Margin Account Debt Paydown Dilemma: Examining Two Investments from my Non-Registered Portfolio for Liquidation

It's my last vacation weekend. The TSX closed this past Friday's session at a robust 20,519.37 points. My non-registered portfolio closed at $136,459.13, my US portfolio at $5,422.34, my RRSP stocks-only portfolio at $65,093.69, and my TFSA portfolio at $134,846.45. Now, my TFSA portfolio is almost at the same value as my non-registered one.

I recently learned that TMX Group Limited (X) has increased its dividend distribution. On Twitter (X...), one great account I follow is @5iresearchdotca, 5i Research Inc. They are excellent at providing updates regarding stocks and dividend increases. 5i Research Inc. also has a fantastic dividend update page, including information on raised and decreased dividends, on their website.

I recently invested in Alaris Equity Partners Income Trust (AD.UN). AD.UN is a stock that I picked from Jean-François Tardif's JFT Strategies Fund Class A Units (JFS.UN), where Alaris Equity Partners Income Trust (AD.UN) holds the 5th position. It's quite enjoyable to have access to the major assets held in JFS.UN. Essentially, it gives you free access to all of Jean-François Tardif's team's hard work! Isn't that amazing?

In my TFSA portfolio, AD.UN has gained +4.68%. Goodfellow Inc. (GDL) is not a stock I often write about, but it has gained +34.93%, also in my TFSA. Finally, another stock that I like and don't often write about is Hammond Manufacturing Company Limited Class A Subordinate Voting Shares (HMM.A). In my TFSA portfolio, HMM.A has gained +60.99%. I have a fondness for family-owned businesses, and on top of that, HMM.A operates in my favorite sector, which is industrial.

In the previous post, I discussed strategies to pay down my margin debt. One option that still remains is to sell some of my investments to reduce that debt. Thanks to the monthly interest that never fails to kick in, my margin account debt now exceeds $36,000 by a few hundred dollars. Here are some stocks that I could consider selling to pay down my debt, and I will explain why I'm considering them in particular.

In my non-registered portfolio:
K-Bro Linen Inc. (KBL)

I invested in KBL a super long time ago. It was a stock that I found in Susan Brunner's blog. I don't remember if she used to be invested in it, but back in the day, I liked the review that she wrote about that stock, so I decided to invest in it. Since then, because I have been invested in KBL for so long, my return on that investment has been +64.87%. Not bad, but for the time I've held onto it, I would have appreciated a stronger result. This will need to be verified - like everything else that I write about on this blog - but I am pretty sure that K-Bro Linen Inc. (KBL) has never actually increased its dividend distribution.

In my opinion, KBL is not doing extraordinarily well.
Here are the returns for KBL:
For the past year: +3.23%
For the past 5 years: -13.29%
Overall (Max): +213.55%

Considering that KBL's performance is not extraordinarily awesome and that the company has provided zero dividend increases since I have been holding onto it, it could be a good idea for me to consider selling this investment to pay down my margin.

However, I like KBL because of its sector, and I prefer to hold stocks that are a bit off the radar, with KBL being one of them. I have to admit that I am emotionally attached to KBL since it was one of my early investments.

TransCanada Corp (TRP)

In my non-registered portfolio, the gain from my TRP stocks is even lower than KBL, with a +11.26% gain. Is it normal for a cleaning business to give me a higher return than a company in the oil sector? Sincerely, I don't think so! And that's the reason why I'm considering selling my TransCanada Corp (TRP) stocks.

I have held on to my TRP stocks for many years. Lately, TRP announced some major business changes. Many investors on Twitter are happy about that and are buying TRP stocks, but for me, that situation is a big no-no, and I am not willing to invest in TRP. Currently, the appeal toward TRP resides in its 8.22% dividend yield. Because of that, if TRP announced a dividend decrease, its stock value could go down drastically because all of those little dumb-ass investors would probably sell their shares as soon as they hear the news...

I am not emotionally attached to TRP and I really don't care about that stock.

By selling my K-Bro Linen Inc. (KBL) and TransCanada Corp (TRP) shares, I would have around $5,000 at my disposal to pay down my margin debt. It could be interesting to proceed.

Those are the two stocks that I am considering selling from my non-registered portfolio. I also have a few stocks that I am considering selling from my TFSA portfolio; we'll chat about them in the next post.

Summer Fun: Juggling Vacation, Finances, and Nostalgia

I am still on vacation, and I have spent most of my time in Montreal. Soon, I will be heading to New Brunswick for a few days. It could be the last summer I will spend at my family's house since my old folks put it up for sale. The time has come for me to clear out everything, and soon, nothing of mine will be left in New Brunswick. I will do my best to bring back everything I can to Montreal, but I am also planning to return to New Brunswick in October for the hunting season. If the house is still available by then, I will have another chance to bring more of my belongings.

The "stuff" I need to move consists mostly of books and scholar notes—quite heavy items that are not too fun to carry around. The more I think about it, the more I realize I won't be able to bring everything back, but I'll give it my best shot.

As for my financial status, my non-registered portfolio closed today's session at $137,201.60, my US portfolio at $5,431.77, my RRSP stock portfolio at $65,581.01, and my TFSA portfolio at $135,556.23. Unfortunately, thanks to the very juicy interest rate, my margin debt has increased to $36,331.72, with the interest rate now at 8.50%. I don't expect it to decrease anytime soon, so I am actively seeking possible solutions.

Every year, I declare the interest earned on my margin as financial fees on my tax income. However, since my income last year exceeded $80,000, it doesn't make much of a difference whether I declare it or not. Still, I religiously ask for that tax credit every single year. This year, my income is expected to be lower, but not low enough to give me a tax break. This means I still have to invest in my RRSP this year and try to save up as much as possible to pay down my margin debt.

Option 1: Pulling out the $6,000 that I have in two different banking accounts to pay down my margin. This would mean not meeting the minimum balance in those accounts, resulting in monthly banking fees totaling $8.90 ($4.95 in one account and $3.95 in the other), amounting to an annual $106.80. In contrast, $6,000 at an annual 8.50% interest rate represents an annual sum of $510. By proceeding with this plan, I would save an annual $403.20 ($33.60 per month). I have already proceeded with a $2,950 transfer from one account, leaving about $50 behind to cover the infamous $3.95 per month banking fee for 12 months.

This decision has left me feeling cash poor, and I am not fond of having to pay banking fees. It brings back memories of my early days when I was cash poor, though back then, I didn't mind because I was investing every penny I could to fulfill my investment dreams, which I achieved. Currently, I don't have a specific list of wanted stocks; I essentially have everything I ever wanted.

I still have another $3,000 available to deposit on my margin. I am waiting for my next paycheck and should be able to deposit $6,500, but probably not more than that, as I also have to cover my living expenses.

Option 2: To sell some of my investments to pay down my margin debt.

I don't have many options, and it basically comes down to options 1 and 2. Nothing complicated there. Paying down that margin debt is just as challenging for me as taking out all my belongings from my family house in New Brunswick: a painful experience. It felt heavy on my shoulders for a few days, but once the shock was absorbed, it was all good.

I may explore option 2 in more detail in another post to study possible solutions, but I am not willing to sell anything at this time. I prefer to be cash poor, like I was in my early investment years, living paycheck to paycheck...

Don't miss anything! Please follow me on Twitter (X of whatever the name is now), right here.

Don't Fall for the Hype: The Motley Fool's Stock Picks to Avoid - Slate Grocery REIT (SGR.UN) and Freehold Royalties Ltd. (FRU)

I'm currently enjoying my vacation, and since my last portfolio update on May 6, I thought it's time to update my investment portfolio sheet. As of now, my net worth is likely around $361,000, approximately $8,500 lower than my net worth in May. It's comparable to my net worth in February this year.

Back in May, the TSX was soaring above 20,500 points, which boosted my net worth to a high of $370,000+. To reach that milestone again, the TSX will need to exceed 20,600-20,700 points. Though hitting a $400,000 net worth by the end of this year seems unlikely, it might be achievable in 2024 if the TSX cooperates.

I recently invested approximately $1,500 in a diverse mix of stocks for my TFSA portfolio, including Canadian Imperial Bank Of Commerce (CM), Exchange Income Corporation (EIF), TMX Group Limited (X), Pembina Pipeline Corporation (PPL), Power Corporation of Canada Subordinate Voting Shares (POW), Telus Corp (T), Brookfield Asset Management Inc. Class A Limited Voting Shares (BN), Bank of Nova Scotia (BNS), North West Company Inc. (The) (NWC), A&W Revenue Royalties Income Fund (AW.UN), Empire Company Limited Non-Voting Class A Shares (EMP.A), BCE Inc. (BCE). If you follow me on Twitter, you'd already know about these investments. I also managed to clear my margin account debt, which is now at $36,095.06.

With these new investments, my dividend income from the non-registered and TFSA portfolio now exceeds an equivalent of $910 per month, which is quite promising. In addition to that, I recently added iA Financial Corporation Inc. (IAG) and Ag Growth International Inc. (AFN) to my RRSP portfolio.

I still have money available to invest in my TFSA and RRSP portfolio, thanks to dividend distributions. Despite having a margin debt to pay off, my investment strategy remains unchanged. I prefer to reinvest my dividend income to generate even more dividends. Although I have debts to tackle, I won't touch the money coming from my dividends. I'm always on the lookout for new stocks to add to my portfolio. Recently, I came across an article from The Motley Fool suggesting two high-yield options: Slate Grocery REIT (SGR.UN) and Freehold Royalties Ltd. (FRU). However, I'll explain why I wouldn't consider either of these options for my portfolio, despite the tempting yields they offer.

More than anything else, The Motley Fool is a content site, which means they need to churn out articles about stocks at all costs. The more articles they publish, the better it is for them. It's essential to read The Motley Fool's content with a grain of salt. They don't always provide extremely high-quality pieces regarding the stock market; it's often a mix of whatever they have at their disposal, presented to the general public who may not be aware of their approach.

While many high-yield stocks may seem appealing, they may not make good long-term investments. Personally, I value capital growth more than the dividend yield. My top priority is protecting the amount of money I've invested. Ideally, I don't want to lose any of my capital, but I understand that making perfect investment choices is challenging. Yet, you can enhance your investment strategy by observing and being critical of your own picks, as well as the stock recommendations from sources like The Motley Fool.

Take, for example, Slate Grocery REIT (SGR.UN), which offers an enticing 8.37% dividend yield. However, if you look at Slate Grocery REIT's overall chart, you'll notice that the stock price has remained relatively unchanged since 2014.

It's essential to question whether you want to hold a stock in your investment portfolio that shows no growth or increase in value even after nine years. Personally, I wouldn't. While the high yield may seem attractive, there's more to consider when investing in a stock like Slate Grocery REIT (SGR.UN).

Moreover, stocks with exceptionally high yields can be risky to hold. The moment the company announces a dividend decrease due to a recession or financial troubles, the stock's value may drop rapidly, leaving you with no attractive dividends or a strong stock value.

While The Motley Fool may promote such stocks, it's crucial to be cautious and think twice before investing in high dividend yield stocks that lack significant growth prospects.

Another example is Freehold Royalties Ltd. (FRU). FRU offers a hefty 7.60% dividend yield, which is certainly tempting. However, the overall chart for Freehold Royalties Ltd. (FRU) is even worse than that of Slate Grocery REIT (SGR.UN). I say worse because FRU's value is more volatile than SGR.UN. 

Back in 2014, Freehold Royalties Ltd. (FRU) was trading between $23 to $26 per share. Fast forward to 2023, and FRU is now trading at $14.27. While the 7.60% yield might seem appealing, investing in this stock may result in sacrificing any long-term growth potential. While past results cannot guarantee future outcomes, a stock that has performed well in the past and weathered the 2008 stock crisis gracefully is more likely to show strong growth in the future. My thinking is always based on simple, sound logic.

Sometimes, it's easier to know which stocks to avoid than to identify good investment opportunities. At the end of the day, your priority should be protecting your capital and steering clear of stocks like Slate Grocery REIT (SGR.UN) and Freehold Royalties Ltd. (FRU).

Rest assured, I won't be investing any of my money in Slate Grocery REIT (SGR.UN) and Freehold Royalties Ltd. (FRU). I prefer to keep cash in my portfolio and invest once I've identified good quality stocks that offer a reasonable and sustainable dividend yield. It's quite surprising to me that the author of this Motley Fool article seems to be at ease suggesting two questionable stocks like Slate Grocery REIT (SGR.UN) and Freehold Royalties Ltd. (FRU) as holdings for retirement income.

Historic of my Total assets and Net worth values on date of July 18, 2023

2023

Total in assets: $397,595.65/Net worth: $361,500.59: July 18, 2023

Total in assets: $416,472.91/Net worth: $370,235.74: May 6, 2023

Total in assets: $419,167.77/Net worth: $373,150.19: April 21, 2023 - MY HIGHEST NET WORTH EVER 

Total in assets: $416,945.17/Net worth: $370,829.18: April 13, 2023 - first time I am in the 370k net worth

Total in assets: $415,945.38/Net worth: $369,820.54: April 11, 2023

Total in assets: $413,311.52/Net worth: $366,524.01: February 13, 2023

Total in assets: $411,186.99/Net worth: $364,399.48: February 10, 2023

Total in assets: $408,656.95/Net worth: $361,844.12: February 7, 2023

Total in assets: $407,606.87/Net worth: $361,043.28: January 17, 2023

Total in assets: $405,708.89/Net worth: $359,060.31: January 16, 2023

Total in assets: $404,983.22/Net worth: $358,324.64: January 13, 2023

Total in assets: $403,429.72/Net worth: $356,771.14: January 12, 2023

Total in assets: $399,232.95/Net worth: $352,574.37: January 11, 2023

Total in assets: $396,629.76/Net worth $349,971.18: January 10, 2023

Total in assets: $395,568.27/Net worth $348,909.69: January 9, 2023
Total in assets: $393,444.59/Net worth $346,786.01: January 6, 2023

2022

Total in assets: $384,602.29/Net worth $337,875.65: December 30, 2022

Total in assets: $394,205.35/Net worth $347,621.02: November 25, 2022

Total in assets: $383,659.43/Net worth $337,227.95: November 11, 2022

Total in assets: $373,493.10/Net worth $327,061.62: November 4, 2022

Total in assets: $356,147.14/Net worth $309,920.82: October 11, 2022

Total in assets: $396,620.95/Net worth $350,590.82: August 14, 2022

Total in assets: $369,523.83/Net worth $323,815.43: June 24, 2022

Total in assets: $367,287.71/Net worth $321,579.31: June 20, 2022

Total in assets: $364,145.55/Net worth $318,437.15: June 18, 2022

Total in assets: $398,010.84/Net worth $352,164.94: June 2, 2022

Total in assets: $385,843.39/Net worth  May 20, 2022: $340,156.47

Total in assets: $407,547.23/Net worth $361,442.42: April 20, 2022 

Total in assets: $405,658.35/Net worth $358,941.11: March 29, 2022

Total in assets: $403,792.28/Net worth $357,075.04: March 25, 2022

Total in assets: $402,081.01/Net worth $355,363.77: March 22, 2022

Total in assets: $400,979.64/Net worth $354,262.40: March 21, 2022 - First time I ever hit on the $400,000 in total assets!

Total in assets: $398,652.13/Net worth $352,071.24: March 18, 2022 - First time I ever hit on the $350,000 in net worth value!

Total in assets: $396,355.91/Net worth $349,713.01: March 10, 2022

Total in assets: $393,037.13/Net worth: $347,573.53: March 4, 2022

Total in assets: $391,766.36/Net worth: $345,622.80: February 9, 2022

Total in assets: $382,726.19/Net worth: $341,862.36: February 2, 2022

Total in assets: $386,320.32/Net worth: $340,128.37: February 1st, 2022

2021

Total in assets: $385,979.66/Net worth: $339,434.39: December 31, 2021

Total in assets: $382,726.19/Net worth: $336,268.16: December 23, 2021

Total in assets: $388,421.37/Net worth: $340,312.77 - FIRST TIME I EVER REACHED A $340,000 NET WORTH!
November 8, 2021

Total in assets: $387,068.51/Net worth: $338,959.91: November 5, 2021

Total in assets: $384,785.92/Net worth: $336,781.52: October 20, 2021

Total in assets: $382,580.80/Net worth: $334,576.40: October 19, 2021

Total in assets: $379,263.95/Net worth: $330,680.17: October 14, 2021

Total in assets: $364,072.52/Net worth: $315,407.64: July 26, 2021
Total in assets: $358,867.59/Net worth: $311,858.22: June 15, 2021
Total in assets: $354,774.64/Net worth: $307,559.30: June 10, 2021
Total in assets: $348,042.77/Net worth: $300,799.45 - FIRST TIME I EVER REACHED 300k in net worth, on May 26, 2021
Total in assets: $346,583.88/Net worth: $298,486.93: May 20, 2021
Total in assets: $349,651.45/Net worth: $298,435.31: May 7, 2021
Total in assets: $347,002.53/Net worth: $297,614.64: April 16, 2021
Total in assets: $338,188.16/Net worth: $287,914.75: March 11, 2021
Total in assets: $333,970.92/Net worth: $283,675.99: March 9, 2021
Total in assets: $328,881.12/Net worth: $279,611.57: February 10, 2021
Total in assets: $326,670.02/Net worth: $278,758.37: February 8, 2021
Total in assets: $324,891.52/Net worth: $276,979.87: February 4, 2021
Total in assets: $322,236.52/Net worth: $274,318.36: February 3, 2021
Total in assets: $327,639.01/Net worth: $274,298.23: January 19, 2021
Total in assets: $316,192.85/Net worth: $268,180.14: January 7, 2021
Total in assets: $313,003.95/Net worth: $264,915.22: January 6, 2021
Total in assets: $310,587.36/Net worth: $262,498.63: January 5, 2021

2020
Total in assets: $310,392.38/Net worth: $259,661.24: December 31, 2020
Total in assets: $307,812.05/Net worth: $259,070.79: December 24, 2020
Total in assets: $306,444.25/Net worth: $258,948.73: December 4, 2020
Total in assets: $304,701.39/Net worth: $257,331.58: November 27, 2020
Total in assets: $300,956.84/Net worth: $253,587.03: November 24, 2020
Total in assets: $298,903.01/Net worth: $251,533.20: November 23, 2020
Total in assets: $296,643.60/Net worth: $249,158.71: November 20, 2020
Total in assets: $294,514.87/Net worth: $247,145.87: November 11, 2020
Total in assets: $291,172.40/Net worth: $243,802.59: November 10, 2020
Total in assets: $287 803.13/Net worth: $240 433.32: November 9, 2020
Total in assets: $277,872.92/Net worth: $226,678.26: August 5, 2020
Total in assets: $276,627.27/Net worth: $227,745.47: June 6, 2020
Total in assets: $263,304.63/Net worth: $211,395.63: April 29, 2020
Total in assets: $241 461,13/Net worth: $194 558,29: March 13, 2020
Total in assets: $282,640.61/Net worth: $235,284.72: February 21, 2020
Total in assets: $304,955.72/Net worth: $257,187.44: February 12, 2020
Total in assets: $296,200.07/Net worth: $250,595: January 16, 2020
Total in assets: $292,715.58/Net worth: $244,970.41: January 9, 2020

2019
Total in assets: $288,237.52/Net worth: $239,582.44: December 31, 2019
Total in assets: $278,823.27/Net worth: $230,902.04: September 17, 2019
Total in assets: $271,896.19/Net worth: 226,137.05: June 24, 2019
Total in assets: $269 950.21/Net worth: $222 942.87: April 5, 2019
Total in assets: $251 634.94/Net worth: $206 278.84: January 18, 2019
Total in assets: $238 656.07/Net worth: $191 009.83: January 4, 2019

2018
Total in assets: $270 679.86/Net worth: $204 306.57: November 16, 2018
Total in assets: $332 750.88/Net worth: $232 609.15: August 3, 2018
Total in assets: $331 413.83/Net worth: $232 280.40: June 20, 2018
Total in assets: $326 085.75/Net worth: $226 801.92: June 3, 2018
Total in assets: $322 479.23/Net worth: $222 850.15: May 4, 2018
Total in assets: $319 644.86/Net worth: $217 246.23: March 16, 2018

2017
Total in assets: $318 544.64/Net worth: $221 989.65: December 29, 2017
Net worth on the date of November 17, 2017: $211 430.89
Net worth on the date of October 27, 2017: $212 633.39
Net worth on the date of September 29, 2017: $206 352.49
Net worth on the date of April 24, 2017: $204 277.66
Net worth on the date of March 31, 2017: $200 325.69
Net worth on the date of March 29, 2017: $198 299.73
Net worth on the date of March 18, 2017: $193 969.21

2016
Net worth on the date of December 30, 2016: $184 074.35

Net worth after debt on the date of January 1, 2014:
$101 172.99 (yes, finally, IN NET WORTH!).

On the date of February 16, 2011, the TMX hit 14 000+ points, and I exceeded the 150k in assets! (Not net worth yet).

On September 9, 2010, I reached $100,000 in assets! (not in net worth yet).

On the date of August 5, 2009, I reached my investment goal: I reached $50 000 worth of assets! (NOW, net worth).

On the date of December 5, 2009, I had exceeded $60 000 in assets! (not in net worth yet).  

My investment portfolio on date of July 18, 2023

Cold cash: $6,059.76

Stocks and Units investment portfolio $CAN 

Bank of Nova Scotia (BNS)

Methanex Corporation (MX)

Fortis Inc. (FTS)

Pembina Pipeline Corporation (PPL)

iShares S&P/TSX Capped REIT Index (XRE)

New Flyer Industries Inc. (NFI)

TMX Group Inc. (X)

K-Bro Linen Inc. (KBL)

TransCanada Corp (TRP)

Canadian National Railway Co (CNR)

Enbridge Inc. (ENB)

Emera Inc. (EMA)

Loblaw Companies (L)

Savaria Corporation (SIS)

WSP Global Inc. (WSP)

George Weston Limited (WN)

Power Corporation of Canada Subordinate Voting Shares (POW)

Brookfield Asset Management Inc. Class A Limited Voting Shares (BAM.A)

TOTAL: $135,902,03  

Stocks and Units investment portfolio $US:

Berkshire Hathaway Inc. (BRK.B)

General Mills Inc. (GIS)

Vanguard Russell 1000 Growth Index Fund (VONG)

Pfizer Inc. (PFE) 

TOTAL: $5,350.82 US: $7,095.19 CAN

Tax-free savings account (TFSA):

Dumont Nickel Inc. (DNI)

CT Real Estate Investment Trust (CRT.UN)

Canadian National Railway Co (CNR)

Exchange Income Corporation (EIF)

Brookfield Infrastructure Partners L.P. (BIP.UN)

Brookfield Renewable Energy Partners L.P. (BEP.UN)

Andrew Peller Limited (ADW.A)

Toronto-Dominion Bank (TD)

Boyd Group Services Inc. (BYD)

Canadian Apartment Properties Real Estate Investment Trust (CAR.UN)

Data Communications Mgmt (DCM)

Royal Bank of Canada (RY)

Park Lawn Corporation (PLC)

Toromont Industries Ltd (TIH)

BCE Inc. (BCE)

Boralex Inc. Class A Shares (BLX)

Savaria Corporation (SIS)

Northland Power Inc. (NPI)

Calian Group Ltd. (CGY)

Canadian Utilities Limited (CU)

WSP Global Inc. (WSP)

Granite Real Estate Investment Trust (GRT.UN)

Cargojet Inc. (CJT)

Nutrien Ltd. (NTR)

TFI International Inc. (TFII)

Canadian Imperial Bank Of Commerce (CM)

SIR Royalty Income Fund (SRV.UN)

ATCO Ltd. (ACO.Y)

Aecon Group Inc. (ARE)

Brookfield Asset Management Inc. Class A Limited Voting Shares (BAM.A)

Metro Inc. (MRU)

Alimentation Couche-Tard Inc. (ATD.A)

Fortis Inc. (FTS)

CGI Inc. (GIB.A)

TMX Group Limited (X)

Brookfield Infrastructure Corporation Class A Exchangeable Subordinate Voting Shares (BIPC)

Brookfield Renewable Corporation Class A Exchangeable Subordinate Voting Shares (BEPC)

Suncor Energy Inc. (SU)

Rogers Communications Inc. (RCI.B)

Telus Corp (T)

JFT Strategies Fund Class A Units (JFS.UN)

Bitcoin Fund The Class A units (QBTC)

Purpose Bitcoin ETF CAD ETF non-currency hedged units (BTCC.B)

3iQ CoinShares Ether ETF (ETHQ)

Tilray Inc (TLRY)

North West Company Inc. (The) (NWC)

Bank of Nova Scotia (BNS)

National Bank of Canada (NA)

Stelco Holdings Inc. (STLC)

Hammond Manufacturing Company Limited Class A Subordinate Voting Shares (HMM.A)

Saputo Inc. (SAP)

Labrador Iron Ore Royalty Corporation (LIF)

Intertape Polymer Group Inc. (ITP)

Parex Resources Inc. (PXT)

Wescan Energy Corp. (WCE)

Verde Agritech Plc Ordinary Shares (NPK)

Wajax Corporation (WJX)

Whitecap Resources Inc. (WCP)

Goodfellow Inc. (GDL)

Algonquin Power & Utilities Corp. (AQN)

Pembina Pipeline Corporation (PPL)

TransCanada Corp (TRP)

A&W Revenue Royalties Income Fund (AW.UN)

Total Energy Services Inc. (TOT)

Empire Company Limited Non-Voting Class A Shares (EMP.A)

Power Corporation of Canada Subordinate Voting Shares (POW)

Enbridge Inc. (ENB)

Alaris Equity Partners Income Trust (AD.UN)

TOTAL: $133,834.38

RSP investment portfolio: 

Emera Incorporated (EMA)

Ovintiv Inc. (OVV)

Toronto-Dominion Bank (TD)

Telus Corp (T)

Royal Bank of Canada (RY)

Savaria Corporation (SIS)

Thomson Reuters Corporation (TRI)

Park Lawn Corporation (PLC)

Richards Packaging Income Fund (RPI.UN)

Toromont Industries Ltd (TIH)

CAE Inc. (CAE)

CGI Group Inc. Class A Subordinate Voting Shares (GIB.A)

Boralex Inc. Class A Shares (BLX)

Quebecor Inc. (QBR.B)

Logistec Corporation Class B Subordinate Voting Shares (LGT.B)

Brookfield Renewable Partners L.P. (BEP.UN)

Leon's Furniture Limited (LNF)

Bank of Nova Scotia (BNS)

Brookfield Renewable Corporation Class A Exchangeable Subordinate Voting Shares (BEPC)

Cascades Inc. (CAS)

JFT Strategies Fund Class A Units (JFS.UN)

AirBoss of America Corp. (BOS)

Suncor Energy Inc. (SU)

Pender Growth Fund Inc. (PTF)

Rogers Communications Inc. Class B Non-voting Shares (RCI.B)

ATS Automation Tooling Systems Inc. (ATA)

Algoma Central Corporation (ALC)

Finning International Inc. (FTT)

Guardian Capital Group Limited (GCG)

Information Services Corporation Class A Limited Voting Shares (ISV)

Interfor Corporation (IFP)

Maple Leaf Foods Inc. (MFI)

National Bank of Canada (NA)

Nutrien Ltd. (NTR)

Open Text Corporation (OTEX)

Taiga Building Products Ltd. (TBL)

Vitreous Glass Inc. (VCI)

Power Corporation of Canada Subordinate Voting Shares (POW)

North West Company Inc. (The) (NWC)

Whitecap Resources Inc. (WCP)

Parex Resources Inc. (PXT)

North West Company Inc. (The) (NWC)

Wajax Corporation (WJX)

Canadian Imperial Bank Of Commerce (CM)

Hamilton Enhanced U.S. Covered Call ETF (HYLD)

TMX Group Limited (X)

iA Financial Corporation Inc. (IAG)

Total: $65,435.17

CIBC Dividend Growth Fund + CIBC Emerging Markets Index Fund + CIBC Monthly Income Fund: $3,350.32

Others: $1,159.90

NBI Income Fund: $1,229.01

Manulife Fidelity NorthStar GIF CAP

Manulife Simplicity Growth Portfolio 

Maritime Life CI Harbour Seg Fund

Maritime Life Fidelity True North Seg Fund

Manulife GIF MLIA B World Invest

Total: $8,473.27

Other various: $36,127.70

TOTAL: $114,615.47

Social Capital at Desjardins Membership share: $35

Online money: $53.82

Savings + Stocks, units, mutual funds + Tax-free Savings account + RRSP:

TOTAL: $397,595.65

My debt situation on date of July 15, 2023

Margin Account Debt: $36,095.06 at 8.50%

Annual Interest: $3,068.08

As of July 15, 2023

For a complete update on my debt situation, please click on the label "Debt Situation" located in the right column of this blog.

Reaching a New Milestone in Dividend Income in my Investment Portfolio!

In my non-registered portfolio, Pembina Pipeline Corporation (PPL) holds a significant position. It's worth mentioning that Pembina Pipeline was once recommended by Derek Foster in his first book, "Stop Working." Since then, I have held onto Pembina, utilizing the dividend reinvestment plan (DRIP) to accumulate more shares of this fantastic company. Recently, I received the latest dividend distribution from Pembina Pipeline Corporation (PPL), and thanks to the additional shares obtained through DRIP, my dividend income has reached a new milestone. Soon, I will be earning approximately $890 per month in dividend income from my non-registered TFSA portfolio. This amount is particularly noteworthy as it exceeds my monthly expenses for rent ($730), cell phone bill ($29), and Internet/TV bill (approximately $110, although I recently made some changes to include BNN, so the exact amount eludes me). I am being left with $21 for groceries...

When it comes to groceries, I strive to maintain a reasonable approach, but I've noticed that I rarely purchase meat. Given my hearty appetite and need for satisfaction, abstaining from meat doesn't suit me well. Ideally, I would like to include meat in my diet at least three times a week, as it's something I need to work on. However, this would inevitably increase my grocery expenses. Last week, my grocery bill amounted to $109.97, excluding any meat purchases except for hot dogs. I still have a lot of food left so I probably won't have to purchase much next week. Although hot dogs are more of a processed food than actual meat, they are enjoyable to have during the summer. Lately, I've been dining out more frequently and indulging in a drink or two while enjoying Montreal's free festivals. It's a fantastic time to be in the city, especially now during the Jazz Festival. If you're interested in learning more about my experiences in Montreal, feel free to follow me on Twitter.

Apart from the numerous free activities and festivals Montreal offers, another advantage of living here is the availability of quality grocery shopping. During the months of October 2022 to May 2023, when I was in New Brunswick, I must admit that I didn't have access to as much fresh fruit. Blueberries, strawberries, clementines, and peaches are among my favorites, and I have the opportunity to enjoy them more while in Montreal. When it comes to grocery shopping in Montreal, one of my go-to places is Segal's Market, conveniently located at 4001 St-Laurent Boulevard. 

During my recent visit to Segal's Market, I picked up a variety of items. The cherries, although a bit pricey, were definitely worth it.

Even if you don't reside in close proximity, I believe it's certainly worthwhile to visit Segal's Market due to the abundance of discounted items they offer. Personally, I've noticed significant savings by choosing to do my grocery shopping at that particular store. Additionally, it's worth mentioning that they even carry a selection of ferns, adding to the variety of products available.

Picking ferns was one of the final activities I enjoyed with my father before leaving New Brunswick. Early spring is the optimal time for fern picking. We gathered ferns from the forest along the St. John River. However, after a few days, I completed my fern picking adventure.

Here are a few pictures of my fern picking in 2023.

My dad from far away :-)

Navigating Debt and Expenses: A Journey Towards Financial Freedom

I hope you haven't encountered any issues with TD's recent difficulties regarding direct deposits and other matters. Speaking from my own experience, I didn't bother checking my bank account for my pay because I knew that discovering it missing would have caused unnecessary distress, even considering TD's ongoing problem. However, I did verify it yesterday and happily received my paycheck, confirming that everything is now in order. Rest assured, things are back on track.

In my perspective, it's essential to acknowledge that such issues can potentially arise with any financial institution. It's important to address any imaginative scenarios that may have crossed your mind: situations where you can't access your funds, your cards aren't functioning, inability to withdraw money from ATMs, payment rejections using credit or banking cards, unexplained disappearance of funds from your account, difficulties with e-transfers or direct deposits as seen recently, and even the threat of cyberattacks. While there's no need to panic, it's prudent to recognize that any of these scenarios could potentially occur.

To safeguard yourself against these unforeseen circumstances that are beyond your control, it's advisable to have some cash on hand. While it may not be ideal, I won't disclose the exact amount I keep, but I recommend having a reasonable stash of several hundred dollars in $20 bills and some $10 bills. This way, you'll have a backup in case of emergencies.

Almost a year ago, on July 7, 2022, you may recall the significant Rogers outage that left millions without internet and cellular services. This outage had far-reaching effects, impacting government services, payment systems, and even emergency services like 911. One of the major issues during the Rogers outage was the disruption of payment systems. While I don't recall if credit cards were still functional at that time, using Interac was certainly not possible.

In addition to keeping cash on hand, I maintain multiple banking accounts with different institutions as a precautionary measure. I allocate a portion of my savings across these accounts, prioritizing accessibility over potential interest gains. This way, I ensure that I have funds readily available when needed.

This month of June is an exciting one as it brings three paychecks, which is always a welcome occurrence. While I haven't made any recent new investments, I have focused on reducing my margin debt due to the current interest rate of 8.25% on my margin account. I've significantly paid down my margin debt, which now stands at $37,921.01. Although it remains a substantial amount, it's far from where I once was. In the past, when interest rates were lower, my margin debt had surpassed $100,000. While I don't take pride in that fact, it serves to highlight that I had utilized margin and benefited from it. However, the increased interest rates have changed the landscape, limiting my financial freedom. I can no longer make unrestricted decisions with my money. Although this higher interest rate keeps me grounded, it's not necessarily a negative outcome.

I am approaching my 43rd birthday, and as I grow older, I find myself longing to eliminate my margin debt. While I do declare the interest earned on that margin as a financial fee on my tax income, the returns are not substantial. Therefore, the urgency to pay off my margin debt persists, despite any reluctance I may have. Currently, I can only afford to make a $200 payment towards my margin account, primarily due to unexpected expenses like two recent dentist appointments, which cost me over $760 out of pocket. There is a possibility that I may require jaw surgery in the future, although nothing is certain at this point. Health professionals diligently perform their duties, but being of Acadian descent comes with certain genetic peculiarities, including some visible defects. Unfortunately, the issue with my jaw falls into this category of uncertainties. In various aspects of my life, I tend to be fortunate in my misfortunes, and my jaw situation is just another example. Hopefully, it turns out to be nothing significant, but I am still required to pay $450 for a necessary medical procedure, which is completely unacceptable. Fortunately, apart from a mild case of asthma, I don't have any major health problems.

It's not a tragic situation, but my initial plan was to make a $1,000 payment towards my margin debt instead of the smaller $200 payment, which brings it down to $37,721. I believe I can reduce this debt further to $27,000 by the end of the year, with the possibility of paying off the remaining balance in 2024. This would make me debt-free just in time for my 45th birthday in... 2025. My primary focus now is to diligently pay off my margin account debt while cutting down on expenses.

Since my arrival in Montreal, I have spent a considerable amount of money. After spending a couple of months in New Brunswick, I indulged in some shopping, dining out, and various activities upon my return to Montreal. I recently made a payment of over $2,000 on my credit card, but I had anticipated these expenses when I came back. Additionally, now that I live alone, I no longer share the grocery bill with my old folks. I must admit I like the calmness of my apartment. When I am at home, it's like we are 10 people living together always so noisy and full of life, while we are just 3. I must admit, I miss them from time to time.