About This System
This website documents a systematic, rules-based approach to managing a portfolio of ASX-listed shares with the primary goal of generating a reliable, growing stream of grossed-up dividend income — income that consistently exceeds a personal target rate of return derived from your own Cost of Funds and CPI.
The system is built entirely in Microsoft Excel 365 and has been refined continuously since November 2018. It covers every phase of the investment lifecycle: identifying candidates, scoring them against objective criteria, tracking positions, forecasting income, and deciding when to sell.
Current rates (as at last update):
RBA Cash Rate: 4.10% pa | Cost of Funds: 5.79% pa | CPI: 3.70% pa
Target Income (green): 7.79% pa | Grossed-up Target: 11.13% pa | Target Growth: 4.70% pa
Why grossed-up dividends?
For Australian resident investors, franking credits attached to fully or partially franked dividends represent real economic value — they reduce your tax payable dollar-for-dollar, or generate a cash refund if your marginal rate is below the corporate tax rate of 30%. Comparing stocks purely on raw dividend yield ignores this entirely.
This system always compares stocks on a grossed-up basis — cash dividend plus franking credit value — to ensure a true apples-to-apples comparison regardless of each company's franking percentage.
Who is this for?
This approach suits investors who:
- Are focused on income generation rather than capital speculation
- Want to remove emotion from buy and sell decisions using pre-agreed, objective criteria
- Are comfortable holding a concentrated portfolio of high-quality ASX stocks
- Are Australian residents who can benefit from franking credits
- Are willing to spend time reading ASX company announcements and monitoring their holdings regularly
Where to Start
The pages below cover each component of the system. If you are new, read them in order. If you are returning, use the navigation bar above to jump directly to the section you need.
Contact
To enquire about this system and how it might apply to your situation, please email us. We are happy to discuss the methodology, the criteria framework, or how the Excel-based system is structured.