November 2021 Dividend Update

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 I am at the stage now where my dividend strategy is in an equilibrium state. I have maxed out my TFSA, and, as I have invested in funds that generate steady and fairly reliable monthly income, my monthly dividend earnings will be quite flat.

My November dividend total was  $373, a smidgeon less that last month. 



That's around $1000 of tax free income since I started this strategy in August. I am quite happy with that.

Thanks to Wealthsimple's no-fee trading I have started to DRIP the dividends, meaning that I use the dividends I receive to buy more shares. For example, every month I get $40.90 from ZWC, the BMO Canadian High Dividend Covered Call ETF. That's enough to buy two more shares of ZWC which will increase my ZWC dividend by 20 cents next month. With some brokers, buying 2 shares of a stock would be expensive but with Wealthsimple it is free.

This is quite similar to the compound interest effect and will see the dividends grow over time.


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