Passive Income: What a £500,000 Dividend Portfolio and Premium Bonds Paid Me in 2024.
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- Опубліковано 9 лют 2025
- In this video I reveal all of my passive income from stocks and share dividends and Premium Bond Prizes for the whole of 2024 in addition to discussing what I’ve been buying and selling over the last month. My share portfolio includes a range of large cap global companies including several exchange traded funds. My aim is not only grow my capital but also for the passive income to eventually exceed my wages from my fulltime day job and therefore achieve financial freedom. I make good use of a Stocks and Shares ISA to help protect my investments from tax. Current holdings of companies mentioned in this video are; VEVE (8.8k), VWRL (9.6k), VHYL (10.2k), IUSA (49.8k), HSBC (13.7k), BAE (13.9k), ISF (26.8k), Imperial Brands (11.9k), Unilever (39.6k), Shell (30.9k), BP (22.6k), Premium Bonds (50k)
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Disclaimer
When investing, your capital is at risk and you may get back less than invested. Past performance doesn’t guarantee future results. The information in this video and on this channel is not investment advice. Do your own research.
How is your investing journey progressing?
My journey is going well and I average about £400 per month now.
In your general investing account, do you mix and match growth and dividend stock to maximise CGT and dividend allowances. Before bed and ISA in April?
Well done on your dividends per month. Impressive.
I bed and ISA 20k each year from the GIA to the ISA, usually the higher dividend payers go into the ISA. I keep the CGT below the limit. My GIA only contains growth stocks. The higher dividend shares are in the ISA and try to keep it that way as best I can.
Hello from Portugal! The new year is being very good for me. My portfolio, which is not one year yet, is up 3% in general. It may not seem good to all the UA-cam content we see around (because most people show returns of 20% or CAGR total of 200% from long term), but it feels good since my plan is: Strong companies, low yields and a time frame of 15 years.
What's your opinion on Barclay's stock? I see it so low, and don't know if it's a buy hand over fist, or just a value trap.
Cheers mate :)
@compounding investor, will 2025 see you venture into potential higher risk/higher dividend paying stocks such as BDCs/REITs? BDCs (e.g ARCC, BXSL, and MAIN) have seen good growth over the last 12 months, and REITs such as O/ADC have seen good dividend increases whilst the stocks are at potential buyer lows.
Barclays was the first stock I ever bought way back in 2009 and my portfolio is with Barclays Smart Investor. To be honest the banks have not been great for me over the years and I think they can be very volatile. I know Barclays is doing well at the moment but it is very sensitive to changes in the economy and is highly unpredictable in my opinion. I'll continue to hold but have no plans to add more.
The £1million premium bond winner with £50k of bonds only bought them in November, incredibly lucky winning the top prize on the first draw they were eligible for !
Wow I didn't know that. Incredible luck. Maybe they think they will now be able to have repeat success every month or so 😄
Another 2 millionaire that are not from London, in the face of those who were complaining that London was getting all the premium Bonds big prizes!
How can we be sure it's not rigged? Do we know anything specifics on the rules of the drawings?
@redminote7334 There has been much independent research on the stats since 1957 when they were first launched and I’m yet to see any evidence of foul play. If there was something suspicious going on I’m sure it would have come to light by now. Used to be thermal noise which determined the random numbers but these days they use quantum physics using light
Prince Andrew bought them
That tax man’s claw got me chuckling again, great bit of comedic relief to an otherwise serious video.
Keep up the good work!
Although not so funny when you have to pay 40% IHT on your stash! :( :(
@@CaldonianDude Thats why you try to give as many gifts as you can, set up a trust within a trust and find other ways to avoid tax. f the tax grubbing gov.
I really love your channel. Not only did it get me started with investing but the way you present this data in your videos is fantastic. Happy new year
Thanks Sunil, that's very kind. All the best to you for 2025!
@@SunilDachmann-mg7mm I agree
I totally agree with the above comment. You got me into investing and I’ve gone from an initial investment of £50 to over £5K. Your channel is the go to channel on investing. You style and presentation are spot on.
Thanks Andy. All the best mate!
I’ve just found your channel. I inherited my dad’s portfolio last year and reinvested some of the shares. It’s now growing instead of losing money but wanting to start putting my own money into it. Thank you for some inspiration. I can start researching 😊
Thanks. You got me to start to invest. Although i take a different approach to you, watching your videos got the ball rolling for me.
You are welcome. That's the great thing about investing there are so many different strategies as people have their own goals, time horizons and attitude to risk. All the best on your journey.
I look forward to these videos every month. Thanks so much for them
You are welcome. thanks for watching and all the best for 2025
Great video, you’re one of the realistic investors on UA-cam that I can Relate with.
Thanks so much for the feedback, I really appreciate it.
always look forward to your videos... all the best
You are welcome. All the best for the New Year.
I really like this form of presentation, happy new year!
Thanks for the feedback. Have a great New Year!
You're doing very well for yourself. Well done. I'm sure your performance would shame many IFAs and fund managers.
I have only been investing for 7 months. But I have managed to get from dividend 74p a day which mean £22.81 a month. I am very happy with it and have beaten my goal for 2024 by double. But with this information I have kept my 2025 quite Sensible. The goal is £1 a day which I think I can do in 2025. I end my portfolio at £10,582 at the end of the year.
Thanks for sharing your journey. £1 a day is a great target to aim for. I'm glad you are enjoying the process and all the best on your journey.
That's not bad going at all.
I wish I had started years ago, I have just 3 years of div inv so far. I converted 2x 401k and my Roth to the div funds. I bring in on average 5k a month and 63k this year so far. I reinvest all payouts for growth looking to match my Corp salary with just div and my pension.
Already got £25 so far this year on the 2nd, may your dividends be high and their yields stable
Thank you. All the best for 2025
I’ve learned over the short time av been investing buying uk shares are bad investments in my opinion but as you’ve said before it’s what keeps you motivated.HAPPY NEW YEAR🎉
Happy New Year. Have a great 2025
Uk shares are terrible. Look how the 100 performed since covid.
Thanks for the update, great to see progress. I have been buying BP the last few months. The new CEO will get them back in track, and I'm the meantime we pocket the very nice dividend.
thanks for the video, you’re one of the realistic investors on UA-cam
Thank you. I appreciate the feedback
Amazing! Always good to see your success!
Wow well done on averaging 1.4k a month 🎉🥳,im averaging 350 quid a month & it's compounding nicely 😊
Thanks Gurdeep. All the best for 2025!
Great VT, here are some of my buys GACA, GACB, RECORD, AV.A, AV.B, ELLA, I get a 6.6% return on my dividend, current growth of 5% this year best of luck
Happy New Year and to achieve growth of 14% in your average dividends per month during 2024 is fantastic.
Based on past performance I think you may pull away from VHYL considering your individual holdings and agree that BP and AV. are strong buys at present. All the best for 2025 👍🏻
Thanks so much my friend. All the best for 2025.
I think BP is definitely a buy at current price, I recently purchased some at a price of £3.87.
Definitely goes in cycles that sector. During the pandemic, Shell for instance fell from around £20 to £8 a share and BP also had a dramatic fall. I was buying quite a lot at those low prices as I suspected oil would be in demand again one day in the future.
Disagree - it’s in a dying sector. The prices got inflated artificially after a black swan event of war in 2022 but it collapsed with the oil price drop and Saudi Arabia said they aren’t planning to cut production. I’ll buy back in to a stock like this, or zoom, or Pfizer when I see the next crisis/black swan event that will inflate a stock
@@davidlong8217 perhaps your right, however I am already up over 5% up on my £3.87 purchase and will sell if the price rises further for a nice quick profit. If the price doesn’t rise I Will hold and take the near 7% dividend while wait.
Love following your progress as I’ve embarked on my own journey.
That's great to hear. All the best on your journey
Great video as always, my total £809 for the year a way off yours but I'm happy with it. I hope to get £900 next year not much of a jump but I will be using money elsewhere this year so the dividend increases and reinvesting will me doing most of the work with just a little new capital all the best for 2025.
Thanks Lee and all the best for 2025.
Excellent way to start the weekend!
Thanks so much. All the best to you.
Happy New Year TCI, great video again, I've recently added VEVE to my portfolio. Looking to grow my ETF holdings this year.
Nice one! VEVE is a real favourite of mine. All the best for 2025
Another brilliant video, so inspiring and the content is easy to follow and a great inspiration 👏🏻
Thanks Robbie, I really appreciate it. All the best for 2025
I started in March 2024 and built a £5.5k portfolio split 50/50 between mainly US growth stocks and mainly UK high yield dividend stocks. Ive had an overall capital return of £605 (11.5%) and a dividend/cash interest yield of £55 (1%). I am quite pleased overall considering the many mistakes I made in the beginning with a steep learning curve.
Nice work. All the best for 2025
If you’re into financial growth, The Elite Society's Money Manifestation is honestly a good read
Thanks for the suggestion. Always on the lookout for financial reads.
Great work again😊 im tempted to top up my aviva shares as the Yield is still around 7% and with the purchase of direct line it should do well over the next 3 to 5 years 😊
I agree that Aviva seems to be on the up. All the best Malcolm.
Great video as always! You're one of the channels to give me confidence to start making my own content. Not anywhere near this level but need to start from somewhere
All the best with it. Similar to investing, small targets along the way and enjoying the process. If you have any questions I'll try to help.
@TheCompoundingInvestor thank you.
Love these uploads,another decent month for yourself 👍happy New Year to you and Mrs CI 🍾🥂
Thanks Neil. All the best to you too and Happy New Year!
Well done 👍 hope this year will be great too 😊my portfolio is very much growing 💰💰
Nice to hear, Paul. All the best for 2025
I love these videos. Happy New Year! :)
Thanks Nicola and Happy New Year to you!
I keep toying with buying more into DGE to get my cost avarage down as the price as been down for sometime now. Have made steady progress during this 1st full calendar year though. With money held in T212 and my investments, I hit £1.06 per day in passive income. I add 3 shares of GGRG every month which is a global accumulating etf and then the rest is put where I see value. Recently I've added a fair amount to BP and it's share price is on its way back up and right after I had lowered my coast avarage.
All the very best for 2025 CI.
Thanks so much and all the best to you too for 2025!
BP has been a target of mine for a while. My portfolio is tiny but I put every spare penny at the moment towards BP as the world is always going to need oil related products within our lifetime.
December paid me £10.55.
The year paid me £86.20
Keep up the good work. Growing nicely
Slowly transitioning money into ETFs but still holding a 70% balance towards UK dividend paying shares, like u those dividends keep me motivated! I’m preferring VHVG to an S&P500 tracker. I think the S&P will do well again this year but some of those valuations are just staggeringly high! Be interesting to see which vanguard funds you start to consolidate to, all the best 👍🏻
Thanks so much for your comment, very interesting and yes a similar strategy. Regarding ETFs my views often change and April is still a way off yet but my thoughts currently are to perhaps bite the bullet and get rid of VHYL. I might also ditch VWRL and put the funds into VEVE as the fees are smaller and the performance of the companies from emerging markets has not been that great. You just have to look at VFEM to see that. These are just my initial thoughts at the time of writing.
@ Consolidating into VEVE looks like a good option and u could always tap back into emerging markets with VFEM when China starts recovering. I’ve a small position in RTWP a Russell 2000 US small cap etf, I think they’ll benefit from the Trump effect this year, might even give the S&P a run for its money! 😄 but I’ll have to wait and see!🤞🏻
Thanks very much for all the info you provide.
My investment journey is going ok...I think!! I started with 71k in june 21. ISA 70k SIPP 17k & GIA 2k. Now at 89k. Hoping to break that magic 100k this year with the addition of monthly deposits of £500 into my stocks and shares ISA.
Plus a small stash in Premium B's 2.5k, Crypto 2k and recently Plum £600. Contributing £50pm in plum.
Not sure if there is more i could be doing to maximise my investments
Thanks so much for sharing details of your journey. All the best for 2025
Great video , that’s a great return on a solid effort 👍
Thanks so much.
Yes, I bought BP at 3.90, quite happy to hold (with the decent dividend) until oil prices go up again, should benefit the share price
Your story is very similar to mine. I'm just behind you..way behind you haha.
congratulations. Excellent Chanel too
Thank you so much!
BP looks cheap at the minute and being averaging down big time so hoping the there is a swing upwards soon. Love the videos keep them coming!
Thanks, I'm often tempted when I see big drops in oil shares. Very cyclical sector.
You’re welcome, what’s the chances of actually seeing you in person in one of your great videos 🤩👏🏻
Hi there! I love this channel and was wondering if you think my Investment strategy is a good idea. To invest in s&p 500 for a long time in ISA and then when it's compounded well, say 20 years, to withdraw and put it all in dividend stocks.
Or would it be better to be putting monthly investments into dividend stocks now?
Obviously I’m not allowed to give advice, only show what I personally do. Everyone’s situation is different e.g. goals, time horizon and attitude to risk etc. I have found dividends very motivating over the years from a purely psychological perspective but the most financially profitable method for me would simply have been to invest into an index tracking ETF like S&P500 or All World. ETFs were not mainstream when I started in 2009 but most of my new money goes into them these days. Which particular ETFs will do well in the future I have no idea. The US could be in a risky tech bubble or it go to the moon, I wish I had a crystal ball. At the moment I’m happy to keep my higher dividend shares inside the ISA and compound the dividends back in while new money goes into low dividend paying ETFs outside the ISA. To answer your question about converting from the S&P500 to dividend stocks say in retirement, that is one possible strategy or another might be to just sell some S&P500 as you need to in order to release cash. A problem of course is that if there is a market crash at that point you might not want to be selling stock which has crashed in value. Having some kind of cash reserve which you can draw upon or other assets / shares which have not crashed would be useful in that situation. Not investment advice of course.
@TheCompoundingInvestor thank you very much for this
Great video, mate. Happy new year 😊
Thanks Tom. All the best to you too. Happy New Year 🥳
I think you should show the uk tax based on holdings outside of an ISA for the different rates. I.e. basic rate and higher rate. As this helps to give a full picture.
Thanks for the suggestion. I might incorporate this into a video at the end of the tax year
Great returns 👏 I would sell S&P500 (overvalued) and increase VWRL and VEVE (more reasonable valued and more diversified). As an alternative to VEVE there's HMWD (HSBC MSCI World).
Love the tax man claw made me chuckle 😂
What a great year! Here's to 2025!
Thanks Thomas. All the best on your own journey for 2025.
Instead of Premium Bonds you can buy a Money Market fund like CSH2 which pays approx 5% before tax. It is best to keep this in an ISA to make CGT and tax on interest easy to calculate (i.e. 0 tax). If you use a flexible ISA then you can put it back in within same year. On the other hand the simple VNRG ETF returned 28% last year and in an 'emergency' can be cashed in - even with CGT, is it really better to hold PBs when most years you won't need that emergency money? 5 yrs 50k 4% = 61k tax free vs. 8% in S&S = 74.5k - CGT = 70k so you are 9k better off and that is assuming only 8%/yr, at 20%/yr S&S growth you will be 68k better off!
The thing about emergencies is you never know when one will come along and how much you will need to find and it could happen during a new financial crisis when stocks would crash. My ISA is full and I'm a higher rate tax payer so for me premium bonds make sense. Not investment advice of course and everyone's situation is a bit different. Thanks for doing the calculations however. Useful stats to be shared with others.
Thanks for your videos. Especially the tax mans claw 😊
You are welcome. Have a great 2025
Mr Claw taking your returns 😢 I really think we need an increase in the ISA allowance, it’s long overdue in my opinion. Great video as always, all the best for 2025 👍
Thanks so much for watching and commenting. Yes I agree an increase in the allowance is long overdue especially considering the impact of inflation.
Current gov can only decrease it
I’ve just found your channel, I’m 22 and last year managed to get 10k into a cash isa. I opened a stocks and shares isa with Barclays and spilt £500 over there 5 different risk levels but I would like to start buying into blue chip for dividends.
Fairly long winded way to ask what platform do you buy blue chips for dividends and where are they paid into?
I have a stocks and shares ISA as well as a general investment account with Barclays for my portfolio but I would not recommend them if you are investing small amounts as they charge £6 per trade. Trading 212 is worth considering for those first starting out.
Excellent work Mr Compounding Investor. Was there any particular reason for choosing IUSA over other Distributing S&P500 ETfs such as VUSA or SPX5??
Thanks. When I first got into the S&P500 several years ago most investors on the Barclays platform were buying the iShares version (IUSA) at the time. That’s the only reason. There is really no significant difference between the different versions as they all track the same thing and the costs look comparable as far as I can see
@@TheCompoundingInvestor Many thanks for the reply. SPX5 is 0.03% compared to 0.07% for both VUSA & IUSA but not really anything to bother about... If you were starting now do you think you would still go with the Distributing version rather than Accumulating?? I guess it doesn't really matter in the long-term if you reinvest the dividends...
@MAOLALAIDH Thanks for the info on SPX5. If I was starting again I might actually go for Accumulating inside the ISA and distributing outside the ISA if I used up the allowance. Working out the dividend tax to be paid on the ACC version would potentially be more difficult than the Dist version.
@@TheCompoundingInvestorMakes sense, thanks.
Happy New Year 🎉
Not bad. I earned £120k passive income in 2024.
Nice, What type of assets are you invested in? Stocks? Property?
@ stocks, bonds, funds, property, FDs. My portfolio is worth around 2.5m.
Hi there, so do you not do any accumulation stuff? All your returns are payed out? Thanks
I choose to have the dividends paid out as cash and I can then choose where that money goes e.g. into a company of my choice, rather than have it reinvested into the same companies which paid them out.
Great video, subscribed 👍
Thanks my friend, I really appreciate the sub. Happy New Year!
Happy new year to you
Happy New Year!
Great video as always. I only look at the yield at the end of the year. Im at 4.75 without including PBs. I expect that to increase a little more as I continue to shift to higher yielders. Ive taken a performance hit from moving more out of the US but Im relaxed about that now.
Thanks Jerome. My yield has fallen significantly in recent years due to the reduction in the non-ISA dividend allowance. I'm now forced to buy lower yielding shares or even zero yielding shares like Rolls Royce but perhaps that's not a bad thing in the long run.
@@TheCompoundingInvestor Yes depends on your timeline to retirement I guess. I have SIPP and ISA so avoid a GIA.
Amazing video!
Curious what platform you use for all the different shares.
Trading 212 for some? Vanguard platform for the vanguard fund? NS&I premium bonds within the NS&I platform?
Thank you
Again great insight!
Thanks.
My main portfolio which I show on this channel is all within Barclays Smart Investor and I’ve been with them for 16 years. Premium bonds are held on the NS&I platform
@@TheCompoundingInvestor Jesus that was quick haha. Awesome thank you for being so clear Compound Investor.
Nice, great results 👍
As someone who worked in the energy sector I can see SHELL & BP delisting from the FTSE and listing on the NYSE. The difference in valuations between U.S counterparts and U.K put them at risk of take over.
Yeah I'm concerned at the number of companies which have moved or are thinking about moving away from the London Stock Exchange. We can only hope that the government somehow makes it more attractive to stay. Wishful thinking perhaps.
@TheCompoundingInvestor U.K Pension funds would need to be made to invest a certain % in the FTSE. That would make a significant difference in terms of valuations.
This is impressive.
My total dividend payments in December was £15.83😂
That's a great start! Onwards and Upwards. All the best for 2025.
Although I tend to use Accumulation ETF's/Funds, I do have some distributing and enjoy watching your videos. I'll need to look at how much dividend was paid in the funds for tax purposes... and I'll be interested in how much it comes to in the year. I also play the Premium bond game, and returns have been er... varied...
Thanks for your comment, yes premium bonds do vary so much but it's something to look forward to each month and the phone app is great. All the best for 2025
Sorry to hear about the £45 robbery but nice to see the 2024 average bar added to the chart.
I can't recall which video of yours I commented on but I took the totals off that chart to see the average average dividend growth rate to project out the coming years. Could be some interesting stats for a future video I'll try to find it and see how my 2024 'prediction' turned out
Thanks for the suggestion. I need to give that one some thought but it's a great idea.
If you don’t mind me asking but roughly how much a month did you start investing with?
started with a lump sum of £5000 in Jan 2009 as that was all I had in savings as the time. I had just finished paying off the mortgage and was debt free so this gave me more funds to invest with. My aim was to invest between £500 to £1000 per month initially but as the years go by wages do tend to go up so I was able to put more in during the later years. On average across the 16 years of investing the mean works out at around 1.5k per month but as I said, I made sure I paid off the mortgage before I started and that really helped. I'll leave a link below to show my early journey to becoming debt free if you are interested..
ua-cam.com/video/s-YpNhVsGOk/v-deo.html
@ thank you I’m trying to put away around £600-£700 a month. Your videos are very motivating thank you
You are welcome. All the best on your journey
Great UA-cam channel!
Can I ask, in the title it says investments of £500k but your share listing totals around £200k …. Am I missing something?
Hi Graeme and thanks. I do a dividend report video each month and only show the the companies which paid dividends in that month e.g. December in this case. My next video is a quarterly review of the complete portfolio where I will also be showing the overall performance in 2024 and since I started in 2009. If you want to see the last one I did back in October I’ll leave a link below.
Breaking The Half-Million Pound Barrier: Dividend Portfolio Quarterly Update
ua-cam.com/video/fL-Y3R_oCtM/v-deo.html
Ahhhh that explains it. Thanks for that. I’m definitely going to look at your videos. I’m moving towards retirement and those dividend payments are certainly something that I need to be looking at to supplement my income.
Some as high as 6% is fantastic returns.
Just be aware that dividends are not guaranteed. It’s at the discretion of the company and the value of your capital can go down irrespective of the dividend. Higher dividends tend to be more at risk of a dividend cut. The average for the FTSE 100 is around 3.5%
Love watching your content. £500k invested in stocks would it not be better to have £300k or so in an investment property?
Thanks. Property investing is not for me. With a full time job I don't really have the time to be dealing with tenants, maintenance, high tax, agents and boilers breaking in the middle of the night. With shares its simply a case of buy and forget.
I like your channel a lot, but I want to ask you something, all that ETFs are overlapping, you don't think in selling some of them and put on something like VT or only VWRL? Globally diversified, no overlapping and much more simple and efficient.
Sure I agree there is a great deal of overlap and I sometimes change my mind as to which ETF is best. I plan to consolidate in April when I do my Bed and ISA swaps. At the moment I plan to possibly get rid of VWRL and put the proceeds into VEVE which I will transfer into the ISA. I will continue to buy IUSA outside the ISA. I'm a bit undecided on VHYL which is currently inside the ISA. The total return on it has not been great and there is probably withholding tax on the dividends too working against me.
Really great video
Thanks Colin, all the best for 2025
Been loving the videos this year as it’s been helping me see what I could potentially get from compound interest. Switched up what I’ve been putting money into and got £300 for this first year after tracking it properly. Thank you for your videos and always looked forward to what you have got coming through! What provider do you use? I’m thinking of switching, all the best in 2025!!
Thanks, I use Barclays Smart Investor but they are very expensive and it costs £6 per trade. Much cheaper options out there like Trading 212.
Hi....Thanks for the great video...
Which stocks/ ETFs do you have in your ISA and which stocks in your GIA?
You are welcome. I keep the ones paying the lowest dividends outside the ISA e.g. the S&P500 which pays 1% dividends and Rolls Royce which pays zero dividends.
@TheCompoundingInvestor Thanks for the quick response...and the info...
@@TheCompoundingInvestor
Also which video editor do you use?
I use an iPad with the free iMovie software. As low tech as you can get
@@TheCompoundingInvestorThank you...😊
Hi. Love the channel! Is it coincidence that your investing journey started in 2009, one year after the 2008 financial crisis? By that I mean, did you think, 'well, that's the crash, good time to start at what is probably the bottom'?
Thanks, the market crash definitely was a motivating factor but also at that same point I finished paying off the mortgage and was debt free so had extra funds each month to put to work. However I did make plenty of mistakes in the early days and got in a bit early. The market still had a way to fall. I started buying companies which I thought were bargains but were full of debt. Several of them went bust. Even Lloyds, Barclays and RBS needed bailouts to survive and I was heavily into those. Several rights issues also diluted my holdings. Those were scary times. What I should have done was buy the strongest companies in a given sector but unfortunately I bought the weakest which I thought were bargains. I think we learn as we go along and my investing style has evolved over time.
Great video! What’s your thoughts on corporate bonds? Is it something you see yourself ever investing in?
Thanks, Not at the moment. I'm happy just to invest mainly in index tracking ETFs these days and the shares of individual large cap companies where I see bargains emerge.
@ how do you analyse these bargains? Do you go by historic lows or just keep up to date with company changes?
@@sukjeevanhera5125 Its a good question. As I invest mainly in large cap global stocks which are virtual monopolies their share prices are usually not so highly volatile as growth stocks. If I see a sudden fall in price then I have to ask myself what the probability is of the company going bust or recovering. Shell has normally traded in the £20-£25 range but during the start of the pandemic it fell to as low as £8. I really didn't this Shell would go bust and I thought that the pandemic was not going to last forever and oil would eventually be back in demand again. The same was true of Rolls Royce when the shares fell as low as 70p. I thought eventually people would return to the skies again the age of powered flight was not over!
hi - newb here - re HSBC, which one do you use? (so many on Trading 212 to choose from)
Try the ticker code HSBA and you should find it. Price should be around 782p currently.
Just found your channel…and I’m not an investor. But surely you can get a better return from normal savings accounts, or am I missing something?
Perhaps in terms of dividends alone you could e.g. I’m getting around 3.1% dividends per year currently. However most of my gains this year have been from capital gains on the form of price growth of the shares. If we take both dividends and capital growth into account the net return on investment for the year is 16%. I’m not predicting every year to be like this however. Investing does carry risk.
@ Ahhh right, so your reply is a good arguement for me to follow the channel and learn a bit more then😂
Do you think DGE is ever going to make a recovery? Feels like it been bleeding down forever?
Guinness sales have gone through the roof over the Christmas period so will be interesting to see what the interim results are like on 4th Feb.
Nice video
Thanks so much
What software do you use to make your videos?
Ipad which I already had. Free iMovie app which it already has on it and Keynote for graphs which is a free app also. About as low cost as you can get.
year 1 done!
Broke £100 average monthly income in December.
your average monthly dividend income seems to slowing? would think with over a grand of free money coming in you would be seriously getting the compounding effect now?
Unfortunately the continual erosion of the non ISA dividend allowance has forced me to buy lower yielding shares outside which has meant my dividend yield has taken a big hit. Used to be a £5000 allowance but now only £500 a year. Well done on breaking the £100 monthly barrier. I noticed things picking up speed after that point was reached.
Do you have to do a self tax form or do they send you a bill?
You have to do a self assessment and submit it
Well done, sounds like a very satisfactory year! Can I ask, do you use the Vanguard UK platform to buy VHYL or another provider?
Thanks. All my investments apart from premium bonds are with Barclays Smart Investor. I have a stocks and shares ISA as well as a GIA with them.
Love your videos you helped me start my investment journey I do have a question how do you pay taxes on the funds outside of your isa I’m no where near hitting it but for when I do how does it work
You are allowed £500 per year in dividends outside of an ISA. When you exceed this in any tax year you may need to report it on a self assessment tax return and you may then be charged tax on the additional amount received above the £500 limit.
Current UK tax rate on dividends are 8.75% basic tax rate, 33.75% higher and 39.35% Additional rate. Hope this helps
@ wow didn’t think you would reply thank you yes this actually helps me out a lot thank you look forward to your next video happy investing
I just love premium bonds. My January winnings were a surprising £625!. A total of 3 prizes. Just seeing that one of them was a £500 prize was awesome.
Great start to the year! Nice work. All the best of luck for future draws
Do you pay standard tax on them?
@@flesz_ premium bonds are not taxed
@@flesz_Completely tax free.
Microstrategy solves all divided issues
All Crisp notes...I like that!
How much of your Dividend income do you reinvest back into your portfolio?
100% of dividends are reinvested. As I have a full time day job I don’t need to use the dividends and can simply let them compound over time
@TheCompoundingInvestor
Nice.
I see you've been paying attention to the Oracle of Omaha!👍😁
Not a bad return but that £500k must be calling at him to convert it into something sexier than a spreadsheet 😁
Unless I missed something obvious... how much total do you have invested? £1408/m is nice.. but means nothing unless we can get a total figure and work out the % return..
Yes this is only my dividend report . I do a full portfolio breakdown each quarter and that will be my next video. Started year on 417k ended the year at 512k with 30k of new money going in which is around 16% net return for the year
Great video and congratulations on your journey.
What is your thoughts about these etfs Amundi Nasdaq, global x Nasdaq covered on call “which gives high dividends”
Also what is your thoughts about us dividends kings for an investor living in uk. As I see uk stocks are not booming as us !
Thank you
Thanks, I'm happy with my S&P500 ETF as I feel it is already heavy in tech stocks and therefore I don't want further overexposure e.g. with the Nasdaq. Regarding US dividend stocks a significant amount of the gains would be lost through withholding tax so therefore I'm happy just to focus on the S&P500 which pays a low dividend of around 1%. Just my view on this in my own situation and not a recommendation for others of course.
That's an incredibly safe portfolio, do you not consider allocating a small amount to riskier tech?
For instance £15,000 in MSTR this year would have yielded £165,000 or
I did £5000 in SOL which yielded £75,000
I know its not for everyone but even £5000 in a relatively safe BTC would have given you the same return as £500,000 did in your funds.
If I was starting from scratch and had many decades in front of me then I might take more risk because you have more time to ride out a crash until it recovers. Everyone’s investing time horizon is different
@@TheCompoundingInvestor I understand that everyone has different goals and timelines, It just seems a 1% allocation with a potential to double your years gains is a good risk/reward.
If not then consider a 0.01% (£500.00) just for the fun of trying something new.
Anyways good luck to you, i wish you all the best.
Thanks for the info and all the best on your own journey. Just out of interest how do you buy your Bitcoin?
@@TheCompoundingInvestor I use coinbase which is a centralised exchange because I like the security and don’t mind the slightly higher fee for peace of mind.
Others are binance, trading 212 and eToro.
It’s becoming mainstream and will be more stable in time but it’s always good to be in early.
Another great video. All the best for the 2025 and hope is even better then this one. Thevtax claw make me giggle again. Thanks for your work it helps me with my motivation to keep investing
Thanks so much and I'll pass on your comments to the claw. Personally he sends shivers down my spine 🥶
How does taxman take from the GIA is it automatic or do you have to work it out ?
You have to work it out and do a tax return.
I refuse to invest any money outside of an ISA, SIPP, LISA, Premium Bonds now - the tax returns are so complicated and if you’ve ever done anything with crypto, good luck returning on that hot mess.
I’d rather have a bank account paying 0% and no paperwork than the alternative.
The taxman can go whistle.
How do i start investing
First step is to open an account with an investing platform. Investing in the stock market does carry risk however share prices can fall as well as rise. Its a good idea to do plenty of reading and build up your knowledge before starting.
£86 per month baby steps to that £100
Working towards that £100 a month. Nice, I great target to reach. All the best.
Isn’t dividend tax calculated annually? Have you equated it to a monthly amount? Great channel BTW
I've equated it into the monthly amount. Once my £500 non ISA dividend limit is reached then all dividends outside the ISA will be subject to tax until next April when I will get another £500 allowance.
I’ve only really started to get serious in all this 2 months ago, only previously had a couple of workplace sharesave/share incentive schemes for a decade or so, feeling a bit behind but now in a stocks and shares ISA so my total holdings is around 22k including those work shares and currently worth about £81 a month in dividends, ~£974 a year.
We live and learn, got to get my skates on as (currently) only 26 years until I get my state pension 😂
Thanks for sharing your journey. Some decent dividends per month already. The £100 a month mark was the toughest to achieve for me. I noticed things speed up quite a lot after that as compounding kicked in. You are nearly there. Best of luck for 2025!
Does this even keep up with debasement?
16% total return for the year
Do you suggest any Realty high dividend stocks like 'O'?
because of the dividend withholding tax for UK investors I don't buy overseas individual stocks which pay high dividends. That is just what I personally choose to do and not investment advice.