2015 Southeast Asian haze

Buying Cheap Stuff - Walmart (10 shares, $19 dividend income)

Walmart is one of the world's largest chain of brick and mortar discount department stores with 2+ million employees. I do not know a state or any decent size town in the US which does not have a Walmart store in its vicinity and prices at all their stores are very competitive by most retail standards.

However in recent years especially with the popularity of online only stores and free shipping, it has been increasingly challenging for this retail giant to compete effectively. Their cost of doing business has increased especially with worker compensation increases and tighter profit margins from increased competition such as Target, Costco and Amazon.

I believe the retail sector is big enough to support a few major players in both the online and brick & mortar space and Walmart will slowly transition to find a balance in both medium. Currently it is at its 52-week low which makes it an attractive dividend payer of 3.4% with a good chance of appreciation. I'm adding some shares here and will wait for their company business to turn around while collecting decent steady dividends.

Related Market Commentary: Market still not giving Walmart enough credit (Morning Star)

This purchase will add $19/yr to the dividend income portfolio

Basic info:

Market CAP: 185B   EPS: $4.79   Dividend: $1.96 (3.41%)

 

October is Dangerous

Stock market in a picture...

Buying Insurance - ORI (80 shares, $59 dividend income)

The market volatility (Dow -470pts ) on this 1st. day in Sept provided a lower entry to buy another Dividend Aristocrate for my income portfolio.

Old Republic International Corporation (NYSE: ORI) is one of the nation's 50 largest publicly held insurance organizations serving commercial, industrial and financial sectors.

This purchase will add $59/yr to the dividend income portfolio

Basic info:

Market CAP: 4B   EPS: $1.24   Dividend: $0.74 (4.71%)

Buying Safe (Sleep Well At Night) Income - Procter & Gamble (20 shares, $53 dividend income)

Current worldwide stock market turmoil provided a nice opportunity to own a few shares of Procter & Gamble (NYSE: PG) at discounted prices.

Procter & Gamble is a American multinational consumer goods company with brands in pet food, cleaning agents, and personal care products among many other household items. They own a big segment of household brands used daily by millions of consumers in the US and worldwide.

If China's economy is slowing down or if we go into a recession, consumers will still continue to use and need these products. Procter & Gamble will continue to thrive and return steady dividends to shareholders. This is a stable and safe (sleep-well-at-night) stock for long term investors.

This purchase will add $53/yr to the dividend income portfolio

Basic info:
Market CAP:185B     EPS:$3.04    Div Yield:3.80% 

Sell or Buy !?

It’s Not a Crash, It’s a Market Correction

Stock Market Crash Coming ?

Why Are So Many People Freaking Out About A Stock Market Crash In The Fall Of 2015? (www.zerohedge.com)

Investing / Trading emerging market - VNM (50 shares, $22 dividend income)

As a foodie, I like Pho, a Vietnamese noodle soup that is a popular street food and cuisine.

As an investor, I like the emerging Vietnamese economy. I actually like it enough to invest in it through the Market Vectors Vietnam ETF (NYSEARCA:VNM).

VNM is an Exchange Traded Fund closely matching before fees and expenses, the price and yield performance of the Market Vectors Vietnam Index. This index is comprised of mostly publicly traded companies that are domiciled and primarily listed in Vietnam or that generate the majority of their revenues in Vietnam.

Vietnam has a relatively stable local currency, large young demographics (median age 29) and competitive labor costs. Inflation is lower compared to its regional neighbors so it will continue to attract foreign investments especially in the growing manufacturing sector from large foreign companies like Samsung and Foxconn.

Looking at the multi-year price chart history, VNM seems to be at a low point now and the risk reward for this investment / trade looks good. There are still downside risks due to regional political factors and a potential prolonged slow economic climate due to China's slowing economy. Nonetheless I think this is an investment that will slowly pay dividends while waiting for that recovery growth.

ETF Basic information: (src: Yahoo Finance)
Market CAP: 546M    Dividend: 2.75%   Annual Report Expense Ratio (net) 0.65%

Year to Date Return (Mkt): -4.42%

1-Year Total Return (Mkt): -9.81%
3-Year Total Return (Mkt): 4.08%