Hi everyone hope you are all doing well and collecting lots of dividends. Today I am going to share with you a couple of purchases I made at the end of June. Both of the purchases contribute to my wanting to diversify my investing portfolio away from Canada. Why would I want to get away from the Canadian market you may ask? Well Canada represents only about 3% of the world’s stock market and is dominated by the financial, telecom and utilities sectors so Canadians need to diversify to gain access to the global markets. Last year when I reviewed my portfolio I found that around 85% of my investments were in the Canadian market, that number was far to large. So far in 2018 I have purchased 4 US stocks in an attempt to lower that figure.
Both purchases were for my RRSP account.
Let’s get to my new purchases 🙂
My first purchase occurred on June 27th and that purchase was the BMO International Dividend ETF when I bought 108 shares. I took my portfolio global, this purchase provides me my first exposure outside of the North American market. This buy in my opinion is very important as I had no exposure to the global market outside of North America I had been depriving my portfolio. Now I can say I have investments all over the world.
- ETF was started in November 2014
- Net Assets $419.75 million
- 101 stocks in the ETF
- Management Expense Ratio 0.44%
Sector Allocation for the ETF
Geographic Allocation of the ETF
The ETF pays a monthly distribution of $0.09. With my 108 shares I will provide me $9.72 per month and $116.64 annually.
My second purchase took place on June 29th and that stock is.
Yes Bank of America everybody. I first purchased shares in BAC earlier this year. I believe with a growing American economy the bank is positioned to do quite well. Also at the end of June the bank passed the Federal Stress Test, once that was announced they also said they were providing shareholders with a dividend increase to $0.15 from $0.12.
As mentioned on June 29th I purchased 36 shares of Bank of America. With this purchase I double my investment in the bank and now hold 72 shares.
As mentioned above the new dividend will be $0.15 paid quarterly, so my 36 shares will boost my annual income by $21.60 USD ($28.37 CDN).
These buys help me to further diversify my portfolio and I will continue to do so when provided the opportunity. So what do you think of my purchases? Please feel free to leave a comment.
Thanks for reading