August has wrapped up, and with it another month of dividend income and portfolio performance. Compared to July, global markets were far more upbeat this time around, with several indices showing healthy gains. Let’s take a closer look at how the broader market did, how my portfolio movers stacked up, and finally how my dividend income compared year-over-year.
Global Market Performance in August
August was a strong month for global equities. The market mood was fueled by resilient corporate earnings, cooling inflation numbers, and renewed investor optimism:
AEXGR (Netherlands): +1.9% – Dutch equities posted a solid gain, supported by cyclical names and financials.
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SX5E (Euro Stoxx 50): +3.9% – European blue chips rallied, making August one of the better months this year.
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IWDA (World ETF): +2.9% – diversified global exposure continued to pay off.
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DJITR (Dow Jones Industrial Total Return): +4.2% – a strong showing for U.S. industrials, with defensive names holding steady.
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S&P 500: +2.8% – tech kept the U.S. benchmark moving higher, but breadth improved compared to earlier months.
In short: August was a rising tide that lifted most boats. With this backdrop, my portfolio benefited strongly as well.
Portfolio Movers: Top 3 Gainers and Losers
Even though the general trend was positive, individual holdings had their own stories.
Top 3 Gainers
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CMI (Cummins) +12%: Cummins continued its strong run from July, fueled by investor enthusiasm around hydrogen and electrification projects. With consistent earnings and a solid dividend policy, the market rewarded CMI once again.
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TXN (Texas Instruments) +12%: After struggling in July, Texas Instruments bounced back. Investors seemed reassured by management’s outlook, expecting a gradual recovery in semiconductor demand. Its stability as a dividend payer added to the appeal.
MPW (Medical Properties Trust) +11%. Surprisingly, MPW staged a recovery after months of weakness. Positive news on debt restructuring and progress in selling non-core assets gave investors confidence that the company is addressing its balance sheet challenges.
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DE (Deere) -4%. Deere faced headwinds as analysts cut outlooks for agricultural equipment demand. Farmers have been more cautious with capital expenditures, weighing on Deere’s short-term prospects.
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KMI (Kinder Morgan) -4%. Energy infrastructure names lagged as oil and gas prices cooled off during August. For a pipeline operator like Kinder Morgan, stable volumes help, but investor sentiment remains tied to broader energy trends.
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BEPC (Brookfield Renewable) -1%. Renewable energy names took a breather after a strong July. Rising interest rates pressured yield-sensitive assets like Brookfield Renewable, even though the long-term story remains compelling.
The August picture looks much brighter than July:
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Around 33 stocks posted gains, with many names like HASI, BHP, and AFL also delivering strong double-digit or high-single-digit returns. The winners gained on average almost 5%.
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Roughly 8 stocks declined, mostly in the -1% to -4% range.
This healthy skew toward gainers explains why my portfolio kept pace with the strong performance of the global indices.
Dividend Income – August 2025 vs. August 2024
Now to the real reason I track my portfolio so closely: dividends. Here’s the comparison for August:
In constant FX terms, my dividends actually grew. USD dividends rose by +4.5%, with Deere (+22.4%) and Texas Instruments (+4.6%) leading the way. Dividend income from Deere was fueled by purchasing extra shares last year. Euro dividends also grew, with ASML increasing its payout by +5.3%. Unfortunately, the strong euro-dollar exchange rate worked against me, turning a nice underlying growth into a reported -1.4% decline after tax.
This illustrates an important point: even if your companies continue to grow payouts, currency fluctuations can mask the underlying progress.
Final Thoughts
August was a refreshing change compared to July. Markets rallied, my portfolio had far more winners than losers, and dividend income—although slightly down after FX—was solid. Dividend growth investing is a long game, and months like this show that patience pays off, even if currency swings occasionally hide the true growth underneath.
As Peter Lynch once said:
“The real key to making money in stocks is not to get scared out of them.”
Dividend investing works the same way: stay invested, reinvest dividends, and trust in the compounding power of time.
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