Stop the presses! I made a purchase of a large cap dividend growth stock 🙂
jk…As most readers may be aware, I have been deploying a lot of my capital into precious metal equities (and the regular index fund purchases) lately. Heck, I’ve only had two or three transactions in the past six months where I have bought a dividend growth stock for my portfolio. This is because I see more value and opportunity in the precious metal sector and that has consumed my focus lately. However, about 1/3 of my portfolio is still invested in dividend growth stocks that brings in a sizable amount of passive income each month. This transaction is another move on that front as I saw a good opportunity to add to an existing holding.
Last week I added 25 shares of Toronto-Dominion Bank (TD.TO) @ C$66.95 adding $60 to my forward annual dividend income.
Recent Buy Decision
- Last week, it was reported that TD employees had come forward saying that they were pressured to sell products/services to customers even though it was not in their best interest — all so that the goals/targets were met. As a result, the stock prices fell over 5% and I thought it was a good opportunity.
- Since then, more employees from the other Big-Five banks have come forward with similar allegations against their respective employers. As a result, the Financial Consumer Agency of Canada will be launching an investigation/review.
- Personally, I think it is naive to think that salesmen/companies don’t do this routinely. What’s the next big exposé? Car salesmen put their interest first and not the customers?
- Toronto-Dominion Bank is one of the largest Canadian financial institutions and has been a beacon of stability and growth in the financial sector. The bank made a conscious decision to expand into the US market during the global financial crisis of 2008/09 and those moves have paid off very well over the past decade.
- Instead of rehashing all the reason why its a great company to own, I will simply point to my recent Toronto-Dominion Bank Dividend Stock Analysis 2017 post which should paint the full picture.
Full Disclosure: Long TD. Our full list of holdings is available here.