Legal & General  boosts October result

With another month in the book, it’s time for a look back at our October passive income.

Five companies paid the net amount of roughly USD 250, that’s an increase of almost 100 % compared to the previous year.

That growth was manly due to the acquisition of our relatively new stock position Legal & General (initiated in December 2017).

October brings our total 2018 passive income (dividends & interests) to around USD 6’000.

The target for the full year is USD 7’000, and there is much more to come. My wife and I set following milestones:

• boosting our passive income in 2019 to USD 10’000 and
• making another jump in 2020 to USD 15’000.

So, there is a lot of work to do in order to strengthen our passive income machine even further.

Taking a stake in Covestro

October has been just a terrific month to take advantage of falling stock markets by investing another USD 4’000 in shares of Covestro which will add roughly USD 200 to our forward dividend income in 2019 (in October, we also bought stocks of Anheuser-Busch and Dufry).

Covestro is a spin-off of Bayer, formed in late 2015. As a shareholder of Bayer and BASF I have had an eye on that very specialized chemical company Covestro for quite some time.

Covestro has a significant cash generating power, comfortably covering a very attractive dividend payout (current yield is at around 4.5 %) in addition to quite an extensive stock repurchase program. Covestro aims to buy back own shares totaling up to EUR 1.5 Billion or up to 10 % of its capital stock by mid 2019.

Covestro clearly has the potential to handsomely reward shareholders over time and perfectly fits in our portfolio.

 

What about you, fellow reader? Did you make some nice stock acquisitions recently?

Disclaimer
You are responsible for your own investment and financial decisions. This article is not, and should not be regarded as investment advice or as a recommendation regarding any particular security or course of action.