My income statement

[Dmoney]

In May I increased my net worth by 10.4%

Assets
Cash: $20,632(+107.5%) - Increase is from my year-end bonus at work
TFSA: $22,724 (-0.3%: $78 in losses, pretty much flat)
Unregistered account: $74,947 (-3.1%: $2,289 loss. Wasn't a fantastic month, most holdings were down.)
Employee share plan: $2,678 (-12.9%: $500 contribution, $895 losses... doesn't help when the company's stock tanks)


Liabilities
Margin: $0 (0%: no change)

Net Worth
$118,692 (+10.4%: $11,159)

Another bad month in the market. Year-end bonus came in though which was a nice offset. Not quite as high as I had expected, and it comes with a hefty tax bill which I should get back next year. Still more or less on pace for $150,000 by year-end, but will be close.

[Dmoney]

Bit of a setback towards the end of June. My computer died and needed to be replaced, so not only was I unable to update in time for the month-end, but I also ended up shelling out just under $900 for a new one. This monthly update will reflect today's closing prices rather than June's month end, as well as dividends received in early July.

I increased my net worth by 1.5%

Assets
Cash: $19,448(-5.7%) - Bought new computer, went on a four day trip to the US
TFSA: $23,327 (+2.65%: $602 in gains and dividends)
Unregistered account: $74,947 (+2.8%: $2,047 gain. Good month, reversed losses from the previous month, good contribution from dividends.)
Employee share plan: $2,989 (+11.6% : $500 contribution, $189 losses... Company stock still falling, slower now, hopefully stays here and I can lower my average cost)


Liabilities
Margin: $0 (0%: no change)

Net Worth
$120,468 (+1.5%: $1,776)

Better month in the market in June. Gains in TFSA and Unregistered, as well as good dividend flow and option income.
June dividends were $328.70, and I expect it to be higher in July.
Option premiums for June were $591.54.
Total portfolio income was shy of my $1,000 target again, but should be well over $1K in July.
Year to date my average monthly portfolio income is $964, so I am aiming for total portfolio income of $12,000 for the year.

I have a good chunk of cash ready to invest and am looking to diversify a little now. I am still short 6 Telus puts ($60 strike price, expire in July so not too worried) which I hope to roll over monthly, but T is looking a little too expensive for me right now. This means I need to find something new to either go long on, or write naked puts against.

Hopefully will be a little more active now, and will keep the updates flowing.

[ddkay]

I was wondering where this thread went, welcome back!

[Dmoney]

Thanks, glad to be back online.

Right back into action today. Sold 10 September $23 puts on Finning International for $1.00 each. Unfortunately after selling, FTT fell from ~$23.65 to $23.09, so I left about $250 on the table based on where options were trading later on in the day. Not the end of the world, as I have the cash to back the options if it ends up below $23 in September, and I don't mind buying it at that price.

Latest chart of portfolio income:

Port income.jpg

[Dmoney]

Some good news and some less good news.

The good news: I was told I got a raise effective two pay periods ago.

The less good news: The paper work was supposed to be completed two pay periods ago, and as of yet, is still incomplete.

HR said once it is complete, I will receive the missed pay, so it should sort itself out shortly.

Good news for my goal of $150K net worth by Jan 1, 2013. I'm not sure how much the raise is, but it's all going into the bank regardless of the amount. Not sure if it's $1,000, $5,000, $10,000 or $20,000 but every bit is welcome.

Also glad to see Finning rebounded nicely today back above my September $23 strike price (short puts), and Telus is comfortably above my July $60 strike (short puts) so next week I'll hope to sell another round of puts. Hopefully can get some value at $60 strike, but might be willing to go to $62 if not.

[Dmoney]

Word of advice. Don't ever use Credential Direct. Missed out on a perfect opportunity to sell another round of Telus puts this morning when Telus was down over 1% in the early morning. Could have sold September $60 strike for over $1.50, they're now trading at ~$1.00. Went to make the trade and they didn't have the option to trade any September options on Telus. Called, they said they'd have it fixed within 5 minutes, still wasn't fixed at the end of the day.

Between the 6 weeks it took to get the account transferred in, the high margin interest rate and the higher than average commissions (particularly options assignments and any large order of shares) I have no idea how they're in business. Unfortunately I'm stuck with them as long as I'm in my current job, so I've just got to suck it up.

[Dmoney]

I increased my net worth by 2.7% in July

Assets
Cash: $22,305(+14.7%: $2,857 increase) - Mostly just savings
TFSA: $22,756 (-2.4: $571 loss, TransAlta in the pits)
Unregistered account: $75,450 (+1.0%: $745 gain. Decent month, mostly dividend gains and option premiums.)
Employee share plan: $3,235 (+8.2% company stock looks like it has hit a floor. Dollar cost averaging down now.)


Liabilities
Margin: $0 (0%: no change)

Net Worth
$123,745 (+2.7%: $3,277)


July dividends were $636, pretty much the same as three months ago. Have over $20K sitting on the sidelines which hopefully will boost this in coming months.
Option premiums for June were $983. Strongest month of option writing to date, with the addition of Finning International.
Total portfolio income well over $1K (~$1,600) in July.
Year to date my average monthly portfolio income is $1,068, so I am aiming for total portfolio income of $12,000 for the year.

Still looking for opportunities to deploy my cash.
Will have a raise effective as of my next paycheque, so will be able to invest more, and will hopefully see my net worth increase faster.

[GOB]

Nice work. As my income generating portfolio grows I would also like to target $1000/month. That adds up pretty quick!

Have you ever thought of getting into bull/bear spreads or LEAPs as another way to generate option income?

[Dmoney]

I'm looking into it, but the Canadian option market is nowhere near liquid enough to get into spreads. Also, I'm finding my commissions too expensive to be trading too frequently. To justify a trade, ideally I'd like $500+ of profit. ~$300 isn't too bad, but in a perfect world, I wouldn't trade for less than $1,000 per transaction. Unfortunately I'm stuck with my current brokerage, where if I get assigned, commission on 10 options works out to be over $70, and a spread would be over $80, just to initiate. (Assignment costs are extra).

My next step definitely needs to be to get into US options, because there isn't enough variety in the Canadian market. I want a steady stream of $1,000/ mo. CAD before I increase my US account though.

[GOB]

That's tough luck about the high commissions. IB is definitely making options trading much easier for me. Getting into US options opens up a vast amount of opportunities - I highly recommend it. Good luck to you.