Hello friends. It’s a new year. 😀 My investment strategy for 2017 was simple; to buy dividend growth stocks and alternative investments. Dividend stocks and alternative assets tend to grow in bull markets but also hold up well in recessions. The plan is to earn respectable returns while reducing risk to the downside. Here are my 2017 results.
Average return on investable assets = 18.9%
Overall I am quite thrilled with this outcome. 🙂 The broad Canadian stock market index (S&P/TSX Composite) returned about 9% in 2017. I remain convinced that a dividend based investment strategy works better than index funds.
Another variable that worked to my advantage is geographical diversification. Most equity markets in foreign countries performed extremely well. For example, the S&P 500 index in the U.S. gained 20%. Holding U.S. and European stocks helped me a lot this year.
The Best of 2017
Liquid’s Top 10 Best performing stocks of the year:
- Canopy Growth Corp (WEED) +213%
- Match Group Inc (MTCH) +82%
- Caterpillar (CAT) +64%
- Avigilon Corp (AVO) +63%
- Dollarama (DOL) +59%
- Amazon.com (AMZN) +58%
- Premium Brands Holdings (PBH) +55%
- Deere and Co (DE) +55%
- Blackberry (BB) +54%
- Netflix (NFLX) +53%
The Worst of 2017
Liquid’s Top 10 Worst performing stocks of the year:
- Crescent Point Energy (CPG) -45%
- High Liner Foods (HLF) -23%
- Cineplex (CGX) -22%
- Cameco Corp (CCO) -14%
- Viacom (VIAB) -10%
- Halliburton (HAL) -8%
- Keyera Corp (KEY) -7%
- Boardwalk REIT (BEI.UN) -7%
- Target Corp (TGT) -6%
- Goldcorp (G) -5%
We can’t win them all. But as long as we get it right most of the time then everything will work out eventually. 🙂
2017 Investment Breakdown
All returns mentioned below are internal rate of returns (IRR) unless otherwise stated.
Annual return = 16.3%
Net Asset Value = $190K
This includes my entire RRSP portfolio, most of my TFSA and a small cash account all held within TD Direct Investing. The combined return over the last 12 months was 16.28%.
I hold about 15 individual securities in my TD TFSA, and another 30 in my RRSP account. If you are interested to see exactly what they are I’ve listed all the stocks on my portfolio page. 😀
Note: Past performance doesn’t guarantee future results and readers should not take any stocks I buy as recommendations.
Interactive Brokers – Non Registered Portfolio
Annual return = 25.3%
Net Asset Value = $158K
This is where I have my margin account. I hold Canadian, U.S. and U.K. securities in here – mostly preferred stocks and dividend stocks due to the preferential tax treatment of their returns. One reason the return is so high in this portfolio is because I am using leverage (borrowing money to invest.)