On November 17, 2020, I sold 1000 shares of Blackstone (LON:BGLF) at EUR 0.65 to purchase 16 shares with PFE at $36.27 per share
We have been holding BGLF stock since 2018, in general, I still like the stock, but my investment philosophy has changed and I'm not interested anymore to hold stocks without options on the London stock exchange.
From the money received I bought additional 16 shares of PFE paying $36.27 per share. PFE is a stock I'm buying for the partnership fund. With its quarterly dividend of 0.38 cents per share, this latest buy has a dividend yield of 4.19% and will pay us an additional $6.08 every quarter (before tax). Awesome!
We are now holding 100 shares of PFE in our Partnership Fund portfolio and it means just one - we are going to start selling covered calls on PFE to generate additional income. We started this Partnership Fund in January 2020, slowly acquiring some small share count with PFE, month after month. It was planned that we will have 100 shares just next month, but I saw an opportunity and invested missing funds a couple of weeks earlier. In fact, on November 17 we also get 10 free shares of VTRS after a spinoff from PFE, see Got 10 free shares of Viatris (NASDAQ: VTRS) After Spinoff from Pfizer (NYSE:PFE)
There are three simple reasons we like this stock - it has a reasonably high dividend yield of more than 3%, it has increased the dividend payout for the past 9 consecutive years. Last, but not least, on PFE we can trade both put and call options.
PFE is paying dividends in March, June, September, and December. We will get a small boost in these months.
Using dollar-cost averaging our average cost per one PFE share is $37.87
By now PFE takes 12.18% from our US stock portfolio. It is the largest holding by now,
For the rest of the year, we are looking to take $4.52 (after tax) from this buy, which is about 0.12% from our $3,600 goal for 2020. Not the biggest addition to the portfolio, but every bit counts.
In total PFE now contributes about $129.2 (after tax) yearly to the dividend income portfolio.
Pfizer Inc.is an American multinational pharmaceutical corporation headquartered in New York City. It is one of the world's largest pharmaceutical companies. It is listed on the New York Stock Exchange, and its shares have been a component of the Dow Jones Industrial Average since 2004. Pfizer ranked No. 57 on the 2018 Fortune 500 list of the largest United States corporations by total revenue