Introduction
In November and December 2024, my investment journey has been characterized by consistent dollar-cost averaging (DCA), strategic reinvestments, and diversification into high-quality assets. From NVIDIA (NVDA) to Texas Pacific Land (TPL) and Schwab US Dividend Equity ETF (SCHD), my portfolio reflects a commitment to growth and stability. Here’s a detailed breakdown of my approach, transactions, and the key takeaways.
1. Dollar-Cost Averaging with NVIDIA (NVDA)
Over the past two months, I made 26 recurring purchases of NVIDIA, showcasing a disciplined DCA strategy. These investments ranged from $25 to $40 per transaction, enabling me to consistently accumulate shares regardless of market fluctuations.
- Average Purchase Price: Around $142.50 per share
- Total Spent on NVIDIA: Approximately $1,000
- Shares Accumulated: ~7 shares
Why NVIDIA? As a leader in AI, gaming, and data centers, NVIDIA continues to be a cornerstone in the tech industry. DCAing into such a high-growth stock aligns with my long-term growth strategy.
Insight: The consistent small investments have minimized risk while maximizing the potential upside in a volatile sector.
2. Dividend Reinvestment and Stability with SCHD and TPL
Apart from growth, my portfolio emphasizes dividend reinvestment for compounding returns.
SCHD (Schwab US Dividend Equity ETF):
A single transaction of $22.91 bought 0.79 shares at $28.96 per share. SCHD offers a balanced dividend yield and exposure to blue-chip companies.TPL (Texas Pacific Land):
Two transactions totaling $91.24 added 0.058 shares of this high-value stock. TPL aligns with my interest in energy and land management, a sector that benefits from rising commodity prices.
Insight: These investments fortify my portfolio with stable cash flow and diversification across sectors.
3. Small Allocations for Diversification
While NVIDIA took center stage, I also diversified into:
- Robinhood Markets (HOOD): A small buy of $3.24 at $23.84 per share.
- Verizon (VZ): Dividend reinvestment of $88.63 into 2.14 shares at $41.34.
Insight: These small, strategic buys enhance portfolio balance and capitalize on income reinvestments.
4. Key Lessons from November and December Investments
- The Power of DCA: Recurring buys in NVIDIA reduced the emotional bias of timing the market.
- Balancing Growth and Stability: Combining tech giants like NVIDIA with dividend-focused assets like SCHD and TPL ensures a resilient portfolio.
- Reinvesting Dividends Works: Reinvesting in Verizon and SCHD underscores the compounding effect that drives long-term wealth.
Conclusion
November and December 2024 have been transformative months for my portfolio. By staying consistent with DCA, reinvesting dividends, and diversifying smartly, I’ve strengthened both the growth and income aspects of my investments.
Whether it’s NVIDIA’s cutting-edge AI advancements or SCHD’s reliable dividends, every transaction reflects my overarching goal: achieving financial independence through disciplined investing.
