As a kid I enjoyed a good riddle every now and again but as the years went by thought I’d outgrown them to a large degree. Until now. One of the companies in my portfolio announced a dividend. In reviewing the announcement (specifically the SEC 6-K filing), I noticed the dividend amounted to an increase of 13.16%. Not shabby – in fact it exceeds the average of my portfolio (12.08% current). So imagine my surprise to find the amount to be credited resulted in a 15.23% reduction! Hmm … kind of blows away the increase, doesn’t it? Of course I had to investigate – it appears like that’s what I seem to do.
With the wild ride in the markets this week, I perused some of the community’s blogs to gauge the reaction. While not meeting scientific norms regarding sample size, I was surprised by the lack of reference to the pullback in 66% of them – including ones with posts as recent as yesterday. Perhaps it’s a lack of funds to take advantage or the deer in the headlights syndrome. One blog, Fully Franked Finance, had a timely piece a few days prior which stated the importance of a ‘shopping list’ – as many others also encourage. I too, engage in a strategy which emulates the ‘shopping list’ strategy. So, what were my moves so far this month?