New Portfolio: Free Money

There are few things in this world better than free money. That is why I have launched a new portfolio as a part of my dividend portfolio; Free money.

The concept:

I receive dividend every month, and this dividend get reinvested to compound over time. But I don’t track the dividends compounding effect directly as I also add money from my savings account to buy stocks.

The Free Money part of my portfolio will be 10 stock buys over the next few years. All of them need to be a buy amount of around 100 $. I buy a stock for the portfolio every time I reach a 100 $ in received dividend.

The stocks I purchase for this portfolio will be high-risk/high-yield stocks.

And I have already purchased my first one, as I reached a 100 $ dollars in received dividends for 2020 with the dividend from Kellog in the middle of March.

With these 100 $, I have purchased 14 shares of Bluerock Residential Growth.

The stocks in the Free Money portfolio will be a integrated part of my normal dividend portfolio, and the dividends will be included in the monthly updates and so on.

But I will update the Free Money portfolio every time I receive 100 $ and when I have 10 stocks, I’ll make an update and start to track the performance and received dividends from these 10 stocks.

Over time I can show how much income, dividends can generate over time.

I am well aware, that dividends aren’t “free money” – the companies are paying money from their own pockets – hence they loose value. But I still like to consider dividends as free money to show, what dividends can achieve over time.