Monthly report: August 2026

A Positive Portfolio, Despite Lower Income

August was a relatively quiet but positive month for most of the markets I track. After July's more mixed performance, four out of five indices finished August higher.

The AEX Total Return Index gained +0.8%, while IWDA rose +0.5%. In the US, the Dow Jones Industrial Total Return Index added +0.1% and the S&P 500 gained +1.1%. The only decliner was the STOXX Europe 50, down -0.1%. The broader US market also finished August in positive territory according to a month-end market review, which reported gains for the S&P 500 and Dow over the month.

Against this modestly positive backdrop, let's see how my dividend portfolio performed.

Portfolio performance: 18 winners versus 13 losers

The portfolio delivered an average price increase of +0.6% across 31 positions. The three biggest winners were:

• Merck (MRK): +16%
• BHP: +13%
• Deere & Company (DE): +8%

It is encouraging to see the gains spread across healthcare, mining and industrials rather than concentrated in a single sector.

At the other end, the biggest losers were:

• Cummins (CMI): -13%
• Ahold Delhaize (AD): -12%
• Aflac (AFL): -9%

Looking at the complete portfolio, the picture remained positive. 18 positions gained versus 13 that declined, resulting in a winners/losers ratio of 1.4. The average winner gained +4.4%, while the average loser declined -6.1%.



Compared with the indices I track, my +0.6% average portfolio price change was roughly in the middle of the pack. It beat IWDA (+0.5%), Dow (+0.1%) and STOXX Europe 50 (-0.1%), but trailed the AEX (+0.8%) and S&P 500 (+1.1%).

For me, that's perfectly fine. The objective isn't to beat every index every month. The objective is to build a diversified portfolio capable of producing reliable and growing income over many years.

Dividend income: down 4.5%

On the income side, August was less impressive. At constant exchange rates, dividend income declined from €218 in August 2025 to €206 in August 2026, down 5.5%. Currency movements softened the decline slightly. After FX, income was €207, while my after-tax dividend income decreased from €184 to €176, or -4.5%.



The main explanation is straightforward. USD dividend income declined from $236 to $217 (-8.0%), primarily because I sold my shares in A.O. Smith (AOS) and Kinder Morgan (KMI).

Only ASML offered a nice dividend boost (helped by the purchase of 1 additional share). The rest of the dividend growth was somewhat muted. However I don't judge dividend progress on a single month. 

Final thoughts

August wasn't spectacular, but it didn't need to be. The portfolio gained, more stocks went up than down, and several companies increased their dividends. Dividend investing is a marathon of small steps rather than monthly victories.

“Compounding works best when you give it the one thing it needs most: time.”

And that's exactly what I intend to keep giving my portfolio.

Monthly report: July 2026

Portfolio Strength Despite Weaker Markets

July was a mixed month for global stock markets. After several relatively strong months, most of the indices I track moved lower.

The AEX Total Return Index was the exception, gaining +1.9%. Elsewhere, the STOXX Europe 50 fell -0.5%, IWDA declined -1.2%, the Dow Jones Industrial Total Return Index lost -1.3%, and the S&P 500 dropped -2.2%. This fits the broader picture of a mixed July. A July 31 market review reported rotation away from mega-cap technology toward value and other parts of the market, alongside rising Treasury yields. For a dividend investor, such rotation is a useful reminder of the benefits of diversification.

Against that backdrop, my portfolio had an excellent month. Across 31 positions, the average price change was +2.8%, considerably better than most of the general market indices I track.

My three biggest gainers were:

• Microsoft (MSFT): +21%
• Shell: +18%
• Bristol Myers Squibb (BMY): +16%

Microsoft’s recovery is particularly striking after being my biggest loser in June at -19%. Markets can change direction quickly, which is another good argument for not making investment decisions based on one month of price performance. See my June 2026 monthly report for comparison.

On the other side, the three biggest decliners were:

• ASML: -13%
• Brookfield Renewable (BEPC): -9%
• Texas Instruments (TXN): -8%

Interestingly, ASML was June's biggest winner at +24%. One month later it sits at the bottom of the list. Yet another reminder that monthly price changes are mostly noise when your investment horizon is measured in years.

22 winners versus only 9 losers

The breadth of the portfolio was perhaps the most encouraging part of July:

With more than twice as many winners as losers, my portfolio performed considerably better than the overall direction of the markets. While IWDA and the S&P 500 declined, the average position in my portfolio gained 2.8%. This month therefore demonstrates the value of having exposure to different sectors rather than relying on one particular market or theme.

Dividend income: temporarily moving backwards

Dividend income was less positive. At constant exchange rates, July income decreased from €196 in 2025 to €181 in 2026, a decline of -7.5%. After FX, income came in at €187, and after tax I received €159 versus €168 last year, down -5.1%.

The main explanation can be found in the USD holdings. Total USD dividends decreased 7.5%, from $231 to $214, primarily because I sold my shares in MPT and MDT, versus $16.00 and $21.30 respectively last year. However, there was plenty of underlying dividend growth:

• ADP: +107.0%
• MPWR: +28.2%
• PM: +8.9%
• MRK: +4.9%
• KO: +3.9%

So, although July's headline income declined, several individual dividend streams continue moving in exactly the direction I want: upwards. That follows an extraordinary June, when dividend income reached a record level, largely due to the Brink dividend. You can read more in my June dividend report.

Final thoughts

July illustrates dividend investing perfectly. Markets declined, my portfolio gained, but dividend income fell. Next month the picture could be completely different. That is why I prefer to judge progress over years rather than months.

“Time in the market beats timing the market.”

For me, the objective remains unchanged: keep buying quality businesses, let dividends grow, reinvest the cash and give compounding enough time to do the heavy lifting.