Oh what a quarter! The markets were up, then they were down and then they were way down.

At the beginning of the year our dividend portfolio started off hot. We were reaching new highs on a consistent basis and life was good. However, war broke out in the Middle East we took a hit. Those hits kept on coming all the way to the end of the quarter.

It’s not a big deal as we have seen this story before. Geopolitical events happen and then they end. It’s not a straight line in either direction so the best thing to do is nothing. Except keep buying of course.

The only people who lose out are the panicans who think the markets will never recover and the doomers who think the world is ending. Don’t be them.

In the beginning of February with stocks running hot we exited one of the positions on our chopping block. VTRS didn’t appear to have any intention of increasing their dividend. While they were buying back shares it just didn’t fit the portfolio without dividend increases and a stagnant stock price. So it was time to say goodbye.

We still have three more positions left on our chopping block. There’s no need to sell immediately as we are not in a hurry or desperate for cash. For now we will remain patient and wait for the best chance to cash in.

With the proceeds from the sell of VTRS in hand and a hot market we waited for an opportunity. That arrived with the war and the ensuing downturn. We took advantage of our cash and added to our core positions. Mainly SCHD and QQQI or as I like to call them sugar and spice.

While we always look for opportunities in individual stocks building positions in ETF’s is a little less complicated. It’s also feels like we are reinforcing the foundation of our portfolio as it grows.

Our Dividend Portfolio As Of 3/31/2026:

Those increases in our SCHD and QQQI positions are nice and they will pay well too! Regarding PYPL, maybe I was wrong. I’m not giving up on it yet, but what a turd so far!

In Q1 we received $334.44 in dividend payments! This is an increase of $52.66 or 18.68% when compared to Q1 2025. That’s a very nice increase and a great start to the year!

Despite the markets reversing course in March we still had an excellent Q1 as our portfolio finished up 7.71%. The heavy lifting was done in January and February and that kept us in the positive for the quarter.

As of the end of Q1 2026 our divided portfolio will provide projected annual dividend income (PADI) of $1,381.27. This equates to an average of $115.10 per month. That’s an increase of $112.10 annually or $9.34 per month from the end of 2025. A nice 7.26% increase in our PADI to start the year!

We are well on our way to reaching our PADI goal of $1,600. To keep pace we will need to increase our PADI by an average of $78.25 per quarter. So starting with $112 out of the gate for Q1 puts us ahead of the game.

In our last update we outlined a couple points of focus for 2026.

1. Build on our core ETF positions.

2. Exit positions that no longer fit our portfolio.

3. Add to individual holdings and/or start new positions if the opportunity presents itself.

As of the end of Q1 we have done a pretty good job of sticking to these points. I can also say that the beginning of Q2 has been more of the same so far.

There is one other point of focus I am considering adding to this portfolio eventually.

As I mentioned in our last blog I started selling options and it’s going very well. So well in fact, I questioned if I should convert this entire portfolio into an options income portfolio.

It’s easy to see why I would even consider doing that when you look at the numbers. I have netted the equivalent of a year’s worth of dividend income in just 2 1/2 months of options trading. However, I think that the best course is to be happy with both.

In my former corporate life the company had two owners. One was super aggressive. He would spend a fortune if he thought it would benefit the company in any way down the line. I’m talking suites at what was then called Staples Center, season tickets to college football games, lunches, dinners, drinks and even trips. You name it he would buy it.

The other owner was older and pretty conservative. He would question everything! He also had no problem clawing back expenses if he didn’t feel right about something. He was fair, but he didn’t want to pay for anything without being reassured it was going to be beneficial.

Naturally our nicknames for them was “the gas” and “the brake” because they were polar opposites. And because they were so opposite things often got heated.

Despite their differences they were hugely successful. Their differences were complementary to each other which benefited the company as a whole. The company grew at an outrageous pace as a result.

That’s how I see options and dividends. Options are the gas that can heat up and fuel higher returns. Dividends are the brake that are slow, steady and dependable.

So as we continue on this journey there will probably come a time when options become a part of this portfolio. For now I only trade them in a tax deferred account which works well because of how the income is treated for taxes.

In order to trade options in this taxable account I need to take all of this into consideration. If it goes as well as it has so far there could be a downside. His name is Uncle Sam.

Because of our planned withdrawal schedule this is not something I can just jump into. As of now I would have to either generate just enough income to not cause any harm or so much income that the pain is worth it.

That’s called the shitty middle and it’s not the best position to be in.

For the time being I will stay within the comfort of our pretax account and keep learning. This will allow me to gather more information and more experience. In time, I will be able to better gauge the risk/reward given our particular circumstances.

Thank you as always for taking time to read our blog. Any feedback on dividend stocks or options trading would be greatly appreciated.

Happy Investing!

Joe 

Check out our online store StuckonCamping where you can get some of our designs on stickers, magnets, shirts, hats, tote bags and more! Check it out for camping, hiking, RV and other outdoor designs! Help support our blog by clicking through one of our Amazon Affiliate product links before you make a purchase. We will earn a small commission at no additional cost to you.