Here is the dividend income report for May, 2023.
The monthly dividend income came out to $288.94. The yearly income total for 2023 through the end of the month was $2880.63.
The income for May 2022 was $151.63, and the yearly income for 2022 through the end of May was $2549.21.
I do not have a whole lot to say on corrupt-o-currency this month.
One of the causes of the collapse of Silicon Valley Bank was duration mismatch. They bought long-dated bonds while interest rates were low, and as rates increased, they had solvency issues. I would argue that knowing how to deal with interest rates is something banks are supposed to know how to do. Just a guess: if rates are low, borrow bonds with short durations. My bank is a bank in Texas that has about $50-$55 billion in assets. They are in the asset size range ($50B to $250B) that was covered by tighter regulations when Dodd-Frank was passed, but then became exempt after the Economic Growth, Regulatory Relief, and Consumer Protection Act passed in 2017. Until spring of last year, they were paying my about $2-3 dollars in interest in my savings every month. Now for the past few months it has been $85-100 a month. So if my bank could handle rising interest rates, perhaps the people running SVB were just not good at their jobs.
In addition to duration mismatch, Michel de Cryptadamus says SVB went under due to dodgy loans to the usual SV trash: crypto bros, entitled VCs, founders of companies that do nothing useful (article here, archive here).
I do not have a whole lot to say about corrupt-o-currency this month. You can keep up with what is going on by going to Molly White’s newsletter (Mastodon link here) and reading the articles by Amy Castor and David Gerard (link to David’s Mastodon here; I do not think Amy Castor is on Mastodon).
Here is a table with the year-to-date amounts, the monthly amounts, and the three- and twelve-month moving averages for each May from the beginning of my records through 2023:
| Month | YTD | Amount | 3MMA | 12MMA |
|---|---|---|---|---|
| 2023-05 | $2880.63 | $288.94 | $861.81 | $1043.10 |
| 2022-05 | $2549.21 | $151.63 | $750.34 | $916.72 |
| 2021-05 | $2500.04 | $160.93 | $742.94 | $882.58 |
| 2020-05 | $2450.65 | $179.08 | $747.49 | $909.85 |
| 2019-05 | $2006.71 | $150.95 | $592.51 | $638.08 |
| 2018-05 | $1321.55 | $44.66 | $398.51 | $542.66 |
| 2017-05 | $2346.62 | $531.68 | $553.90 | $530.30 |
| 2016-05 | $2059.52 | $436.85 | $479.79 | $477.37 |
| 2015-05 | $1803.11 | $361.99 | $411.92 | $402.51 |
| 2014-05 | $1411.19 | $280.01 | $304.77 | $306.30 |
| 2013-05 | $1141.24 | $242.65 | $260.91 | $288.11 |
| 2012-05 | $1268.97 | $258.15 | $257.13 | $270.51 |
| 2011-05 | $1114.84 | $266.55 | $233.03 | $194.61 |
Here are the securities and the income amounts for May, 2023:
- Global X S&P 500 Covered Call ETF: $48.41
- Vanguard Total Bond Market ETF: $187.52
- Vanguard Total International Bond ETF: $16.10
- Global X S&P 500 Covered Call ETF: $36.91
Big Jim was cataloging artwork in Org Mode, and does not have anything to say at the moment.
Image of “Hercules at the Crossroads” by Pompeo Batoni (1708-1787); image from Wikimedia, assumed allowed under public domain.
