I have been long considering adding Altria (MO) to my investments because of its long history of dividend growth. On March 13, 2007, MO distributed a quarterly dividend of $0.86/share, equivalent to a $3.44 annual dividend (5.00% yield). Though the spin-off of Kraft Food will reduce its annual dividend to $2.75, MO has increased its dividend payout every year since 1970, with approximately 9% year-over-year dividend growth in the past five years.
MO is available through ComputerShare’s DRIP program, but I will have to pay $2.50 every time I made a purchase using the automatic investment plan, plus $0.03 per share processing fee (there’s no fee for the Bank of America (BAC) and Progress Energy (PGN) shares I purchased through ComputerShare). Therefore, I chose to make a 70-share one time purchase from Firstrade with $6.95 commission.
Also, with Gold price losing nearly $30 in less than 2 weeks, I added a little more to my Tocqueville Gold Fund (TGLDX). This is one fund that I don’t have automatic investment. Instead, I buy whenever I see gold price drops like this. The other fund I don’t buy automatically is Dodge & Cox International Fund (DODFX). Surprisingly, both are doing very well compared with other funds that I do DCA. Am I trying to time the market?
This article was originally written or modified on . If you enjoyed reading this post, please consider subscribing to my full RSS feed. Or you can also choose to have free daily updates delivered right to your inbox.
EverBank Money Market Account 1.25%: Open an EverBank Money Market Account with a minimum balance of $1,500 and earn 1.25% bonus rate for the first six months. The first year APY is 1.01% for account balance up to $50,000. Find out more about this offer.