Scottrade FRIP Purchases – April 2016

I have been making Scottrade FRIP purchases at the beginning of each quarter for a few quarters now. My last quarter purchases was little over $550.00. This quarter, my purchases ended up being higher at $677.08. The following are the FRIP purchases I made on 4/4/2016.

  • COP – 4 shares @ 39.3875 ($157.55)
  • F – 11 shares @ 12.785 ($140.64)
  • KMI – 10 shares@17.1577 ($171.58)
  • BP – 7 shares@29.615 ($207.31)

As earlier, I added positions to my existing stocks.

  • Added to my COP position to average down from the big paper loss that is out there.
  • Also added to my F position after the stock dropped back 12s. This is a very risky/speculative play due to the cyclical nature of the auto industry.
  • Continued to add to my KMI position after last quarter’s FRIP purchases. Using these small purchases to average down.
  • Also continued to add to my BP position after last quarter’s FRIP purchases. Like rest of the energy related stocks, the dividend is a risky play and can be cut anytime.

I invested total of $677.08 for the 4 purchases. Since these were FRIP purchases, there was no commission. These purchases add $32.40 to my annual projected dividends. This results in a yield of 4.78%. I plan to continue my quarterly FRIP purchases, but will keep an eye on my FRIP balance and purchase earlier if something comes up.

These purchases increase my total annual projected dividends to $3,323.25.

Disclosure: Long on all stocks mentioned above

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2 thoughts on “Scottrade FRIP Purchases – April 2016

  1. You are one of the few bloggers that are buying into the energy sector once again. We may have seen the absolute lows and this period may be a good time to add at low values/higher yield. Just make sure the current yield is sustainable. Kudos to averaging down and not getting shaken out of a troubled sector.

    • Thanks DivHut. The energy sector is not out of the woods yet and still a risky play. I am just trying to use this time to average down a bit. It could very well be a while and few more div cuts before it starts to get better. Have to wait and see.
      Thanks for stopping by
      DGJ

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