N/A
Total 2021 Dividends –  RM216.33
Dividend Yield – 1.86%

CBIP Berhad

October 2021 Dividends – RM280
October 2020 Dividends – RM280
Total 2021 Dividends –  RM560
Dividend Yield – 2.51%

September

Freedom Fund as of September 2021
Dividend Income (Sept) –  RM1,374.98
Dividend Income (2021) –  RM12,338.28
Dividend Yield – 2.96%

As always, Facebook, Instagram, and now YouTube! Follow, keep up to date. I use Rakuten Trade as my broker

Acquisition and Disposals

N/A

Petronas Gas

September 2021 Dividends – RM160
September 2020 Dividends – N/A
Total 2021 Dividends –  RM160
Dividend Yield – 1.02%

Public Bank Berhad

September 2021 Dividends – RM525
September 2020 Dividends – N/A
Total 2021 Dividends –  RM1,435
Dividend Yield – 5.90%

Sunway REIT

September 2021 Dividends – RM462.98
September 2020 Dividends – RM515.66
Total 2021 Dividends –  RM686.67
Dividend Yield – 1.48%

IGB Berhad

September 2021 Dividends – RM227
September 2020 Dividends – RM227
Total 2021 Dividends –  RM454
Dividend Yield – 4.30%

August

Freedom Fund as of August 2021
Dividend Income (Aug) –  RM675.39
Dividend Income (2021) –  RM10,963.30
Dividend Yield – 2.63%

As always, Facebook, Instagram, and now YouTube! Follow, keep up to date. I use Rakuten Trade as my broker

Acquisition and Disposals

Added 1,000 units of Petronas Gas to my portfolio at RM15.68 per share.

At the point of purchase, PetGas’ dividend yield was really attractive and I’m hoping they continue with the same payout for the foreseeable future. I am also aware of the risk of investing in a GLC in Malaysia, I’ll monitor the company a little more closely.

Axis REIT

August 2021 Dividends – RM226.31
August 2020 Dividends – RM203.28
Total 2021 Dividends –  RM687.67
Dividend Yield – 3.79%

IGB REIT

August 2021 Dividends – RM449.08
August 2020 Dividends – RM207.01
Total 2021 Dividends –  RM1,582.66
Dividend Yield – 3.05%

July

Freedom Fund as of July 2021
Dividend Income (July) –  RM1,387.50
Dividend Income (2021) –  RM10,287.91
Dividend Yield – 2.46%

A total of RM1,387.50 in dividend income for July.

Thoughts

Really thankful for the dividends I’ve been receiving throughout this damn pandemic. They’ve been keeping me alive for the most part. My active income was slashed by almost 80-90% especially during the full lockdown. Passive income was what was keeping my head afloat.

I’d also like to apologize to readers for the slow updates of late. I’ve been really busy keeping my businesses from going under. This should all be over soon and hopefully, we can all go back to how things were. Looking to write more often and regularly soon.

As always, Facebook, Instagram, and now YouTube! Follow, keep up to date. I use Rakuten Trade as my broker

Acquisition and Disposals

Nil.

Scientex Berhad

July 2021 Dividends – RM1,200
July 2020 Dividends – RM1,180
Total 2021 Dividends –  RM2,344
Dividend Yield – 4.25%

Thong Guan Industries Berhad

July 2021 Dividends – RM187.50
July 2020 Dividends –
Total 2021 Dividends –   RM312.50
Dividend Yield – 0.88%

June

Freedom Fund as of June 2021
Dividend Income (June) –  RM1,040.65
Dividend Income (2021) –  RM8,900.41
Dividend Yield – 2.13%

A total of RM1,040.65 in dividend income for June.

Times are tough for everyone now and my income has been negatively affected by the prolonged lockdown in our country. The dividends from my portfolio are keeping me afloat right now. I guess this is why people always say cash flow is important.

As always, Facebook, Instagram, and now YouTube! Follow, keep up to date. I use Rakuten Trade as my broker

Acquisition and Disposals

Sold off all MYEG.

Malayan Banking Berhad

June 2021 Dividends – RM1,040.65
June 2020 Dividends –
Total 2021 Dividends –  RM1,399.34
Dividend Yield – 6.80%

.

May

Freedom Fund as of May 2021
Dividend Income (May) –  RM1,497.86
Dividend Income (2021) –  RM7,859.76
Dividend Yield – 1.88%

A total of RM1,497.86 in dividend income for May. That is about a 71% decrease in dividends compared to May last year.

Acquisition and Disposals

Sold off all my DPHARMA.

Axis REIT

May 2021 Dividends – RM210.55
May 2020 Dividends – RM198.67
Total 2021 Dividends –  RM432.36
Dividend Yield – 2.49%

IGB REIT

May 2021 Dividends – RM442.07
May 2020 Dividends – RM645.75
Total 2021 Dividends –  RM1,133.58
Dividend Yield – 2.19%

Duopharma Biotech Berhad

May 2021 Dividends – RM381.24
May 2020 Dividends – N/A
Total 2021 Dividends –  RM381.24
Dividend Yield – 2.59%

Nestle (M) Berhad

May 2021 Dividends – RM184
May 2020 Dividends – RM280
Total 2021 Dividends –  RM184
Dividend Yield – 1.38%

CB Industrial Product Berhad

May 2021 Dividends – RM280
May 2020 Dividends – RM280
Total 2021 Dividends –  RM280
Dividend Yield – 1.26%

April

Freedom Fund as of April 2021
Dividend Income (Apr) –  RM2,460.20
Dividend Income (2021) –  RM6,361.90
Dividend Yield – 1.47%

A total of RM2,460.20 in dividend income for April. That is about a 46% increase in dividends compared to April last year.

As always, Facebook, Instagram, and now YouTube! Follow, keep up to date. I use Rakuten Trade as my broker.

Acquisition and Disposals

Nil.

Tenaga Nasional Berhad

April 2021 Dividends – RM2,320.00
April 2020 Dividends – RM1,400.00
Total 2021 Dividends –  RM2,320.00
Dividend Yield – 4.92%

Sunway Berhad

April 2021 Dividends – RM129.80
April 2020 Dividends – RM389.39
Total 2021 Dividends –  RM129.80
Dividend Yield – 1.11%

In addition to the normal dividends, I also received RM10.40 in preferential dividends from SUNWAY-PA.

March

Freedom Fund as of March 2021
Dividend Income (Mar) –  RM1,582.50
Dividend Income (2021) –  RM3,901.70
Dividend Yield – 0.92%

A total of RM1,582.50 in dividend income for March. That is about a 138% increase in dividends compared to March last year.

As always, Facebook, Instagram, and now YouTube! Follow, keep up to date.

Acquisition and Disposals

Nil.

Axis REIT

March 2021 Dividends – RM221.81
March 2020 Dividends – RM112.59
Total 2021 Dividends –  RM221.81
Dividend Yield – 1.28%

IGB Berhad

March 2021 Dividends – RM227
March 2020 Dividends – RM227
Total 2021 Dividends –  RM227
Dividend Yield – 2.15%

Sunway REIT

March 2021 Dividends – RM223.69
March 2020 Dividends – RM306.82
Total 2021 Dividends –  RM223.69
Dividend Yield – 0.48%

Public Bank Berhad

March 2021 Dividends – RM910
March 2020 Dividends – RM560
Total 2021 Dividends –  RM910
Dividend Yield – 3.74%

February

Freedom Fund as of February 2021
Dividend Income (Feb) –  RM691.51
Dividend Income (2021) –  RM2,319.20
Dividend Yield – 0.92%

A total of RM691.51 in dividend income for February. That is about a 17% increase in dividends compared to February last year.

As always, Facebook, Instagram, and now YouTube! Follow, keep up to date.

Acquisition and Disposals

Bought a little more Scientex. Sold Dsonic and GenM.

IGBREIT

February 2021 Dividends – RM691.50
February 2020 Dividends – RM590.53
Total 2021 Dividends –  RM691.50
Dividend Yield – 1.33%

January

Freedom Fund as of January 2021
Dividend Income (Jan) –  RM1,627.69
Dividend Income (2021) –  RM1,627.69
Dividend Yield – 0.37%

A total of RM1,627.69 in dividend income for January.

Scientex came in higher compared to Jan last year. Maybank’s dividend is all over the place so there’s no comparing to 2020 right now. And Thong Guan gave me a measly 0.35% yield so far.

I’ll be looking at how the rest of the year go but it isn’t too bad of a start.

As always, Facebook, Instagram, and now YouTube! Follow, keep up to date.

Acquisition and Disposals

No transactions made in the month of January.

SCIENTEX BERHAD

January 2021 Dividends – RM1,144
January 2020 Dividends – RM1,030
Total 2021 Dividends –  RM1,144
Dividend Yield – 2.81%

Malayan Banking Berhad

January 2021 Dividends – RM358.69
January 2020 Dividends – RM /-
Total 2021 Dividends –  RM358.69
Dividend Yield – 1.78%

Thong Guan Industries Berhad

January 2021 Dividends – RM125
January 2020 Dividends – RM /-
Total 2021 Dividends –  RM125
Dividend Yield – 0.35%

Passive Income in Malaysia

By
Filed Under: FI/RE, Passive Income 2

Readers of the blog will be familiar with the term passive income. And to once and for all give my point of view on what is actual passive income as well as my own passive revenue streams.

What is Passive Income?

The notion of having your money work for you, to have it generate additional income while you sleep is a wonderful one.

Right off the bat, let me dispel the notion that passive income is only for the wealthier individual. In fact, passive income is for anyone and everyone. Regardless of the amount, passive income is passive income. RM10 a month is a passive income if your assets are generating it for you. Everyone starts small. In fact, I think my first dividend received was in the region of RM50 for the first year. That’s like RM4 per month. Work on it continuously and trust me, it’ll grow.

More popular forms of passive income in Malaysia include rentals from real estate, interest from bank deposits and P2P lending, and dividends from stocks and businesses.

”Passive Income”

The term Passive Income has been thrown around and mentioned a lot recently as Malaysians become more financially literate. In general, passive income is defined as income earned with little or no effort. So not all ”passive income” is truly passive.

For example, almost everyone would list their rental income as passive. I beg to differ. In my experience, taking care of your rental property takes time and effort. You may have a real estate agent working with you at the start but most of the time, you’ll be doing the work yourself. Personally, I put up ads on my own as I feel my agent’s ads were too generic. I even attend the viewings to make sure the said agent is doing his/her job right.

Now all that is just to get your unit rented, what happens when a pipe bursts or your air conditioners malfunctions. Your agent isn’t going to help you with it as there’s nothing in it for them. So no, I’ll not list my rent collection as a passive income.

However, your rental income will be classified as passive once you hire a proper property manager where he/she is hired on a full time basis to take care of your real estate portfolio. Of course, you’ll have to have a large mix of properties before that is viable.

My Passive Income

passive income malaysia

I myself like to only call a source of income passive when it truly requires zero to minimal effort on my part.

This is why, out of all my income streams, I only actually consider my dividends from stocks and interest earned from P2P lending passive income. 

A good benchmark to know if your passive income returns are up to par would be your fixed deposits with banks. Historically, it has been at the 3% mark. Recently, a 2% return is the norm. So if you’ve already got investments generating passive returns for you, check if it’s higher than your FD rates. I’d even go so far to say that FDs are like the kings of passive income. Easiest to obtain, all you need is capital.

My income right now comes from the following:

  1. Salary
  2. Stakes in businesses
  3. Rental
  4. Dividends
  5. Interest

Earned income from working a job is the total opposite of passive income. My businesses, although can run by themselves, I still consider them not to be truly passive because they still require constant monitoring and checking in with.

As mentioned earlier, rental income from my properties does not fall under the passive category for me. My properties require attention from time to time in the form of rent collection, having to look for tenants, fixing stuff etc. So, not passive. For me at least. Until I hire a property manager.

Dividends from my stocks I totally consider passive because the valuation of a company is done once before I purchase the stock. Thereafter, I only check in with the same company either quarterly, half-yearly or sometimes even once a year. 

Lastly, my income in the form of interests comes mostly from fixed deposits and lending money via P2P lending platforms. FDs are a no-brainer, you can even make placements online nowadays. As for my P2P lending, although small in comparison to my other income, this one is passive for me as well. I just read the prospectus and information on the company/business I’m lending money to, and then sit back and receive my money in the form of capital plus interests.

My main source of passive income comes from dividends generated by my Freedom Fund. To achieve financial independence, I’ve calculated that I’d need roughly RM3,000 a month in passive income.

Last year’s dividends came up to RM16,322.27. I’m almost halfway to my goal of RM36,000 in dividends per annum. My dividends so far for the year 2020 can be viewed hERE.

How to Generate Passive Income

Earning any form of income boils down to two factors – the effort and time and/or the amount of capital you put in. In essence, either you invest and put up your time or you put up your money.

So if you’re young, you’re able and you’ve got time to spare, you will want to consider putting in your time and effort towards building a steady stream of passive income. A good example of this would be someone in their 20s working their ass off in a business with the eventual goal of automating it and generating returns without their involvement.

Or, that same 20-year-old person could work at their career, save their salary, and then invest that money to then eventually earn passive returns. Which means – time and effort first, and then putting up the capital after.

Unless you’re fortunate to be inheriting wealth, you’ll always have to put something up for returns. Your effort, your time, your money.

Getting to where I’m at hasn’t been an easy ride. My portfolio is mainly built on frugality. In my experience, passive income does not come easy. It’ll take a huge initial investment on your part. In the case of my dividend income from stocks, to earn that RM16K per annum, I had to have about RM400K in capital which comes up to about a 4% return for me.

Why is Passive Income Important

If like me, you’re on a quest for financial independence, passive income will cover your expenses. Financial freedom and security has always been my ultimate goal.

When I invest, I invest to first increase my passive income. And when I’ve eventually reached my passive income goal, I’ll focus on growth. Because that is when I’m set and I can afford to take bigger risks with my investments. Also, I’d rather not liquidate and sell my stocks for income.

With a steady, reliable source of passive income generating for you every month, trust me, you’ll be in a very happy place. Investment decisions can be so much more logical and less emotional. You worry less about losing the shirt off your back if your investments don’t work out. Of course, being a rational investor you’ll still exercise caution, you just won’t be hindered by thoughts of bankruptcy and worst-case scenarios.

Passive Income Ideas

If you’re like most readers of the blog, you probably are in your 20s or 30s, and you’re working for a salary. You might want to first consider putting in FDs, and then maybe stocks for dividends.

Another way to go is properties, it may not be passive for now. But once you’ve built up a substantial real estate portfolio where hiring a property manager is viable, it most definitely will be passive then.

One more potentially lucrative endeavor are businesses. You may have a hobby right now which can be turned into a side hustle and eventually into a full-fledged business. Or if you’ve got the dough, look into franchises that do not require your full attention.

I’m always trying to find other ways to generate passive income for myself. Some good ones come to mind like royalties from book publishing, music, or any kind of intellectual property.

The blog itself is earning a little from ad revenue and affiliate marketing. This however isn’t passive YET. I don’t want to bombard you guys with too many ads on the site. And affiliate marketing only happens when I actually like and/or use the products. Right now I’m just really enjoying writing and having a community built on investing and FI/RE.

Now, as you can probably tell, not everything may qualify as passive at first because it requires a tremendous amount of effort. But at the end of the day, say 10 years down the road when you’re able to be hands-off and collect your cash, it’s most definitely passive.

A Few Closing Thoughts

Passive income for me is tied closely to my goal of financial independence and freedom. And I’ve decided on dividends to be my main stream of income. You may have other ideas for passive income and your goals might differ. At the end of the day, we can all agree that passive income is a good supplement to your portfolio whatever your financial goals might be.

Ever since I graduated and started my first job, I’ve worked towards a goal – having a stock portfolio whose dividends I can live off for the rest of my life. So, if you haven’t already, set yourself a target and work towards it. Don’t just work that 9 to 5 job aimlessly. Your goal could be like mine, financial independence. Or maybe you truly find happiness in living a lavish life. There isn’t anything wrong with either one. A goal is a goal, as long as you have one and you’re happy, by all means!

For the next article of the FI/RE and Savings Series, check out article 004 – Emergency Funds & Fixed Deposit Laddering.

As always, Facebook and Instagram. Keep up to date and help support the blog by following and sharing. Thank you!

Dividend and Growth Investing and What are Dividends?

What is a Dividend?

I’ve shown in countless posts my dividend income on a monthly basis. For the benefit of new investors and the layman: “A dividend is a distribution of a portion of a company’s earnings, decided by the board of directors, to a class of its shareholders. Dividends can be issued as cash payments, as shares of stock, or other property.”

That’s the official definition.

Dividend Income

Fun fact: Companies have been paying dividends to shareholders for over 400 years. The first company to ever pay a dividend was the Dutch East India Company in the early 1600s.

Cash dividends are usually distributed to shareholders quarterly. However, some companies pay dividends annually or semi-annually (twice per year). There are no hard and fast rule, each and every company determines its own payout schedule. Some companies will even pay a special (one-time) dividend every so often. These special payouts are separate from the company’s regular payout schedule and are not factored into the stock’s dividend yield.

As always, there are however always exceptions, some of you may notice up and coming growth companies do not distribute any dividends for the first few years. This is because management and major shareholders have decided to retain the profits earned by the business for one purpose – growth. On the other hand, some companies distribute 100% of their earnings as dividends to shareholders. These are mostly mature companies whose growth has peaked. Do note that a peak in growth does not mean that the company’s share price will not increase in value.

Why Do Companies Pay Dividends?

So your next question – Why does a company distribute dividends?

Companies sell shares to the public to raise money, which they then use to fund existing operations and expand their businesses. One way to look at a dividend is as a reward given to shareholders for owning stock in the corporation.

An example. Mr.S has saved up RM10,000 and plans to invest in stocks, he purchases 1,000 units of shares in Company A at RM10 per share. Now, Mr.S who previously had RM10,000 in savings is now an investor – he is a part-owner and shareholder in Company A.

As an owner of the business, one would generally expect profits generated from the business to flow back into his/her pockets. This is why a company distributes dividends. So for your long investing journey ahead, although it’s easy to forget sometimes, a share is not a lottery ticket… it’s part-ownership of a business.

How Do I Collect My Dividend Income?

Collecting dividends from stocks you own in Malaysia easy. As long as you hold the share before it’s ex- date (short for ex-dividend date), you as a shareholder will be entitled to collect dividends.

And yes I know some of you may think –

”If that’s the case, I’ll just buy the stock one day before the ex-date. Get my dividends, and then sell them the next day.”

And you’ll be wrong.

Because the share price itself would drop by about the same amount on the ex-date.

Moving on, dividend payouts are issued on a per-share basis. Using the previous example, if Company A pays out RM0.20 per share, Mr.S would receive a total of RM200 (RM0.20 x 1000 shares) in dividends per year, which translates to a 2% dividend yield.

Investors used to receive their dividends in the mail via cheques. With the advancement of technology, dividends are most commonly deposited into a shareholder’s bank account directly. A dividend voucher will still arrive by mail with more information on your dividend income.

Note that nowadays, more tech savvy (and cost saving) brokers like Rakuten Trade actually email you your vouchers. This makes it that much more easier to store and file your online dividend vouchers for tax purposes.

Below is an example of a dividend voucher I received from a company I invested in – Maybank.

Dividend Income Investing

I have tried timing the market and listened to all forms of ‘inside information’ and ‘tips’ from ill informed investors and let me quote Peter Lynch on this – “Behind every stock is a company. Find out what it’s doing.” Do not invest on hearsay and rumors, when you invest in a business, know what you own, and know why you own it.

Dividend investing is one of the most popular strategies for traditional, buy-and-hold investors. Typically dividend investing involves selecting companies which feature an attractive and sustainable dividend yield.

Dividend Magic’s Investing Philosophy

I see myself as a sort of hybrid dividend and growth investor. My current purpose for investing? To have a sustainable source of passive income which would eventually cover all my needs and wants. As of 2019, my dividend income per annum is RM16K. A summary of my dividends can be found at My Freedom Fund.

I am right now in the very fortunate position where when I invest in a company, I do not actually have to make sure it is paying dividends. The more important metric for me right now is profitability. And I mean long term profitability.

With my passive dividend income right now at almost 50% of my goal of RM36,000 p.a., I focus more on a stock’s value. Especially in the US, which I’ve started to invest in recently, you’ll see me having some tech stocks in my US portfolio.

Right now as of the time of writing – 2020, my Malaysian portfolio would focus more on stable dividend stocks. My US portfolio will focus more on growth and capital gain. A main reason for this would be the 30% withholding tax I have to pay on dividends in the US as a non-tax resident.

Do NOT be Fooled by Dividend Yields

It is important to know how stocks, dividends and dividend yields work.

Dividend investing does not mean you go about looking for companies with the highest dividend yields. Newspapers and online platforms are always publishing lists of companies that boast high and attractive yields.

As an investor, you’ll want to ask yourself why are the yields that high? Dividend yield is calculated by using the companies’ past dividends based on TODAY’s price. So please do not be fooled by lists like these.

My system of calculating my dividend yield is the opposite. I am using today’s dividends and dividing it by the price at which I first bought the stock. Ie. Dividends received / Gross investment.

If a company is doing well and increasing in profits every year, I’ll likely see my dividend yields increase every year too.

I have compiled the full list of my 2020 dividends received hERE.

End.

Dividend Income

For those of you who are not convinced with the power of compounding, I leave you in the good hands of Albert Einstein’s wisdom: “Compound interest is the eighth wonder of the world. He who understands it, earns it … he who doesn’t … pays it.” 

To embrace and let time and compound interest work for you, reinvesting your dividends is key. In 10 to 20 years, you will see your portfolio snowball from mere thousands to millions.

For me, the key to stock investing is your investment period, if you are not willing to own a stock for at least 10 years, do not even think about owning it for 10 minutes. If the stock market keeps you up at night, you are not investing correctly, you should be able to see your portfolio decline by 50% without becoming panic-stricken.

My monthly dividends coming in are one of the few things that make me truly happy.

Thank you for reading.

For the next article of the Investing Series, check out article 007 – Investing is Simple – Get Started!

As always, Facebook, Instagram, and now YouTube! Follow, keep up to date.

Dividend Income Update 2020

By
Filed Under: Dividends, Investment 19

A list of my past dividend income and updates can be found below:

December

Freedom Fund as of December 2020
Dividend Income (Dec) –  RM351.47
Dividend Income (2020) –  RM15,415.64
Dividend Yield – 3.54%

You’ll notice a drop in dividend yield compared to November as I added and sold stocks.

As always, Facebook, Instagram, and now YouTube! Follow, keep up to date.

Acquisition and Disposals

Added more QL Resources, TGUAN. Sold BURSA and some DSONIC.

Axis REIT

December 2020 Dividends – RM211.47
December 2019 Dividends – RM221.82
Total 2020 Dividends –  RM726.01
Dividend Yield – 4.18%

Nestle (M) Berhad

December 2020 Dividends – RM140
December 2019 Dividends – RM140
Total 2020 Dividends –  RM560
Dividend Yield – 4.19%

November

Freedom Fund as of November 2020
Dividend Income (Nov) –  RM960.04
Dividend Income (2020) –  RM15,064.17
Dividend Yield – 3.53%

Received RM960.04 for November from a total of 2 companies.

Acquisition and Disposals

Bought 1,000 units of TENAGA, lowering my average buy price to RM11.7950 per share.

Also bought a little more TGUAN as it went way down during November.

Bought MYEG for RM1.54 per share.

Bought and sold BURSA for some quick gain as it went above my valuation.

Sold off some MAYBANK and PBBANK shares, taking a little profit along the way.

Thoughts

As can be seen from my buy and sell transactions above, I’m still actively purchasing shares as they fall below my valuations. I’m also freeing up some money as I am building up and maintaining my cash position of about 10-15% of my portfolio right now.

IGB REIT

November 2020 Dividends – RM701.47
November 2019 Dividends – RM622.82
Total 2020 Dividends –  RM2,144.76
Dividend Yield – 4.14%

Sunway REIT

November 2020 Dividends – RM258.57
November 2019 Dividends – RM312.26
Total 2020 Dividends –  RM1,081.05
Dividend Yield – 2.32%

October

Freedom Fund as of October 2020
Dividend Income (Oct) –  RM1,530.48
Dividend Income (2020) –  RM14,104.13
Dividend Yield – 3.30%

As always, Facebook, Instagram, and now YouTube! Follow, keep up to date.

Received RM1,530.48 for October from a total of 7 companies!

Acquisition and Disposals

Bought both Thong Guan (TGUAN) and Tenaga in October. The price and amount will be updated when I do the year end review.

I sold some Scientex AGAIN in October to lock in profit. Hoping to buy back if and when prices dip in the future.

Also sold off Aeon Credit to free up some cash. Including dividends received, a small gain of 2.78% was recorded.

Thoughts

Just like current market conditions, my portfolio and dividends have taken a hit in 2020. Looking to at least get close to last year’s RM16,322.27 in dividends. We’re only at RM14,104.13 today.

That being said, I am still grateful to be able to continue getting dividends this year. And also thankful that the portfolio is still in the green as of this moment. It’s a race towards the end of 2020!

Nestle Malaysia Berhad

October 2020 Dividends – RM140
October 2019 Dividends – RM140
Total 2020 Dividends –  RM420
Dividend Yield – 3.14%

Axis REIT

October 2020 Dividends – RM203.28
October 2019 Dividends – RM221.82
Total 2020 Dividends –  RM514.54
Dividend Yield – 2.96%

Datasonic Group Berhad

October 2020 Dividends – RM78.50
October 2019 Dividends – RM –
Total 2020 Dividends –  RM78.50
Dividend Yield – 0.40%

QL Resources Berhad

October 2020 Dividends – RM67.50
October 2019 Dividends – RM –
Total 2020 Dividends –  RM67.50
Dividend Yield – 0.46%

Tenaga Nasional Berhad

October 2020 Dividends – RM660
October 2019 Dividends – RM600
Total 2020 Dividends –  RM2,060
Dividend Yield – 5.50%

CB Industrial Product Holding Berhad

October 2020 Dividends – RM280
October 2019 Dividends – RM280
Total 2020 Dividends –  RM560
Dividend Yield – 2.51%

Aeon Credit (M) Berhad (SOLD)

October 2020 Dividends – RM101.20

September

Freedom Fund as of September 2020
Dividend Income (Sept) –  RM459.50
Dividend Income (2020) –  RM12,573.65
Dividend Yield – 2.84%

As always, Facebook and Instagram. Follow, keep up to date.

Received a total of RM459.50 in dividend income for September. A drop compared to 2019’s RM1,336.98. We missed out on PBB, Homeriz and Scicom’s dividends.

Note: Amended dividends and yield a little as I forgot to take into account dividend from stocks I sold. Also amended the Freedom Fund’s latest update.

I know many of you have been asking for my list of purchases and disposals. I’ll try my best to list them all down here as well as the reasons for said transactions.

Disposals

Duopharma

I sold 7,000 units of Duopharma stocks, taking an estimated 200% profit. Will be looking closely at this company in the coming weeks/months to maybe purchase more or dispose of all my holdings.

Homeriz

I’ve also disposed of all my Homeriz stocks with a 37% gain. I’ve been holding this one since 2014 and its been a pretty good ride with decent dividends. Reason for the disposal is that I want to free up some cash and cut my portfolio down a little.

Scicom

This one hurts. Holding Scicom since 2016, sold all for a 43% loss. I though I understood the company well and the industry but lesson learnt. Will not be looking at them any time soon.

Scientex

Scientex has always been my diamond in the rough. A true gem and I’ve recently disposed of some 2,000 units. Took a profit of around 125%. I still hold 9,800 units of Scientex and will continue to hold for the long term. Will of course be on the look out for when the price drops to add more to my portfolio.

Purchases

Bursa

Purchased 1,500 units of our very own bourse. Looking to hold this one for the long term and I’m hoping that the participation of retail investors will continue long after the pandemic is over.

Dsonic

Bought this one in anticipation of some projects. Dipping my toe in this new industry and learning a lot from my peers and members from our FB group.

QL Resources

I’ve been looking at QL for the longest time, if I recall I did actually own some shares of QL previously but sold it off. Would’ve made a handsome profit if I continued to hold the shares. Shoulda, woulda, coulda.

I like the management, they’re in a very steady industry and you know – Family Mart.

Thoughts

So those are my disposals and my purchases from March to September 2020. I’ll be looking to start discussions on individual stocks on my YouTube channel very soon. If you haven’t already, please do subscribe and I’ll see all of you there.

Now on to September’s dividend income!

Genting Malaysia Berhad

September 2020 Dividends – RM228
September 2019 Dividends – RM288
Total 2020 Dividends –  RM760
Dividend Yield – 4.40%

Sunway Construction Berhad

September 2020 Dividends – RM4.50
September 2019 Dividends – RM12.60
Total 2020 Dividends –  RM4.50
Dividend Yield – 0.77%

IGB Berhad

September 2020 Dividends – RM227
September 2019 Dividends – RM227
Total 2020 Dividends –  RM454
Dividend Yield – 4.30%

August

Freedom Fund as at August 2020
Dividend Income (Aug) –  RM872.67
Dividend Income (2020) –  RM12,114.15
Dividend Yield – 2.71%

As always, Facebook and Instagram. Follow, keep up to date.

Received a total of RM872.67 in dividend income for August. A slight increase compared to 2019’s RM832.21. A 5% increase.

Thoughts

With Q4 closing in fast, I’m keen to see my investment portfolio reach the 3% mark in dividend yield. Pretty sure we won’t be able to surpass 2019’s yield of 4.16%, but you never know!

I think markets will continue to be volatile and stock prices do not accurately reflect the Malaysian economy right now. This is the first time I’m seeing such market enthusiasm during a pandemic and when businesses all around us are closing down.

I’ll continue to hold on to more cash as I sell off some positions. I’m looking to purchase more Real Estate Investment Trust (REITs) stocks and a few good companies I’m currently holding right when the price is right.

As I’ve mentioned a few times, my Malaysian portfolio will be built and centered around dividends right now. While my US stock portfolio will be more focused on growth and capital gains.

Duopharma Biotech Berhad

August 2020 Dividends – RM500.00
August 2019 Dividends – N/A
Total 2020 Dividends –  RM500.00
Dividend Yield – 3.55%

I’ve been selling off this stock and taking profit over the past few weeks/months. All in all, I’ve probably made close to 200% profit on average from the aforementioned sell off.

IGB REIT

August 2020 Dividends – RM207.01
August 2019 Dividends – RM609.37
Total 2020 Dividends –  RM1,443.29
Dividend Yield – 2.78%

Sunway REIT

August 2020 Dividends – RM515.66
August 2019 Dividends – RM298.38
Total 2020 Dividends –  RM822.48
Dividend Yield – 1.77%

July

Freedom Fund as at July 2020
Dividend Income (July) –  RM1,722.67
Dividend Income (2020) –  RM11,241.48
Dividend Yield – 2.62%

As always, Facebook and Instagram. Follow, keep up to date.

Received a total of RM1,722.67 in dividends for July this year. Comparatively, in 2019, I received RM1,409.95. That’s a 22% increase.

To compare against last year’s performance, I’ve compiled and combined all 2019’s dividend income update hERE.

With the interest rates in Malaysia at an all-time low right now, conventional FD’s are no longer attractive. It is times like these that strong, stable companies with their consistent dividend payments shine. We are only in July and my yield is already above the board rate.

Aeon Credit Service (M) Berhad

July 2020 Dividends – RM154.00
July 2019 Dividends – RM379.95
Total 2020 Dividends –  RM154.00
Dividend Yield – 1.22%

Aeon Credit has been hit hard in Q2. Will be looking to maybe trim down a little to pounce on future buying opportunities.

Scientex Berhad

July 2020 Dividends – RM1,180
July 2019 Dividends – RM1,030
Total 2020 Dividends –  RM2,210
Dividend Yield – 4.05%

Dividends increased a little as I added more units of Scientex to my portfolio during the MCO period.

The company has managed to keep their dividend payments unchanged amidst the Covid-19 pandemic.

Axis REIT

July 2020 Dividends – RM198.67
July 2019 Dividends – RM221.71
Total 2020 Dividends –  RM311.26
Dividend Yield – 1.79%

Genting Malaysia Berhad

July 2020 Dividends – RM190.00
July 2019 Dividends – RM –
Total 2020 Dividends –  RM532
Dividend Yield – 4.73%

June

Freedom Fund as at June 2020
Dividend Income (June) –  RM112
Dividend Income (2020) –  RM9,518.81
Dividend Yield – 2.27%

Dividend for 2020 has also gone a little haywire I guess. May’s dividend income was exceptionally high and now in June, as expected, I’m experiencing an unprecedented low.

However, cumulatively, dividends for 2020 are still higher compared to 2019.

Scicom (MSC) Berhad

June 2020 Dividends – RM112
June 2019 Dividends – RM112
Total 2020 Dividends –  RM280
Dividend Yield – 1.25%

May

Freedom Fund as at May 2020
Dividend Income (May) –  RM5,155.98
Dividend Income (2020) –  RM9,406.81
Dividend Yield – 2.24%

As investing sentiment improves together with the gradual lifting of Malaysia’s MCO, my portfolio has seen some improvements as well.

I received a total of RM5,155.98 in dividend income for the month of May, a huge increase compared to last year. In fact, The Freedom Fund is at 2.24% in dividend yield right now. Companies that contributed were Maybank, TNB, Nestle and IGB REIT.

Malayan Banking Berhad

May 2020 Dividends – RM2,830.23
May 2019 Dividends – RM1,052.16
Total 2020 Dividends –  RM2,830.23
Dividend Yield – 4.77%

The increase in dividends was due to my additional purchase of Maybank shares. However, the amount and yield has definitely increased, the total yield for the whole of 2019 was 4.49%. We’ve already surpassed it with the first dividend of 2020.

Tenaga Nasional Berhad

May 2020 Dividends – RM1,400.00
May 2019 Dividends – RM230.00
Total 2020 Dividends –  RM1,400.00
Dividend Yield – 5.38%

TNB paid out more this time around as this round’s dividend includes a special dividend.

Nestle (M) Berhad

May 2020 Dividends – RM280.00
May 2019 Dividends – RM280.00
Total 2020 Dividends –  RM280.00
Dividend Yield – 2.09%

IGB REIT

May 2020 Dividends – RM645.75
May 2019 Dividends – RM647.04
Total 2020 Dividends –  RM1,236.28
Dividend Yield – 2.38%

April

Freedom Fund as at April 2020
Dividend Income (Apr) –  RM1,686.39
Dividend Income (2020) –  RM4,250.83
Dividend Yield – 0.97%

The Freedom Fund has taken a hit due to recent events. Capital wise, we’ve moved into the positive range as of 30 April and no longer in the red.

If you’ve been following my Facebook and Instagram, you would’ve been able to pick up on some buys I have made during the MCO.

The most recent being DPHARMA and additional units of MAYBANK and SUNREIT.

However, if you’ve missed it, I will be updating my portfolio in June as per usual. So fret not.

Scicom (Msc) Bhd

April 2020 Dividends – RM168
April 2019 Dividends – RM168
Total 2020 Dividends –  RM168
Dividend Yield – 0.75%

Same amount in dividends received as last year. Same amount of disappointment. Awaiting some good news from Scicom.

IGB Berhad

April 2020 Dividends – RM227
April 2019 Dividends – RM227
Total 2020 Dividends –  RM227
Dividend Yield – 2.15%

The same amount will be expected from IGB’s preference share every year. No surprises here.

Public Bank Berhad

April 2020 Dividends – RM560
April 2019 Dividends – RM222
Total 2020 Dividends –  RM560
Dividend Yield – 2.23%

The huge increase is due to my recent addition of 800 units of Public Bank shares.

Genting Malaysia Berhad

April 2020 Dividends – RM342
April 2019 Dividends – N/A
Total 2020 Dividends –  RM342
Dividend Yield – 3.04%

I bought the shares after April 2019 so there’s nothing to compare to.

Sunway Berhad

April 2020 Dividends – RM389.39
April 2019 Dividends – RM309.12
Total 2020 Dividends –  RM389.39
Dividend Yield – 3.34%

A 25% jump in dividends received . =D

March

Freedom Fund as at March 2020
Dividend Income (Mar) –  RM663.91
Dividend Income (2020) –  RM2,564.44
Dividend Yield – 0.61%

I received a total of RM663.91 in dividends for the month of March from the companies – Homeritz, Axis REIT and Sunway REIT.

The dividend schedule of companies are all messed up again thanks to the Covid-19 virus.

Homeritz Corporation Bhd

March 2020 Dividends – RM244.50
March 2019 Dividends – RM366.75
Total 2020 Dividends –  RM244.50
Dividend Yield – 1.73%

Axis REIT

March 2020 Dividends – RM112.59
March 2019 Dividends – RM243.74
Total 2020 Dividends –  RM112.59
Dividend Yield – 0.65%

Sunway REIT

March 2020 Dividends – RM306.82
March 2019 Dividends – RM281.52
Total 2020 Dividends –  RM306.82
Dividend Yield – 1.55%

All Aboard the Dividend Train

On a side note, our friends at Rakuten has been working on a page that provides information on companies and their dividend payment date. It can be found hERE. I’m also told the page will be updated monthly.

Please note that there is no merit to chasing dividends blindly. Especially yields. A company can show high yields because dividend yield is calculated based on their previous declared dividend.

Make sure you’ve done your research and the yields are backed by equally strong underlying assets.

Also, if you’re signing up for a new Rakuten Account, please do give the blog your support and use my referral link – hERE.

You’ll receive RT points signing up with my link and it’ll go a long way in helping keep Dividend Magic running.

February

Freedom Fund as at February 2020
Dividend Income (Feb) –  RM590.53
Dividend Income (2020) –  RM1,900.53
Dividend Yield – 0.46%

As always, Facebook and Instagram. Follow, keep up to date.

IGB REIT

February 2020 Dividends – RM590.53
February 2019 Dividends – RM487.48
Total 2020 Dividends –  RM590.53
Dividend Yield – 1.45%

January

Freedom Fund as at January 2020
Dividend Income (Jan) –  RM1,310.00
Dividend Income (2020) –  RM1,310.00
Dividend Yield – 0.33%

As always, Facebook and Instagram. Follow, keep up to date.

Scientex Berhad

January 2020 Dividends – RM1,030
January 2020 Dividends – RM1,030
Total 2020 Dividends –  RM1,030
Dividend Yield – 2.32%

Received the same amount from Scientex last year. Expecting a >4% yield again for 2020.

CB Industrial Product Holding Berhad

January 2020 Dividends – RM280
January 2020 Dividends – RM280
Total 2020 Dividends –  RM280
Dividend Yield – 1.26%

Same amount was paid out last year.

Dividend Income Update 2019

By
Filed Under: Dividends 0

 A list of my past dividend income and updates can be found below:

Before we get to the serious stuff, this is how my 2019 went.

December Dividend Update

The Freedom Fund yielded a total of RM779.50 in dividends for the last month of 2019 as opposed to RM1,111.65 last year. A 29.88% decrease.

Axis REIT

December 2019 Dividends – RM327.24
December 2018 Dividends – RM437.30
Total 2019 Dividends –  RM1,015.53
Dividend Yield – 5.85%

I received an additional RM105.42 in dividends from Axis REIT not shown in the above voucher.

Sunway REIT

December 2019 Dividends – RM312.26
December 2018 Dividends – RM310.35
Total 2019 Dividends –  RM1,214.75
Dividend Yield – 6.12%

An increase in yield from 5.95% in 2018 to 6.12% this year. A win.

Nestle (M) Berhad

December 2019 Dividends – RM140
December 2018 Dividends – RM140
Total 2019 Dividends –  RM560
Dividend Yield – 4.19%

An increase in yield from 4.11% last year to 4.19% this year.

End.

I’ll have my full review of 2019 coming up soon including the goals for 2020.

Freedom Fund as at December 2019
Dividend Income (Dec) –  RM779.50
Dividend Income (2019) –  RM16,322.27
Dividend Yield – 4.16%

As always, Facebook and Instagram. Follow, keep up to date.

November Dividend Update

The Freedom Fund yielded a total of RM1,001.07 in dividend income compared to RM1,806.62 the same time last year. That’s a 44.59% decrease in dividends.

Aeon Credit Service (M) Berhad

November 2019 Dividends – RM378.25
November 2018 Dividends – RM378.25
Total 2019 Dividends –  RM758.20
Dividend Yield – 3.36%

The exact same amount of dividends received for both November 2018 and 2019. The company has been a solid performer in the Freedom Fund so far.

IGB REIT

November 2019 Dividends – RM622.82
November 2018 Dividends – RM615.37
Total 2019 Dividends –  RM2,491.92
Dividend Yield – 6.14%

One of the few darling stocks in my portfolio. The yield has dropped slightly compared to last year’s 7%.

End.

This post is coming a little late so be ready to catch my December update soon. The year-end review will be included as well.

Freedom Fund as at November 2019
Dividend Income (Nov) –  RM1,001.07
Dividend Income (2019) –  RM15,542.77
Dividend Yield – 4.16%

As always, Facebook and Instagram. Follow, keep up to date.

October Dividend Update

The Freedom Fund yielded a total of RM2,267.94 in dividend income compared to RM599.64 the same time last year.

That 278% increase in dividends is because the dividend payment from companies this year has gone haywire. Cumulatively, I’m still down about RM1K this year.

Malayan Banking Berhad

October 2019 Dividends – RM839.25
October 2018 Dividends – RM813
Total 2019 Dividends –  RM1,891.41
Dividend Yield – 4.49%

The full-year yield at 4.49% is lower compared to last year’s 6.99% as I added more units in September this year.

Genting Malaysia Berhad

October 2019 Dividends – RM288
October 2018 Dividends – 0
Total 2019 Dividends –  RM288
Dividend Yield – 1.96%

Nothing to compare to last year. Bought GENM a few months back and I’ve already got a 2% yield on it.

Many of you have messaged me with concerns on GENM regarding the management. Yes, I do share the same concerns but the company as a whole will be able to pull through. Provided no more fuck-ups by the management.

Tenaga Nasional Berhad

October 2019 Dividends – RM600
October 2018 Dividends – RM302.70
Total 2019 Dividends –  RM830
Dividend Yield – 3.19%

Comparing is useless in this instance as I purchased TNB shares this year as well. Yield has dropped a little as well compared to last year.

Nestle Malaysia Berhad

October 2019 Dividends – RM140
October 2018 Dividends – RM140
Total 2019 Dividends –  RM420
Dividend Yield – 3.14%

A slight increase in yield compared to last year. One more dividend to go in December.

Sunway Berhad

October 2019 Dividends – RM257 + RM143.65
October 2018 Dividends – RM296.94
Total 2019 Dividends –  RM709.81
Dividend Yield – 6.16%

The reason I split the October dividends is because Sunway distributed its profits in cash as well as in shares. Yield increased to 6.16% compared to 4.84% last year.

Sunway has been growing steadily and silently over the years for me and now that it hit the 6% yield mark, I think people will start paying more attention to the group.

End.

We are at a total dividend income of  RM14,541.70 . Giving the Freedom Fund a yield of 3.70%. 

Freedom Fund as at October 2019
Dividend Income (Oct) –  RM2,267.94
Dividend Income (2019) –  RM14,541.70
Dividend Yield – 3.70%

As always, Facebook and Instagram. Follow, keep up to date.

September Dividend Update

September’s total dividend tally – RM1,336.98. That’s a 25.71% reduction compared to September last year.

However, as I’m writing this now in October, I’ve gotten much more this month compared to last year. So.. not all hope is lost. Wait for my next October update.

Public Bank Berhad

September 2019 Dividends – RM198
September 2018 Dividends – RM192
Total 2019 Dividends –  RM420
Dividend Yield – 3.78%

Marginal increase, from 3.57% last year to 3.78% in 2019. An increase is still an increase.

Sunway REIT

September 2019 Dividends – RM298.38
September 2018 Dividends – RM274.18
Total 2019 Dividends (so far) –  RM902.49
Dividend Yield (so far) – 4.55%

The dividends and yield are increasing as well from Sunway REIT. One more distribution to go in December.

Homeritz Corp Berhad

September 2019 Dividends – RM489
September 2018 Dividends – RM244.50
Total 2019 Dividends –  RM855.75
Dividend Yield – 6.06%

An increase from 5.54% in 2018 to 6.06% this year.

Sunway Construction Berhad

September 2019 Dividends – RM12.60
September 2018 Dividends – RM12.60
Total 2019 Dividends –  RM25.20
Dividend Yield – 4.29%

A drop in dividend yield from 4.60% last year.

IGB Berhad

September 2019 Dividends – RM227
September 2018 Dividends – RM227
Total 2019 Dividends –  RM454
Dividend Yield – 4.30%

These are preference shares from IGB. Figures will remain constant in the years to come. I wrote about it hERE.

Scicom (MSC) Berhad

September 2019 Dividends – RM112
September 2018 Dividends – RM336
Total 2019 Dividends (so far) –  RM392
Dividend Yield (so far) – 1.76%

It’s getting from bad to worse from Scicom. I’ll be looking to offload some, if not all of my holdings and allocate it to higher-yielding companies. Depending on how the company does in the coming months.

End.

We are at a total dividend income of  RM12,273.76. Giving the Freedom Fund a yield of 3.13%. 

Freedom Fund as at September 2019
Dividend Income (Sept) –  RM1,336.98
Dividend Income (2019) –  RM12,273.76
Dividend Yield – 3.13%

As always, Facebook and Instagram. Follow, keep up to date and tengkiu.

August Dividend Update

This post is coming a little late as I was waiting to receive my dividend vouchers in the mail.

I received a total of RM12,802.23 in dividend income for August. That is in comparison to RM574.55 for the same month last year.

The huge jump as most of you know is from AirAsia’s special dividend of RM11,970. This is a one-off payment from AirAsia as they disposed of assets and I’ve made the decision to not add this to my yield.

That being said, August’s dividend income minus the one-off special dividend is RM832.21 vs RM573.55 last year. That’s a 44.85% jump.

The reason being Axis REIT paid a few days earlier this year and made the payment in August instead of September.

The current dividend yield of the Freedom Fund stands at 3.02%.
We’ve passed the 3% mark!!

Axis REIT

August 2019 Dividends – RM222.84
August 2018 Dividends – RM373.35
Total 2019 Dividends –  RM688.29
Dividend Yield (so far) – 3.96%

If you’ve been following the site, I disposed of off half of my Axis REIT shares earlier this year. So the dollar amount in dividends will be lower compared to 2018’s. Yield is about the same though.

IGB REIT

August 2019 Dividends – RM609.37
August 2018 Dividends – RM574.55
Total 2019 Dividends –  RM1,869.10
Dividend Yield (so far) – 4.60%

That’s about a 7% growth in dividends for the 3rd round of dividends. IGB REIT has been one of my best performing stock purchases for the Freedom Fund.

REITs were always intended to be a defensive stock in my portfolio but it looks like they’ve outperformed almost every other stock I have. I’ll be looking to add more REITs to my portfolio as and when the opportunity comes.

End.

We are at a total dividend income of  RM11,433.16. Giving the Freedom Fund a yield of 3.02%. 

Freedom Fund as at August 2019
Dividend Income (August) –  RM832.21
Dividend Income (2019) –  RM11,433.16
Dividend Yield – 3.02%

As always, Facebook and Instagram. Follow. Tengkiu.

July Dividend Update

August has been a busy month of late, hence the late dividend income update for July. The Freedom Fund only managed a total of RM1,409.95 from two companies – Aeon Credit and Scientex.

Compared to RM4,176.64 in July last year, that’s a – 66.24% drop in dividends. Fret not, because last year, we had AirAsia’s special dividend come in July. We will have a special month of dividends sometime later this year.

The current dividend yield of the Freedom Fund stands at 2.85%.
I know some of you has surpassed the 3% mark. 😉

Aeon Credit Service (M) Berhad

July 2019 Dividends – RM379.95
July 2018 Dividends – RM340
Total 2019 Dividends –  RM379.95
Dividend Yield (so far) –1.68%

We’re poised to go over 3% in dividend yield for the first time for Aeon Credit again this year. We did 3.18% in 2018. They’ve been on a lending spree of late and should see profitability increase.

Scientex Berhad

July 2019 Dividends – RM1,030
July 2018 Dividends – RM920
Total 2019 Dividends –  RM2,060
Dividend Yield – 4.64%

Scientex’s final dividend came in at RM1,030. Total dividends for the year is RM2,060. Compared to RM1,840 last year. That’s an 11.9% increase.

Scientex’s full-year dividend yield is an amazing 4.64% for me. I’ve held shares of the company since 2014 and as the business has grown, so has my dividend yields. The company’s prices are attractive right now and I might be adding some more to my portfolio.

Busy August

August was a busy month for yours truly and it’ll get a little busier in the coming weeks. I’ll be on holiday but will have an article or two out before and after (hopefully).

Meanwhile, don’t forget to follow me and my holidays etc on Instagram. @dividendmagic. Next week will be a fun one.

I don’t post these on the blog and on Facebook. See you on Instagram 😉

End.

We are at a total dividend income of  RM10,348.31. Giving the Freedom Fund a yield of 2.85%. 

Freedom Fund as at July 2019
Dividend Income (July) –  RM1,409.95
Dividend Income (2019) –  RM10,348.31
Dividend Yield – 2.85%

June Dividend Update

We’re at the halfway mark everyone! I took a long hard look at my portfolio the Freedom Fund. It’s time to trim and spruce the fund up a little in the coming weeks. I’ll also be updating the figures next week to reflect Q2.

Moving on – Dividends. I received a total of RM1,783.04 for the 6th month of 2019 from a total of 5 companies – Axis REIT, IGB REIT, Sunway REIT, Scicom and Cypark.

Compared to June back in 2018, I received 10.48% more in dividend income. The 6 months cumulative total for 2019 also came in higher compared to 2018’s. RM8,925.76 vs RM8,003.52. Big Whoop!

The current 2019 dividend yield of my portfolio is at a nice 2.39%.

Axis REIT

June 2019 Dividends – RM221.71
June 2018 Dividends – RM362.63
Total 2019 Dividends –  RM709.19
Dividend Yield (so far) – 2.68%

IGB REIT

June 2019 Dividends – RM647.04
June 2018 Dividends – RM667.52
Total 2019 Dividends –  RM1,259.73
Dividend Yield (so far) – 3.10%

Sunway REIT

June 2019 Dividends – RM322.59
June 2018 Dividends – RM298.11
Total 2019 Dividends –  RM604.11
Dividend Yield (so far) – 3.04%

Scicom Berhad

June 2019 Dividends – RM112
June 2018 Dividends – RM224
Total 2019 Dividends –  RM280
Dividend Yield (so far) – 1.25%

Cypark Resources Berhad

June 2019 Dividends – RM479.70
June 2018 Dividends – RM459.20
Total 2019 Dividends –  RM479.20
Dividend Yield (so far) – 2.71%

A look at 2019 so far

5% Dividend Yield

The most important goal of 2019 for the Freedom Fund is to achieve a 5% yield. Looking at how it is at the halfway mark, we look to be heading in the right direction.

Markets are on the up again and I’ve been slowly building up my net cash position. I’ll be adding stocks to the portfolio soon when the markets go down.

Accumulate Dividend Aristocrats (Malaysian version)

This is a new goal and target of mine.
Let me define a Dividend Aristocrat – The Dividend Aristocrats are S&P 500 index constituents that have increased their dividend payouts for 25 consecutive years or more.

That’s the US version of a dividend aristocrat. Now you’ll be hard pressed to actually find a handful of companies on the KLSE that have been operating for more than 25 years, let alone one that have increased their dividend payouts consecutively.

Sadly, as a Malaysian, I’ll define Malaysian Dividend Aristocrats as Companies listed on the KLSE that have increased their dividend payouts for 5? consecutive years.
Or should it be 10. Lemme get some buddies together and do some research.

End.

We are at a total dividend income of  RM8,925.76 . Giving the Freedom Fund a yield of 2.39% now. 

Freedom Fund as at June 2019
Dividend Income (June) –  RM1,783.04
Dividend Income (2019) –  RM8,925.76
Dividend Yield – 2.39%

I hope everyone else’s portfolios are doing well as we close Q2.

May Dividend Update

Took a pretty long break during the Raya holidays, hence the kinda late post. I received a total of RM1,332.16 for the month of May.

Only two companies contributed to my dividend income last month – Malayan Banking Berhad and Nestle Malaysia Berhad.

Compared to the same month last year, I only collected RM667.52. That’s a 69.51% increase in dividends. Total dividends stand at RM7,142.72. Dividend is at a healthy 2.04% so far.

Malayan Banking Berhad

May 2019 Dividends – RM1,052.16
May 2018 Dividends – RM1,040.64
Total 2019 Dividends –  RM1,052.16
Total 2018 Dividends –  RM1,853.64
Dividend Yield (so far) – 3.92%

Received a total of RM1,052.16 as dividends. Some in the form of shares via Maybank’s dividend reinvestment plan. Full details of the DRIP are hERE.

Nestle Malaysia Berhad

May 2019 Dividends – RM280
May 2018 Dividends – RM270
Total 2019 Dividends –  RM280
Total 2018 Dividends –  RM550
Dividend Yield (so far) – 2.09%

End.

We’ve broken the 2% dividend yield mark. Should hit 3% in a month or two. June is gonna rock!

As of the month of May, my total dividend income so far is 4% higher compared to 2018. In simpler terms, my dividends are increasing.

We are at a total dividend income of  RM7,142.72 . Giving the Freedom Fund a yield of 2.04% now.

Freedom Fund as at May 2019
Dividend Income (May) –  RM1,332.16
Dividend Income (2019) –  RM7,142.72
Dividend Yield – 2.04 % 

April Dividend Update

I’m not sure what it is but 2019 has been a peculiar year. Dividends that were supposed to come in their respective months didn’t. Leaving my y-o-y dividend income in a deficit for January, February and March so far.

The fourth month of the year is putting things back in its place though – I raked in a total dividend income of RM2,415.12 this time around. A 400% increase when compared y-o-y.

Total dividend income up till April stands at RM5,810.56 right now. 1.55% higher than it was April last year.

Tenaga Nasional Berhad

April 2019 Dividends – RM230
April 2018 Dividends – nil (I bought TNB at a later date last year)
Total 2019 Dividends – RM230
Total 2018 Dividends – RM782.40
Dividend Yield (so far) – 1.63%

TNB is taking a beating in the stock market lately. I’m prepared to purchase additional shares any time soon now. Follow my Instagram and Facebook for live and immediate updates.

AirAsia Group Berhad

April 2019 Dividends – RM1,596
April 2018 Dividends – RM1,596
Total 2019 Dividends – RM1,596
Total 2018 Dividends – RM1,596
Dividend Yield (so far) – 3.85%

I missed the chance to grab some shares of the aviation company at RM2.40 levels. Yields have been great so far at 3.85% even at my relatively high purchase price per share.

CB Industrial Product Holding Bhd

April 2019 Dividends – RM280
April 2018 Dividends – RM420
Total 2019 Dividends – RM280
Total 2018 Dividends – RM700
Dividend Yield (so far) – 1.26%

Overall bad performance from CBIP. The stock has dipped to very, very low values in the past few months.

Sunway Berhad

April 2019 Dividends – RM309.12
April 2018 Dividends – RM254.52
Total 2019 Dividends – RM309.12
Total 2018 Dividends – RM551.46
Dividend Yield (so far) – 2.71%

I’ll be monitoring Sunway for purchase opportunities. Dividends have increased y-o-y and I like that that issued the dividends this time around via additional shares.

This adds tremendous value to shareholders and shows the management’s confidence in the company itself.

End.

A tremendous April as my dividend income has finally caught up to the previous year’s levels. We are at a total dividend income of RM5,810.56. Giving the Freedom Fund a yield of 1.66% now.

Freedom Fund as at April 2019
Dividend Income (April) – RM2,415.12
Dividend Income (2019) – RM5,810.56
Dividend Yield – 1.66%

I’ve started a fun side project compiling AGM door gifts hERE.

Been receiving many pictures from everyone and adding to the list. The next time you’re at an AGM, do take a pic of the gifts and meal if possible and send it to [email protected]

Thank you in advance!

Let’s see if we can get a handle on which company gives the best gifts soon.

March Dividend Update

We did good in March. Raking in RM1,265.27 in dividend income from a total of 5 companies. Compared to RM2,166.98 March last year.

Don’t let the figures fool you though, there was a one-off gain from the takeover of Goldis Berhad last year, netting me RM1,441.68.

New faces include Homeritz (which traditionally declared dividends in February) and my preference shares from Goldis (which you can read about hERE)

Homeritz Corporation Berhad

March 2019 Dividends – RM366.75
March 2018 Dividends – RM537.90
Total 2019 Dividends – RM366.75
Total 2018 Dividends – RM782.40
Dividend Yield (so far) – 2.60%

A dip in dividends for the furniture company.

Public Bank Berhad

March 2019 Dividends – RM222
March 2018 Dividends – RM204
Total 2019 Dividends – RM222
Total 2018 Dividends – RM396
Dividend Yield (so far) – 2.00%

A 10% increase in dividends from Public Bank this year.

Sunway REIT

March 2019 Dividends – RM281.52
March 2018 Dividends – RM297.30
Total 2019 Dividends – RM281.52
Total 2018 Dividends – RM1,179.94
Dividend Yield (so far) – 1.42%

A decrease in dividends from Sunway REIT. Hmmmm.

Scicom Berhad

March 2019 Dividends – RM168
March 2018 Dividends – RM224
Total 2019 Dividends – RM168
Total 2018 Dividends – RM1,008
Dividend Yield (so far) – 0.75%

IGB Berhad (formerly Goldis Bhd)


March 2019 Dividends – RM227
March 2018 Dividends – RM227
Total 2019 Dividends – RM227
Total 2018 Dividends – RM227
Dividend Yield (so far) – 2.15%

End.

A pretty good month. The total dividend is lower due to the aforementioned one-off proceeds from IGB Berhad.

All in all, dividend income actually increased.

Freedom Fund as at March 2019
Dividend Income (March) – RM1,265.27
Dividend Income (2019) – RM3,395.44
Dividend Yield – 0.92%

We’re almost at 1% there. Hoping to reach 5% in dividend yield this year.

End of the first quarter so I’ll be updating the figures in the Freedom Fund soon.

February Dividend Update

My February wasn’t all fine and dandy. I received only RM1,099.48 in dividend income from two companies – IGB REIT and Axis REIT. As compared to RM1,732.06 in 2018.

That’s a 36.52% drop in dividends compared to the same month last year. The main reason being – Homeritz declared in February last year, but I received their dividends in March instead, in 2019.

Also, if you’ve been following me on Facebook and Instagram, I’ve actually sold half my holding in Axis REIT after receiving their dividends.

IGB REIT

February 2019 Dividends – RM612
February 2018 Dividends – RM1,007.99
Total 2019 Dividends – RM612
Total 2018 Dividends – RM2,865.43
Dividend Yield – 1.51%

A huge 39% drop in dividends from IGB REIT.

Axis REIT

February 2019 Dividends – RM487.48
February 2018 Dividends – RM186.17
Total 2019 Dividends – RM487.48
Total 2018 Dividends – RM1,359.45
Dividend Yield – 1.42%

A 162% increase in dividends for Axis REIT.
The REIT is back on track and I foresee future growth in share price. My reason for disposing of half of the stock is because the yields are still below par for my portfolio.

End.

Freedom Fund as at February 2019
Dividend Income (February) – RM1,099.48
Dividend Income (2019) – RM2,129.48
Dividend Yield – 0.58%

Dismal dividends for the first 2 months of 2019. Still optimistic for the rest of 2019 though!

Onwards and upwards. How has everyone’s portfolio performed?

January Dividend Update

Welcome back to 2019 ladies and gents.

Markets have somewhat rebounded but sadly I didn’t make any purchases during the slump.

The first month of the year brought me a total of RM1,030 in dividend income. That’s a 23% drop in dividends compared to January in 2018.

CBIP failed to declare dividends in January as they did last year. The only company that paid me this month is good old Scientex Berhad. Their dividends increased by 12% from RM920 last year. 

Scientex Berhad

This Month’s Dividends – RM1,030

Total 2019 Dividends – RM1,030

Total 2018 Dividends – RM1,840

Dividend Yield – 2.32%

A big 12% increase in dividends compared to the same time last year.

End.

Freedom Fund as at January 2019
Dividend Income (January): RM1,030
Dividend Income (2019): RM1,030
Dividend Yield: 0.28%

This has been a short one as only Scientex paid out dividends for January. As we head into February, I’d like to wish everyone a happy Chinese New Year.

I’ll be heading back to my kampung soon. So follow me on Instagram for more of my CNY celebration and shenanigans. =D

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