Recent Buy

As I write this article, there is still no debt ceiling resolution. If indeed our government does not pass a resolution to raise the debt ceiling, and throws us into default on our obligations, the markets will fall into the basement. I honestly cannot believe that our government will let that happen, but detractors point to the fact that nobody thought Washington would let Lehman fail. I simply cannot believe that political warfare would let us default on obligations that we can pay. It simply wouldn't make sense.

Even with all this looming, I am still dollar cost averaging my way into positions. I have stated many times that I try to buy shares in the most attractively valued business on my watchlist, based on allocation, every month. This is the only thing that makes sense to me as I try to slowly build my passive income stream to a point where I can live off it one day.

Weekend Reading - July 30, 2011

I've learned a few things about dedication this past week; dedication to staying true to the plan. I've invested money twice this month, even as the markets decline daily. I believe in the long-term fundamentals of any company I invest in, so the debt crisis is a speed bump on a long trip. Declining markets offer an opportunity for me.

When does dedication become blind allegiance? I don't know. As I was riding the bus home this past Thursday, I peeked out the window and noticed a co-worker stopped at a gas station and filling up his tank. I chuckled momentarily, realizing my ride home was only costing me 75 cents. Of course, 10 minutes later, as I was about to get off the bus it started pouring. The afternoon thunderstorms are pretty infamous down here in Florida. I opened my umbrella and grabbed my bike. I rode my bike with one hand on the handlebar and the other hand holding my umbrella tight. I'm sure people driving past me must have thought I was crazy.

Dedication.

Here are some excellent articles from fellow dividend growth investors, frugalists and personal finance bloggers from the past week.

Ensure Your Dividends With These Insurance Stocks

This article originally appeared on The DIV-Net July 21, 2011

As any other dividend growth investor knows, maintaining dividends is of the utmost priority for an investment. Raising dividends is, of course, extremely important as well, but a dividend cut is disastrous. It would result in the loss of income and the likely significant drop in share price/market value. This is, for the most part, unacceptable so we try to shield ourselves from such events through diversification, research, maintaining relatively strict entry criteria and most importantly investing in companies with rising earnings and sustainable payout ratios.

Late To Work

Well, it's been over two months since I've decided to get rid of my car and live an extremely frugal car-free lifestyle. It's been generally great, as the budget has been significantly improved since I started using the bus to get to work. It's also been a bit challenging, as one would suspect. I live about two miles from the closest bus stop, so a brisk bike ride to and from the stop is needed. It keeps me in shape, but when it's raining outside it can be extremely uncomfortable.

Weekend Reading - July 23, 2011

With the markets gyrating back and forth like an angry bull, it's easy to get a queasy stomach. I'm not too worried, as the fluctuating market prices of my equities only hold weight when I buy and sell. The dividends, however, continue to land in my brokerage account for reinvestment. I love cash. Cash is king, and it shows that the company paying that dividend has cash as well. Remember, falling prices on equities provide an opportunity to invest at a favorable valuation.

Enough about all that. It's the weekend. Time to relax and enjoy time away from the endless rat race.

Here are some excellent articles from fellow dividend growth investors, frugalists and personal finance bloggers from the past week.

Do You DRIP?

This article originally appeared on The Div-Net July 14, 2011.

DRIP stands for Dividend Reinvestment Plan. This plan is offered by corporations as a way to reinvest cash dividends by purchasing shares or fractions of shares on the dividend payment date. A lot of retail investors participate in such plans as a way to cheaply reinvest dividends back into the company that paid them.

Recent Buy

  

The markets have been very turbulent lately. It seems there is no shortage of bad news. Greece's possible default, Italy's trouble and the U.S. debt ceiling are all on investor's minds. It's also on mine. But, I believe the world will keep turning today, tomorrow and ten years from now. I may end up slowing my investment rate until this fall, just to see what happens with all the debt talk. We'll see. I really enjoy buying, but I believe in being prudent.

I made a small purchase this month. I have been increasing my investments as I've been pretty successful in budgeting down my expenses. I have a little cash on hand for a possible second purchase this month, but I may wait until August. It seems to be a wait-and-see game in the market.

Weekend Reading - July 17, 2011

It's a beautiful Sunday afternoon here in Sarasota, Florida. I'm not sure what the rest of the day has in store for me, but I think relaxing by the pool may be first in line. Sunday afternoons, especially lazy ones, are among my favorite moments in life. It's a time to let the world pass you by and just relax. On a separate note, I appreciate all the visitors to the site over the past week and I really relish all the comments left. I have a lot to learn, being a young investor, and it's in the sharing of information that I learn the most. Learning and sharing ideas is what I do this for, so in the name of sharing...

Here are some excellent articles from fellow dividend growth investors, frugalists and personal finance bloggers from the past week.

Five Core Dividend Stocks

This article originally appeared on The Div-Net July 7, 2011

There are all kinds of investments available to the average investor. You have stocks, bonds, commodities, currency, real estate...and the list goes on. I think there can be a case made for many different types of investments, and one should always diversify properly. I'm still a young investor (29), and I've been very open in my investment thesis; where I want to go and how I plan to get there. My primary investment, which is where most of my net worth will lie, will be in dividend growth stocks.

Income/Expenses For June 2011

Each month I will post my income/expenses for the previous month. I track every dollar in and out, so what you see is exactly what I earned and spent (rounded to the nearest dollar).

Income from June 2011:

$3,990--Regular Paycheck
$179--Dividends
$100--Bonus and Spiffs

Total Income: $4,270

Expenses from June 2011:

$638--Rent
$200--Student Loans
$66--Groceries
$48--Restaurants
$54--Fast Food and Pizza
$7--Pharmacy
$40--Mobile Phone
$35--Internet
$22--Public Transportation
$13--Fuel
$3--Movies
$26--Everything Else*

Total Expenses: $1,155

Dividend Income Update - June 2011

June has come and gone, and it was really a fantastic month. In terms of dividends, I have hit my highest distribution total ever. I know that my dividend totals and the value of my portfolio are pretty small potatoes to a lot of other bloggers/investors out there, but I'm pretty proud of my humble origins and my extreme motivation to get where I want to go. Without further ado...

Weekend Reading - July 9, 2011

This week was a 4-day work week since we had Monday off for the 4th of July celebration. Although it was a shortened week, it was still incredibly long for me. I'm glad it's over! Having Monday off was nice, but I definitely look forward to the time when every day is a day off! On a separate note, the markets have been very volatile over the past week. The unemployment numbers released on Friday were very disappointing, and I expect the markets to be very turbulent over the short term. I can smell an opportunity.

Here are some excellent articles from fellow dividend growth investors, frugalists and personal finance bloggers from the past week.

Philip Morris: A Solid International Tobacco Play

This article originally appeared on The Div-Net June 30, 2011

Philip Morris International (PM) appears to be a solid international play, operating in the somewhat murky waters of the tobacco industry. I say murky because although tobacco laws are not as stringent outside the U.S. and lawsuits are not as omnipresent, you always have to be careful investing in an industry where the product the company sells causes health problems to the people buying said product. That being said, this is a very profitable business, and if investing in tobacco companies doesn't go against your moral code, I think this is a solid play.

Freedom Fund Update - July 2011

Well, the time has come to update the Freedom Fund once again as we start another month. The Freedom Fund is my portfolio, and I think it's aptly named. My portfolio is my way to freedom; freedom from working at a job I don't enjoy to purchase goods I don't need to impress neighbors I don't care about.

Weekend Reading - July 2, 2011

Well, the 4th of July is almost upon us. I don't know what anyone else is doing, but for me it will be plenty of relaxation, sunshine, great food and hopefully seeing a firework or two. I hope everyone out there has a wonderful and safe July 4th celebration!

Here are some excellent articles from fellow dividend growth investors, frugalists and personal finance bloggers from the past week.