I have some new additions to the dividend portfolio to report. I added 8 new dividend stocks and ETFs. Initially, the total number of stocks in my portfolio was 22. I had no ETFs. Nevertheless, I decided to bring the total number of investments to 30! There were a few ETFs I’ve been interested in for a long time but it didn’t make sense to invest in both ETFS and individual stocks. But, I’ve changed my position on the issue and now I’ve decided to invest in each of these securities in my dividend portfolio. Let’s briefly discuss. This won’t be a long post.
The List
A. Dividend Stocks
The following are the dividend stocks added to my portfolio:
- ABT – Abbott Laboratories
- ADP – Automated Data Processing
- CVX – Chevron
- HD – Home Depot
- VZ – Verizon
So, I added a total of 5 individual stocks. Most of these new additions doesn’t really help with diversification of my portfolio. For example, although I added ABT, I am also invested in ABBV, JNJ and PFE. With regard to ADP, I am also invested in MSFT. With CVX, I am also invested in XOM. And finally, with VZ, I’m also invested in T. It’s almost as if I couldn’t decide which company was better to invest in and so I chose them all.
B. Dividend ETFs
The following are the dividend ETFs that were added to my portfolio:
- SCHD – Schwab U.S. Dividend Equity ETF
- VIG – Vanguard Dividend Appreciation ETF
- VYM – Vanguard High Dividend Yield ETF
Technically, these ETFs weren’t necessary to add diversification to the portfolio. With 27 individual stocks, I think the portfolio was pretty diversified.
I did struggle with the decision whether to add the ETFs to the portfolio. I realize that because the ETFs include most (if not all) of the individual stocks I already had in the portfolio, there would be some redundances. But I looked at other portfolios, including that of Dividend Diplomats, and noticed that one or more ETFs were included in their portfolios, even though the majority of the portfolio included individual stocks.
Ultimately though, I’ve been interested in these ETFs for a long-time and so I chose to add them to my dividend portfolio. Each ETF will be about 3% of the overall portfolio.
Final Thoughts
Before I added the stocks and ETFs to the portfolio, I had 22 individual stocks. My initial thought was to take the portfolio to 25, but ultimately decided to take it to 30.
Now that I’ve added ETFs to the portfolio, it’s unlikely that I will be expanding the number of individual stocks anytime soon. But, I’ve learned to never say never.
Having just reach financial independence, I am excited about the future. The addition of the above stocks and ETFs to my dividend portfolio is a reflection of my excitement.
What did you think of this post? Let me know your thoughts by commenting below.