It’s been a while since I’ve given an update on my RRSP portfolio. I made RRSP contributions for 10 years when I worked in the private sector (taking advantage of employer matching contributions), but I changed careers in late 2009 and moved to the public sector. Now that a significant portion of my salary goes toward my defined benefit plan, RRSP contributions are no longer a priority.
This doesn’t mean that my RRSP portfolio will be neglected. I’ve thought about what to do with my RRSP for the last few years and decided that I will make small contributions each year, while continuing to reinvest my dividends.
There hasn’t been much buying and selling going on in my RRSP portfolio. I added to my position in Great West Life (GWO) in late September. GWO is the dog of my portfolio, as the insurance sector has been beaten up lately, but I thought it was too cheap to ignore at $20 per share.
I made a $2,500 RRSP contribution in early December and then opened a new position in Canadian Oil Sands (COS) later that month.
2011 was a good year for dividend increases. Scotiabank, BCE, CIBC, Fortis, Shaw Communications, Telus, and TransCanada Corp all raised their dividends last year.
Here’s a look at my RRSP portfolio as of March 2nd, 2012:
| Symbol | Shares | Book Price | Market Value | Yield |
| BMO | 60 | $52.21 | $3,469.80 | 5.36% |
| BNS | 45 | $42.64 | $2,414.25 | 4.88% |
| BCE | 80 | $24.52 | $3,249.60 | 8.85% |
| CM | 32 | $60.29 | $2,461.44 | 5.97% |
| FTS | 100 | $29.28 | $3,278.00 | 4.10% |
| GWO | 150 | $26.32 | $3,475.50 | 4.67% |
| LIQ.UN | 160 | $12.14 | $2,752.00 | 8.90% |
| REI.UN | 130 | $14.75 | $3,572.40 | 9.35% |
| SJR.B | 100 | $20.38 | $2,038.00 | 4.76% |
| T | 85 | $31.74 | $4,863.70 | 7.69% |
| TRP | 60 | $37.91 | $2,604.00 | 4.64% |
| COS | 140 | $20.71 | $3,283.00 | 5.80% |
| CASH | – | – | $8,098.48 | – |
| TOTAL | – | – | $45,560.17 | 5.26% |
This portfolio generates about $1,800 in annual dividends. I haven’t set up a DRIP with any of these stocks – instead, I prefer to let the dividends accumulate in a cash account until the right buying opportunity comes along. From there, I will either add to my current positions, or open a new position with another dividend growth stock.
There is a fair bit of cash sitting in this account that I need to put to better use. I have a few dividend stocks on my watch list, so hopefully I can find some good buys in the next few months.
What are you buying this year?
