4J·

Building monthly dividend income with Dividend Kings alongside TDIV, does this make sense?

I'm 28 years old and building out my dividend portfolio. My core holdings are $TDIV (-0,04 %), $VWRL (-0,16 %) , $EIMI (-0,08 %) and $SMEA (+0,04 %), but I noticed I have zero dividend income in January, February, May, August and November.

So I'm thinking about adding a few Dividend Kings to fill those gaps:

Coca-Cola ($KO (-0,11 %)) → Jan / Apr / Jul / Oct

McDonald's ($MCD (+0 %)) → Jan / Apr / Jul / Oct

Procter & Gamble ($PG (-0,07 %)) → Feb / May / Aug / Nov

Johnson & Johnson ($JNJ (-0,21 %)) → Feb / May / Aug / Nov

All four have raised their dividend for 50+ consecutive years, through the dot-com crash, 2008 and COVID without a single cut. Payout ratios sit between 50-75%, which I consider healthy.

My plan is to start with €1,000 per stock (€4,000 total) and gradually build up. The goal is a stable, growing dividend income every single month, even during a market crash. Because that crash is definitely coming. But when, nobody knows.

My questions for the community:

1️⃣ Do you hold any Dividend Kings? Which ones and why?

2️⃣ Are JNJ, KO, MCD and PG solid picks or are there better alternatives I'm missing?

3️⃣ Does it make sense to add individual dividend stocks alongside a dividend ETF like TDIV, or is that just unnecessary overlap?

Would love to hear your thoughts!

14 Commentaires

Olli@Olli68

$WINC + $EEI for Jan/Apr/Jul/Oct
$WQDS for Feb/May/Aug/Nov
$TDIV for Mar/Jun/Sep/Dec

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SpongeBob@SquarePants

@Olli68 looks great, never looked at individual stocks?

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Olli@Olli68

@SquarePants Of course I have some too, but this is my core for monthly dividends.

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Silas@Bein-Godik

$TDIV, $ZPRG and $ISPA

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D@DividendenKater

$LDGL

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Martin B.@Martin_B100

looking at MCD but haven't bought that one, might do if that goes lower. I own the other 3, like them so far but JNJ seems high on the price right now.

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Poor Dad@PoorDad

Choose stocks with stronger earnings growth and dividend growth.

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SpongeBob@SquarePants

@PoorDad do you have suggestions?

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Poor Dad@PoorDad

@SquarePants I find $HD really interesting, even though its profits have stagnated in recent years. But that can be attributed to weak consumer spending in the U.S. I also find UnitedHealth interesting, and I think I'll keep the stock in my portfolio for a very long time 🧐

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A@nitroxx

I agree with the others—I’d go with ETFs. Personally, I sold $PG $JNJ and reallocated the funds into ETFs.
I still hold$MCD and $KO, though $MCD will likely be sold or at least cut in half.

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SpongeBob@SquarePants

@nitroxx what is the reason if I may ask?

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A@nitroxx

@SquarePants in my eyes, the dividend etf runs more stable

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Guillaume@Guillaume_C

13H

One advice ... but if you are 28, you have years ahead of you, so you should over index on growth ETF for the long term. the value if TDIV is more to get lower beta, at the cost of the fiscal friction. lower beta matters much less when you have 20-30 years ahead of you

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SpongeBob@SquarePants

@Guillaume_C Yes, I agree. But the market is very heated right now, so I try to play defensive. Dividend stocks have industries that sometimes do wel with crashes and crisis. I am building both up at the same time.

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