I recently had the pleasure of becoming acquainted with another early retiree who is living off their dividend portfolio. After posting last weekon how Susan Brunner retired early thanks to dividend income, Gary Burgin out in B.C. wrote in to tell me some of his story.
In my Canadian Business Online columnthis week, I convey some of the details of his story — as well as additional details on Brunner. A third early retiree, Sydney Lagier, was also interviewed and profiled in the column.
One interesting thing I left out of Burgins story was how he now screens for stocks with growing dividends. In his own words:
In the early days much of my time was used to examine equities that had historically raised their annual dividend/distribution. Today I still use individual research but as I’m getting a bit lazy I depend on the holdings I can see in an ETF that operates under the rising dividend criterion: the Claymore S&P/TSX Canadian Dividend ETF ( CDZ ). Most of what is in that portfolio you would find in my portfolio.
The top 20 holdings in the ETF include:
BELL ALIANT REGIONAL COMMUNICATIONS INC. AGF MANAGEMENT LTD JUST ENERGY INCOME FUND DAVIS & HENDERSON ALTAGAS INCOME LTD PARKLAND INCOME FUND INCOME TRUST UNITS CML HEALTHCARE INCOME FUND IGM FINANCIAL INC GREAT WEST LIFECO INC POWER FINANCIAL CORP TELUS CORPORATION COMINAR REAL ESTATE INVESTMENT RIOCAN REAL ESTATE INVESTMENT TRUST POWER CORP OF CANADA SERIES D ALLIED PROPERTIES REIT KEYERA FACILITIES INCOME FUND TRANSCANADA CORPORATION SHAW COMMUNICATION INC CLASS B BANK OF NOVA SCOTIA FORTIS INC .
One might further shift through the stocks in CDZ and look atother factors such as payout ratios. For example, we might think twice about buying shares in AGF because, as Brunner reports, past dividend increases were financed by reducingcash flow.
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Blogs & Comment
Screening for dividend stocks
By Larry MacDonald
I recently had the pleasure of becoming acquainted with another early retiree who is living off their dividend portfolio. After posting last weekon how Susan Brunner retired early thanks to dividend income, Gary Burgin out in B.C. wrote in to tell me some of his story.
In my Canadian Business Online columnthis week, I convey some of the details of his story — as well as additional details on Brunner. A third early retiree, Sydney Lagier, was also interviewed and profiled in the column.
One interesting thing I left out of Burgins story was how he now screens for stocks with growing dividends. In his own words:
In the early days much of my time was used to examine equities that had historically raised their annual dividend/distribution. Today I still use individual research but as I’m getting a bit lazy I depend on the holdings I can see in an ETF that operates under the rising dividend criterion: the Claymore S&P/TSX Canadian Dividend ETF ( CDZ ). Most of what is in that portfolio you would find in my portfolio.
The top 20 holdings in the ETF include:
BELL ALIANT REGIONAL COMMUNICATIONS INC. AGF MANAGEMENT LTD JUST ENERGY INCOME FUND DAVIS & HENDERSON ALTAGAS INCOME LTD PARKLAND INCOME FUND INCOME TRUST UNITS CML HEALTHCARE INCOME FUND IGM FINANCIAL INC GREAT WEST LIFECO INC POWER FINANCIAL CORP TELUS CORPORATION COMINAR REAL ESTATE INVESTMENT RIOCAN REAL ESTATE INVESTMENT TRUST POWER CORP OF CANADA SERIES D ALLIED PROPERTIES REIT KEYERA FACILITIES INCOME FUND TRANSCANADA CORPORATION SHAW COMMUNICATION INC CLASS B BANK OF NOVA SCOTIA FORTIS INC .
One might further shift through the stocks in CDZ and look atother factors such as payout ratios. For example, we might think twice about buying shares in AGF because, as Brunner reports, past dividend increases were financed by reducingcash flow.
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