My Most Recent Buys ZDI and BAC

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 🙂

International ETF pic

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.

Fund Facts

  • 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

 

Dividends

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.

A Bank of America logo is seen in New York City

 

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.

The Buy

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.

Dividends

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

Matthew

9 thoughts on “My Most Recent Buys ZDI and BAC”

    1. Thanks Angela. I need to do better when it comes to diversification, it’s to easy to just look at the Canadian market. I really do enjoy watching the dividends come in month after month. Wish I started doing this earlier 🙂

      Liked by 1 person

  2. Good job purchasing the fund..global diversification is important, and it looks like a nice one size fits all solution to your problem. Do you make enough to drip a share each month?

    I’ll continue to buy canadian equities in my TFSA and use my RRSP and spousal RSP to purchase US/International funds/etfs.

    Liked by 1 person

  3. Nice diversification. That is coming up very soon on my list of things to do. I currently hold all Australian shares with very limited exposure to some international stocks through LIC’s. Next is to get some world exposure. Cheers

    Liked by 1 person

  5. nice buys Matt!

    great to buy stuff outside Canada. Love the international etf.

    Since im buying in our tfsa im looking at bns or manulife. That gives me some international exposure while still being a Canadian stock. Global exposure is what im lacking as well.

    keep stacking those divs
    cheers

    Liked by 1 person

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