What A £450,000 Dividend Portfolio Paid Me This Month: Passive Income April 2024
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- เผยแพร่เมื่อ 18 พ.ค. 2024
- Monthly passive income from share dividends and Premium Bond Prizes.
Current holdings of the companies shown in this video..
Barclays (15.9k), GSK (18.4k), Diageo (24.2k), Rio Tinto (8.9k), HSBC (12.3k) Premium Bonds (50k maximum allowed)
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Disclaimer
This video should not be construed as investment advice. Investments can fall and rise. Capital at risk.
How is your investing journey progressing?
Happy Sunday, CI! Always nice to see the money box in action.
My end - no luck with prem bonds. But survived a recent in-specie transfer from CBAM to AJ Bell, so couldn't be happier. It all went much smoother than expected. With the recent reduction in comms and a hard cap on anything exchange traded, it seemed like a reasonable harbour to park the treasure chest. Playing around with all the challengers on the side, but at present their track record is limited. So I'm sticking with the bigger boys for the main portfolio.
Been learning more about Koyfin for screening/analysis. Nice to see a cheaper way to mine S&P Global data taking shape. Hopefully they can get their portfolio tracker up to snuff, so I can have everything in one place.
Now sat here waiting for the LISA bonus to show up after the usual weekend platform maintenance. Will either get dunked into Aviva shares or the broader market. Let's see where we are next week. :)
Thanks so much for sharing your thoughts and investing strategy. I'm glad the transfer went well to AJ Bell.
Not well😢. Upto £9500 bit had to stop contributing due to having to pay a large bill
@troydyall6624. Sorry to hear that. Hopefully back on track soon with your investments
@@TheCompoundingInvestor august hopefully 🙏🏾🙏🏾
Nothing like a Sunday morning 8am education
Thank you 🙏🏻
April, I made £14.53 in dividends. With HSBC being my biggest return
Nice work Colin!
Happy Sunday everyone South Africa 🇿🇦 is here to an educational cold day.Thank you for this💐.
Just a thank you ace.
Following your blueprint, I am currently £6300 up on the £10k I started with nearly 2 years ago.
I haven't added anything to the pot...just let it compound.
I only wish I'd started 10, 20 years earlier.
Excellent work. Compounding nicely. I think unless we are Warren Buffet we all wish we had started earlier. I believe he started investing aged 11
@@TheCompoundingInvestor started with 10 shares, now have 12 as two splintered.
My savings were doing nothing so I just thought 'start with 10k, see how you go....'
Don't worry thay is exceptional return so it will pullback a bit...
Luxury problem!
Well Im happy to report, as a new invester I got recently,
17.07 from at&t
0.57 from nike
1.84 from coca cola
Its a start 😂
It can get addictive when the dividend payments start rolling in. All the best on your journey. Great start.
How much you invested in AT&T mate
Just so you’re aware if you invest in American listed stocks you’ll have to pay withholding tax to the IRS. The rate is 30% but you can reduce it to 15% if you claim your rights under the US-UK income tax treaty.
Thanks again for the video starting to get there now £174.88 for April in dividends and £150 on the premium bonds. Roll on May
Onwards and upwards! All the best Alistair
I agree that renewables have not been doing great for a while now but I will stick with them and wait for the turn as the yield they offer is very strong. I don't think the higher for longer interest rate environment has helped them but hopefully that will change later this year. £250 for me in the PB draw which equals my best ever month. All the very best to you for the month of May 👍🏻
Thanks so much for sharing your thoughts. All the best
Your channel is required viewing for me!
I love the cash thrown into the draw....as a cash man that is a great image.
My portfolio is similar to yours in that I own about 35 mainly FTSE 100 dividend paying shares, but unfortnately
outside of an ISA so I have to pay tax on my dividends.
I agree with you about Bluefield Solar....I too own those shares, but considering that we live in such a dull cloudy country,
that seems illogical, so will probably transfer Greencoat too.
As for BAE, I do feel a little guilty about making money out of war. But they and Rolls Royce are great performers and show that
maybe UK manufacturing is not dead yet.
Thanks so much for sharing your thoughts. All the best on your investing journey
nice one id love to be in your position lol i just buy into the vanguard world fund but only have a small amount in there, im currently 30 years old but hoping over time i can put as much as i can to fill the isa each year and then do the 4 percent rule and retire early
Been enjoying your videos for the past couple months and recently got started on my own investing journey into an all world index fund portfolio on vanguard (specifically Global All Cap) and on T212 (90% VHVG and 10% VFEG). Thank you for sharing the insightful story of your own journey! I'm only 21 so hopefully in years to come I will see great returns.
Thanks and all the best to you. I’m actually planning on adding an all world ETF (VWRL) to the portfolio soon
Great video, great to see your journey, I’ve been going nearly 12months in dividend investing and really enjoying it. Your video is an inspiration for anyone who needs to see that this way of investing, dividend and growth is certainly a must. I 100% agree with your solar trade, that’s a great call. Thanks for sharing all your hard work.
Thanks so much and all the best on your investing journey.
Congratulations, on the amount of dividend payments. April for me is a lower month in the year £596.36 in dividends.I call it money for nothing, living for free. The power of passive income is not to be underestimated. It's not about the amount you can afford to invest. it is regularity of making investments.
Absolutely agree Michael. Adopting a consistent approach and enjoying the process no matter how much you have to invest is key for the long term
Great vid. Thanks for the update. What is the plan with your VHYL, do you intend on keeping your current portfolio and drip feeding VHYL?
I just started off my portfolio - I went with VWRL and VHYL in my SS ISA and also opened up a premium bonds account. My 30 year journey starts now! 😄
I'll carry on adding to VHYL periodically with dividend money as it's inside the ISA. I'm also thinking about buying VWRL outside the ISA
Thanks for the update. Trig is not having a great time at all. I've purchased more during the dip. However my holding is small so I can sit and wait. I also have Vod, small holding but looking to shift over the year..
You are welcome. Hopefully things will pick up soon if interest rates continue to fall. All the best
Across my two ISAs : I have £1100 and £500 dividend income a year each with a portfolio value of 73k (25%up) and 26k(3%). I take cues from the likes of you combined with thorough research. Thanks to you as always with your investment journey
Thanks so much my friend and all the best on your journey
Thanks or sharing interesting to see your buy and sells this month. I only own UKW in this sector, this was one of my bed and isa this year, I also took the opportunity to top up my holdings on this while they dipped, seen a nice since.
I've held UKW since it was floated way back in 2013 I believe. Very good dividends in that time and share price has been fairly stable compared the other energy assets I had. Good luck on your journey.
I just brought bluefield 🤯 but got in at £1.00 which I feel is a good entry point. The dividend is solid and well covered. Greencoat is a good buy I hold as well 🙂
Great video. Not bad last month, big box, GSK and Nike. This month is going to be my best ever month I suspect. Will be getting a significant amount from Dark if I sell out or when the deal is completed (ideally I don’t want them to) which I have yet to decide what to do with.
Thanks so much.
Great video once again,ive trimmed my portfolio in ISA down to 24 stocks which are mainly FTSE 100,im averaging £400 a month so steadily growing as i re invest to use compounding effect, outside my isa ive reviewed all my shares that include Experian, vusa,lseg,AHT etc which have very low dividend yields in them.
£400 a month is fantastic progress. All the best Gurdeep
@@TheCompoundingInvestor thankyou mate & just wish like everyone else I'd started earlier 🙏🏽
I got 100 quid on the premium bonds this month, marginally beating the compound investor. Better than last month’s big fat zero.
Good work! Good luck in future draws
I made £8.31 in dividents in April. Aiming to get consistently above 10/ month
Setting yourself targets and working towards them. I like it! Great work and all the best on your journey
Lots of exciting buys this month. Thank you for the update.
You are welcome Tom. All the best my friend.
Best videos I've found on this topic. You're a great teacher, thanks.
That's very kind. Thanks so much for watching
Very interesting. My holdings are geared towards capital growth and haven't focused on any dividend stocks but this is great to see. It almost makes me want to start a dividend portfolio haha
Total return is the most important thing from a financial perspective but I find dividends extremely motivating which keeps me focused
@@TheCompoundingInvestor Yeah, it must be nice to see that regular income adding up, and having those dividends come in even if the market/share prices aren't doing so well.
Absolutely, at the start of the pandemic my portfolio fell from 230k to 170k in what seemed like a few days. That could scare a lot of people. Yes the dividends did take a hit but that was gradual and it soon picked up again
I like experian😊 I think it's going to be in my isa this month. Thanks for the update 😊
Thanks Malcolm. All the best
I’ve just uploaded my dividend income update and it’s not good 😭 I’m starting over. One day, I’ll get my portfolio to this. I’m determined to!
I'll be sure to watch. I'm sure with your steady, methodical and determined approach you will build the portfolio back up. All the best Nicola!
Standard Sunday morning watching!
Thanks so much for watching!
Many thanks TCI - always interesting to see what you've sold and what you buy. I'm also in with Relx, Experian & LSEG recently. Quick question if I may TCI? I'm trying to find a source that gives historical NASDAQ Index data, but plotted showing its P/E ratio, and not the index value itself ? Can you suggest something?
Thanks. I tried searching for the question you asked. Probably not much help but maybe the link below has something..
www.macrotrends.net/stocks/charts/NDAQ/nasdaq/pe-ratio
@@TheCompoundingInvestor Perfect !! Many thanks. I'm trying to get a measure of the NASDAQ Index as to if and when it's valuation become 'stratospheric', as a way of perhaps judging a time when I should sell BEFORE a correction takes place. I'm also using the VIX Index & Fear & Greed Index to help me in finding out where we are. Thanks again.
I like that you are now including the Yield on Cost, as over time it gets more important than the portfolio yield, just like in your case.
Yeah I should have done this earlier in my videos. Think it was another TH-camr Thomas Goldstep Finance where I got the idea from as he shows it in his videos
April was brilliant with Shoezone , HSBC & Natwest too. Im sticking with RR although am now out of direct US holdings as I move towards maximum yield. Ive done very well and Im sure Amazon, etc will keep going up so have them in VUSA just dont want a sudden correction.
Nice work. I sold around 20% of RR and it’s still the largest holding, so it remains a big part of the portfolio. I’m thinking of adding VWRL outside the ISA in the near future.
Congratulations on 30k Professor!
Thanks Dr Jubair. All the best
As always brilliant video.
I've maxed this years out already and tempted to move out my VUSA into the invest account and sell up some higher paying dividend stocks - Just grown to attached to some of the green %s but I know it needs to be done!
Thanks so much for the feedback. Looks like you are doing some spring cleaning too. All the best.
Nice job 😊and well done 👍
Thanks so much Paul
Always look forward to this video coming up every month!
Thanks David. Glad you are finding it useful. All the best
Nice one mate, solid investments and compounding interest. I'm looking to boost my stocks and buy new ones soon. Any suggestions coming soon?
Thanks. Thinking of adding VWRL at some point.
Thanks for sharing 😊👍
Thanks for watching and good luck!
I was shocked to see TRIG & BSIF have gone but i see why.
Another quality instalment as always🙏🏾👌🏾
Thanks my friend. Roll on May. Looking forward to your next update 🙏🏻
I love the video as they are incredibly informative. One thing I’d like to know, and I’m not sure if you’ve already mentioned this in a past video but it would be great to see how much you invest each month from your own earnings. Not including any dividend yields, just simply from what you earn from working and what you put into the Stocks and shares Portfolio. Keep up the great content!
Thanks so much. The plan was to invest between £500 to £1000 a month initially but as the years went by, wages went up. I think the average is 1.4K a month of new money e.g wages going in over the 15 year period. The actual amounts per year would vary so much. When the market was booming I put a lot less in and invested in premium bonds to build up an emergency fund and saved cash also. When the market crashed, I used the cash savings to buy up bargains when prices were cheap. Most people tend to do the opposite of course. When the market is going up they put more in and when the market is crashing they don’t go near it or they sell stuff. Paying off the mortgage before starting this portfolio helped a great deal in freeing up more funds each month and allowing me to focus on this one pursuit. I’ll leave a video below on how I attacked the mortgage if you are interested..
th-cam.com/video/s-YpNhVsGOk/w-d-xo.html
Amazing stuff thank you. I’ll be sure to check out the linked video.
Looks like a great month once again! It was a healthy month of dividends here too with some similar companies to yourself.
Have you a target in terms of % of portfolio for your All World and S&P ETFs Vs individual companies?
No real target in mind but as time goes by the ETFs will naturally become a much bigger part of my portfolio. VHYL is inside the ISA and I have IUSA outside the ISA. I'm thinking about adding VWRL in the future also to be kept outside the ISA as the dividend is quite low. I didn't know about ETFs way back in the day when I started this portfolio. They were not mainstream as they are today.
Such a great video and channel cheers mate :)
You are welcome my friend. All the best on your journey
Amazing results, well done! Premium bonds is interesting - I managed £600 so far this year, I've definitely underperformed having it in the bank lol, shame the tax threshold is so low.
I agree, so much variation with bonds. 2023 brought in over £3,000 in prizes but in 2022 I only won £500 for the whole year even with the max invested
I’m a rare subscriber, but watched a few videos and all have been brilliant. Hit the big red button after this one!
Thanks so much Tom. I really appreciate it.
Hi i have only just started on this journey and have enjoyed your videos,
So i have joined 212 isa and will get dividends which i will invest,but what if i want to take the dividends cash will that effort my isa?
Thanks
Great to hear you have started your journey Toby and plan to reinvest the dividends. They should remain as cash inside your ISA platform ready to reinvest when you want to or you can simply withdraw the cash and spend it instead if you really need to.
Thanks for that,I have a good pension which I took at 57 and premium bonds maxed,I thought open up a isa and invest, So I could get some extra cash, i find your monthly videos very good,and I am strangely enjoying this path I am going down,
Thanks again
Great video as always £79 for me up from £52 last year in pleased with that keep up the good work all the best
Nice work Lee. Always good to see the figures increase year on year. Very motivational.
A year ago I made a t212 pie based off the video you did revealing your whole portfolio and it’s currently 14.74% up not too shabby.
That’s good to hear. Nothing guaranteed of course with the stock market but over the very long term will hopefully beat inflation.
Can I ask what was your initial investment into premium bonds? And did you set it up so the dividends were automatically reinvested? Thanks
I think I started premium bonds with £1000 or so and then added in blocks of around £2000 to £5000 until it was full. Took around 6 years I think to fill it completely. Yes you can set it up to automatically buy more bonds.
In an earlier video you mentioned you paid off your debts. Did this include mortgage? Wondering on whether it's better to pay this off first or focus on dividends?
The video below should explain all..
Should You Pay Off Your Mortgage or Invest?
th-cam.com/video/s-YpNhVsGOk/w-d-xo.html
I'm keeping BSIF and TRIG to see what comes...for now...
I’ve been wrong many times before. If interest rates continue to fall then they should do better. All the best
Quick question I use same platform but I don’t get any record of what dividends I received I used to when I took it in shares any idea how you track it or how you see it ?
Remind me which platform you are using?
Barclays smart investor when I took dividends as shares it would show now it dosent if I select cash payments ? How do you see it
If you click on your account there should be a drop down menu called OVERVIEW. Click on that and you can then see an option called CASH TRANSACTIONS. That will show all dividends paid. The option ORDERS shows all buys and sells you have made.
@@TheCompoundingInvestoramazing thank you so much your honesty the best !
If I may ask, what formula do you use in your spreadsheet to calculate yield on cost?
(Total dividends received in the last 365 days divided by amount invested since I started) x 100
I already own Relx and just doing some final research on Experian, likely selling half an existing position to facilitate it (CRH). Are you still using your Barclays platform or would you swap to another provider nowadays?
From a purely financial point of view it would make sense for me to swap to another platform but I’m a bit apprehensive of transferring a large portfolio across in case something goes wrong especially where ISAs are concerned. I’ve heard a few horror stories of it sometimes taking several months. If I were to transfer I’d still choose a traditional platform like Hargreaves Lansdown for instance which would not exactly be cheap. I prefer the customer service of a traditional platform and they have stood the test of time. I’ve therefore no immediate plans to change. On the subject of Experian, you might want to check if there is a witholding tax on the dividends. I believe the headquarters is in Ireland which might mean there is a witholding tax of 25% on the dividends before you even get them. I’m not 100% sure about this however so worth checking out. I’m not too fussed about it personally as the dividend is fairly low anyway but obviously this is worth checking out. Smurfit Kappa is another company which is headquartered in Ireland but that has a much higher dividend. I have not bought Smurfit Kappa for that reason.
@@TheCompoundingInvestor that makes sense to with the large value element and timescales. How has Experian faired for you since starting your position as well as Relx?
RELX is showing a gain of 9%
Experian is 6% gain
@@TheCompoundingInvestor lovely!!
Small thing but at 10:07 you say Barclays pay a 4% dividend over 4 payments a year, but on the screen it says "frequency twice", which is it? Or have I misunderstood?
A few have mentioned this. Barclays pays twice a year. They used to pay quarterly and as I've owned them for 15 years I keep forgetting that they no longer pay quarterly.
@@TheCompoundingInvestor Thanks 👍
Well done… think u continue to make shrewd decisions
Thanks so much. Time will tell.
So just to be sure, I can withdraw my dividends if I wished, I am with Trading 212 ISA account, and its not taxable income?
This is correct. Even if your dividends inside your ISA are a million quid a year, you can take out the cash and there is no tax to pay on it
Good to see you have ditched solar.
Would you recommend buying into Coca Cola before or after ex dividend mindful it only pays once a year? I don't own it yet. Thanks.
It doesn’t really matter financially if you buy before or after the dividend as the share price drops the same amount as the dividend on the ex-dividend date. In the early days I preferred to buy before the ex-div date more from a motivational point of view as I then didn’t have to wait so long to see the cash rolling in
@@TheCompoundingInvestor but out of experience, wouldn't you say that the share price typically drops more that the dividend as investors might want to move the money somewhere else? Especially because they'd otherwise have to wait another year to get paid the next dividend.
I don’t believe there is any way to gain an advantage buying before or after the ex-div date. If there was it would be widely known, exploited and then because of this would quickly disappear.
Sold out of TRIG and Bluefield this afternoon. Placed a Fill or Kill order after hours for £4000 in greencoat to add to what I already have. Ex dividend this week so sneaked in for the dividends being paid at the end of the month. Happy with that although I expect the price to drop on ex dividend day. My simply Wall Street app is showing a yield of 9.6% !?
Dividend data has Greencoat at 7.1% yield and dividend max has it as 8.0%.
@@TheCompoundingInvestor weird is t it…. You’d think there would be a single source of true data…. Either way, I see growth and a dividend so I’m happy with my choice!
Finally miners are picking up with take overs in the air. Hopefully their divs will go back up too. Putting some new money into high paying eft fund. Not a lot but its nice to have some 10% income to boost the avg return on the portfolio. Hopefully iag will take off soon then itll be sell or stick woes!.
I just hope if and when they are taken over they remain as UK listed companies
Perhaps better value listing in the US. I'm more concerned about Utilities being taken back into public ownership. Looking to move out of a fund that has several of them in it as I fear they will suffer from even a hint of it.
when you mention how much you have in holdings per company/share - is this based on total amount of shares owned or value of the total shares?
It’s the current value in pounds of my complete holding in that company
Some big moves there 🙌🏻 All make sense though & hope they’re lucky for you!
Thanks so much, I really appreciate it
It seems like you prioritise protecting your dividend income within your isa instead of capital growth. Is that purely as it’s more calculable/ can be to some degree forecasted than capital growth? I would be interested to hear your reasoning on it?
Capital gains tax is much lower and is more controllable as I can decide when to sell those shares. However dividend tax is much higher and potentially is a taxable event every year. I therefore try to protect the dividends and not worry so much about capital gains
@@TheCompoundingInvestor ah okay I had not thought of the difference in tax. Would only make more sense if you had a very significant gain like your roll royce shares. Out of interest was that within your ISA or outside?
@jameswolridge5857 Rolls Royce is outside the ISA as it pays zero dividends currently. It has increased in value significantly but I did sell a chunk of it to use up the capital gains allowance last year. Still quite a lot of gain left however but I had no idea the shares were going to do as well as they did.
@@TheCompoundingInvestor yeah that makes sense. I mean no one really knows which of their stocks is going to be a huge winner and with a portfolio of your size you can't protect everything. Thanks for replys
Probably a rude question but since you’ve mentioned previously you would like dividends to replace your monthly salary eventually; how much will your monthly dividends need to grow to match your take home?
Hi, it’s not something I disclose publicly but I’m a long way off achieving it through dividend income and may never get to that that point but the dream motivates me to continue trying
@@TheCompoundingInvestor that’s fair and understand your reasons for wanting the privacy. I guess I’m just interested and trying to compare to my own journey ahead, as when you say you work in the education sector it’s (I imagine deliberately) vague- as there’s obviously a HUGE gap in salary between a teaching assistant and an academy director for example
Somewhere in the middle of that I would assume. Ordinary teacher in the U.K. with no extra responsibilities etc. I’m sure you could look up a ball park figure for that. I did however pay off my mortgage before starting this portfolio and how I did this is explained in the video below if you want to see more of my journey in the early days..
th-cam.com/video/s-YpNhVsGOk/w-d-xo.html
Fantastic video as ever.
Thanks so much
Great that you decided to put in ISA so no more tax
As long as I keep the dividends outside of the ISA below the £500 limit which will become more difficult. Everything in the ISA is free of tax at least
Hi professor, how about a us tech fund? May I recommend Xlkq or iitu?
I buy the S&P500. That has enough tech in it for me.
Just around £50 interest, nothing from Ernie in April.
All the best in future draws
My investments have been doing nicely since last October. The high tide lifts all boats though.
Question for you. At what monthly/annual income level will you quit the day job? When it exceeds current salary, or at some target. Or are you just holding out for the million pound premium bond prize?
outside the isa, what do you use to invest your money?
ISA and General Investment account are both with Barclays. I also have Premium Bonds and a Direct Saver account with NS&I. I do have small amounts in FreeTrade and Trading 212 but they are just experimental fun portfolios.
Would you ever consider using a spreadbetting account (with positions sized to 1:1 so no leverage used) to avoid the extra financial penalties of the GIA?
I have tried a spread betting account many years ago but I don’t consider it suitable for long term investing. There are roll-over fees built in and the need to keep a fairly large deposit of funds to cope with margin calls etc and you don’t get dividends paid to you either. It’s not for me.
Thanks @TheCompoundingInvestor,through your videos i started with £100 in the beginning of Jan and now upto £120! Mostly to do with Nvidia. Now going all out with £5k spread out across div. paying companies. Plan is £100 pm for 20 years when i retire! Can i ask if i did it through Trading 212 would i just get the dividends on the app or to the bank account. Thanks a mil again, your vids are invaluable. Keep up the good work
Great results so far. Nice work. I’m not entirely sure about the answer to your question. I think the only options are to have dividends automatically reinvested into the companies which paid them or to have the cash left on your platform and then you can manually transfer them to a chosen bank account. Maybe someone on here can verify
Can I ask how you started to learn this sort of stuff? I sit and watch your videos, parts of it make sense. But when it comes to finding the stocks, it scares me abit
I don't use a lot of science to it. I simply think which large companies / sectors we can't live without and which will perform no matter what the state of the economy e.g. pharmaceuticals like GSK and AstraZeneca. People need medicine no matter how the economy is doing. Oil, gas, water, electricity are other examples. They are Monopolies and new entrants cannot compete with them. Nobody is going to suddenly arrive on the scene and challenge National Grid, as the power lines are already here. Diageo and Unilever also have monopoly power. Every household in the UK probably has Unilever products somewhere in the house and with Diageo, think house difficult it would be to produce a drink which out-compete Guinness. These companies will probably still be here in 100 years from now. There are plenty of US companies of course which have similar monopoly power. When you buy a share in a company you are a part owner of it. You can also buy ETFs which buy the whole index if you are not confident in picking individual companies. Not investment advice of course just my own strategy.
There is a video I did on my early journey into investing if you are interested which also touches on paying off debt first. You might find it interesting to see how my early journey started..
th-cam.com/video/s-YpNhVsGOk/w-d-xo.html
Can I open second stock and shares isa with another broker I have allready with IBKR and I want to open with Trading 212 ?
Yes
Yes I believe so
Yes. You can split your 20k by however many platforms you want.
@@charlesbrown4941 thank u so much
Just uploaded my dividend/premium bond/real estate review video - damn, my luck is so out with premium bonds! 😅😅
Nice one Thomas, I’ll be sure to check it out.
Would you ever consider cashing in your stocks and going into business? You could buy a business paying you 150k+ a year in dividends and still be debt free or take on some debt and buy a business making nearly half a mill a year.
I have a busy full time day job so don't have the time or knowledge for going into business or investing in property etc. With shares, I can basically buy and forget.
@@TheCompoundingInvestor Fair enough, you'd surprised just how easy it is for a man with that much cash. With using leverage you could easily buy a business worth a million quid as making 250-500k a year.
Thanks ❤❤❤
You are welcome
GOOD MORNING.
Good morning to you
Will you be attending any upcoming AGMs? Shell are having theirs on the 21st May. If you turn up, lunch is on me.
Unfortunately I’ll be working but thanks for the offer 🍽️
Hi, what platform do you use to invest. Most only guarantee £85k will be protected. I want to start but I don’t know which platform to use
In an ordinary bank account yes, 85k is protected. On my Barclays Smart Investor platform, all customer assets are segregated from the bank's assets even the cash on the platform. In the event of the platform going bust they cannot sell my shares or have access to my funds. I suspect most platforms operate this way by law but worth checking out to make sure. Barclays is the platform I use but they are quite expensive. There are much cheaper options out there like Trading 212. I'm a bit reluctant to change now in case something goes wrong with transfer of a relatively large portfolio especially where ISAs are concerned. To be fair I've not had any significant issues with Barclays over the 15 years I've been with them.
@@TheCompoundingInvestor thanks for the reply. I was looking at vanguard. Trading212 sounds good I looked at that as well but T212 isn’t as established as a big bank like Barclays. I think I will use barclays. Thanks
With the ISA you put in 20k a year and can you keep adding 20k every subsequent year so in five years you end up with 100k in it?
That’s correct but also your shares tend to grow over time so you could end up with a lot more than 100k in it. The reverse is also possible however. There are many ISA millionaires in the U.K. now and the dividends they get now must be staggering. All tax free of course
@@TheCompoundingInvestor 6 years ago I met some retired guys who put all their retirement money into (one) dividend UK company. The company didn't pay out any dividends for the 6 years so this put me off the idea of getting dividends. Although now I'm doing well in other areas it might be time to take a more serious look at dividend investment.
First dividend payment received - 32p
Good start. Onwards and upwards towards the magic £1. All the best on your journey
Have you got link to buy NS&I bonds?
Available to U.K. residents..
www.nsandi.com/products/premium-bonds
@@TheCompoundingInvestor thanks
@@TheCompoundingInvestor do you get interest on the bond savings? Or just save each month
You don’t receive any interest at all. Everyone’s interest is collectively put into a lottery and divided up into thousands of prizes which are then awarded at random to lucky holders. Your actually amount you put in is never lost and you can take it out whenever you want
sold rr when got over 3 pound a share did well did think about adding to bae
I sold around 20% of my RR holding. Still the largest holding in the portfolio. They have had an incredible run.
@@TheCompoundingInvestor i imagine large in most investors portfolio but no div yet
The next Barclays dividend is September 17th, twice a year, not four times.
Oh yes, thanks for pointing that out. They used to pay 4 times a year back in the day. I must try and remember that they no longer do.
@@TheCompoundingInvestor You're probably thinking HSBC, who recently switched from biannual to quarterly under pressure from Ping An. We'll see how long this lasts. Biannual is more common in the UK. In Europe and Asia, you'll often get just one pay out per year. So it rather depends. Barclays used to be a bigger fish back in the day - likely tried to keep up with its American peers.💰🥯🎩
The banks have not done great for me since I started in 2009 and that was a very scary year as I started in January. Good to see the banks share prices performing nicely in 2024. About time.
@@TheCompoundingInvestor Yep, traditional banking operations struggle when the cost of money is cheap and the investment arm crashes. GFC was a perfect storm.
Still, when run well, they're as close to a perfect money machine as you'll get. Glad they're picking up for you.👍I reckon a decent batch of your early shares would've been bought close to all time lows.
Nat West has been my best performer recently.Was lucky enough to buy with the Farage debacle .
Which allowed me to buy at £1:78 and then got a nice £1380 divi payment this month .
I take it that you use the dividends gained in the isa to transfer none isa stocks into your isa - I have been doing this for a few years and now have all my shares in Isas
What a bed and ISA transaction does is sell the stocks outside the ISA and the cash e.g. 20k gets moved to inside the ISA then the same shares are bought with that cash which was transferred across. I do this once a year
@@TheCompoundingInvestor yes but your getting approx 1.2k per month in divs in the isa that means you can sell approx 1.2 k of none isa shares and rebuy them in the isa using the isa cash from your isa divs that mean you can put approx 35k into your isa a year - if that makes sense
Oh yes this is true and I have used this method in months when I get a lot of dividends in the ISA e.g. in September it's usually around 3k and I can transfer a big chunk across. Did this with some Diageo last year.
£178 for April, but May should be a better month
Thanks for sharing your progress. Excellent work!
Yeah, returns haven’t been the best but hey at least you have half 1 million. That’s way way more than most people have
I’m definitely a lot more than you not investing at all and keeping it in just a current account
GSK is cool
Yes it’s on a good run this year
Had a great month, I’m heavy into banks stocks which have boomed, got a big dividend from NWG which I have invested into MNG, which is in a dip. MNG pay a relatively safe 10.4% dividend
Yeah the banks are definitely on the up this year. Thanks so much for watching.
You say you have £750 in Premium Bonds and win/won?
What fortitude!
I’ve got a few pots in PBS; £3500 being the biggest a then £100 every month (for my cats, yes cats) so a few extra thousand making a larger pot and have won twice since 2020, £25 and £50. Lucky you!
It’s my emergency fund also so no stressing. The cats are insured but you never know!
I have the full amount of 50k in premium bonds. The £750 is what I should have won so far this year based on average luck. In reality I’ve won much less than that as shown in the video
Wouldn't mutual funds be better for dividends
The charges for mutual funds range from 0.25 to 1%. An index tracking ETF such as the FTSE 100 only charges 0.07% and individual companies have no ongoing charges at all
Ive asked you this before and you’ve not responded yet: With savings accounts currently paying 5%+ why not just stick your cash in the bank?
You can’t beat inflation over the long term with cash in a bank. Your money in a bank will be eroded in valine over time. That 5% won’t last for long. With the stock market history shows you tend to do beat inflation by an extra 5%. Also there is tax to pay on interest in a bank of between 20-45% depending on your tax bracket. I don’t currently pay tax on my dividends or capital gains as I use a stocks and shares ISA.
PS I did respond to you last time. My original message is below..
There is capital growth as well as dividends which you don’t get in a savings account. Total return for 2023 was 9.6%. 2024 will probably be a lot higher than this. My portfolio has increased in value by around 40k already in 2024. There is also tax to be paid on bank interest. In my stocks and shares ISA there is no capital gains or dividend tax to be paid. You can’t beat inflation with cash savings over the long term. History shows that investing long term in the stock market beats inflation. No guarantee of course it’s just what the stats show.
No tax on dividends. WoW, I pay 25%. 😵💫
Yeah we are lucky in the U.K. and have a tax shelter called a stocks and shares ISA where we can shelter 20k of new investments every year
what is the reason for being so heavily invested in the UK? European companies often do much worse than US counterparts due to a lack of investment from their own market.
The U.K. listed companies I invest in are global giants earning on average 80% of their revenue overseas
How much tax do you pay on all these dividends?
I pay zero tax currently. In the UK we have a stocks and shares ISA and any shares within the ISA are not subject to capital gains or dividend tax.
@@TheCompoundingInvestor thanks it must have taken a long time to accumulate so much of 20k a year is max investment
How much tax you pay in you county?
We have a tax shelter called a stocks and shares ISA in the U.K. I currently pay no capital gains or dividend tax on my investments.
Barclays only pay 2 dividends a year
Yep you are correct. Apologies. They used to pay 4 times a year back in the day. I keep forgetting
i wish barc was quarterley
Yes, realised it is twice yearly now. It used to be quarterly back in the day. I keep forgetting
Do they actually send you the money in those cute little envelopes? 🤔
I’m afraid not. I just like to show the amount in actual cash as I think it’s more motivating than numbers on a spreadsheet
Investing in wind power is all hot air😂
I certainly got burned by solar 🥵