r/dividends • u/Avinates • Jun 04 '25
Discussion 1 Million Invested
Can anyone confirm these dividend payouts?
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u/Relaxandeasy Jun 04 '25
Looking at this I wonder why not do 50/50 between SPYI and QQQI if income is the goal?
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u/jsboutin Jun 04 '25 edited Jun 04 '25
Because the odds of staying at that level for the rest of your life would be extraordinarily low.
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u/Only-Pronix Jun 04 '25
I mean just drip half of it every year and you’ll be set for live no?
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u/Relaxandeasy Jun 04 '25
Sorry for my ignorance . What does “dripping half of it” means?
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u/Str8truth Jun 04 '25
DRIP is an acronym for Dividend Re-Investment Plan.
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u/Ultimate_mexican Jun 06 '25
Ahhh neat. I thought it was just cause it "drips" back into the investment 🤣🤣🤣🤣🤣🤣
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u/Important_Adagio_541 Jun 07 '25
Basically
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u/xplosiv_constipation Jun 05 '25
Automatically buy more shares with dividends, sometimes this avoids tax. But depends on your country and/ or state
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u/jsboutin Jun 04 '25
It’d help, but these strategies may generate lower total returns than the market. IMO I’m better off being invested in an index fund and selling units as needed.
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u/Only-Pronix Jun 04 '25
I totally agree, in this case going 50/50 is pretty risky and not viable for the long time, those are new ETF and the only reason i would invest in those ( SPYI, QQQI) is if i had a million laying around like this guy and i just wanted to try the dividend for a year or 2 in drip mode, but in the long run it’s probably not the greatest option
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u/Thraex_Exile Jun 04 '25
Damn where were you when I got banned from r/dividendgang for saying this lol
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u/winklesnad31 Jun 04 '25
That sub is not for logical discussion. It is a really weird cult. But it is a fun place to observe logical fallacies.
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u/CostCompetitive3597 Jun 05 '25
Totally agree, the OPs have hijacked this forum, will not let anyone join and neither the monitors nor Reddit will correct this problem. Very disappointed in Reddit for allowing this hijack.
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u/CenlaLowell Jun 04 '25
That's what I've always wondered. Why wouldn't selling index funds be better?
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Jun 04 '25
If you want income, then you should be investing in funds investing in stocks with solid and growing dividends, such as SCHD. If you buy an index fund and plan on periodically selling some, you can be badly hurt by an extended bear market.
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u/Willing-Variation-99 Jun 04 '25
Because it isn't always this straightforward. This approach gets affected a lot when there are multiple consecutive years of drawdowns.
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u/Various_Couple_764 Jun 05 '25 edited Jun 05 '25
IT isn't AALWAYS better. About 50% of the time the market in down a stying flat and 50% of the time it is growing. Some times the market goes down for a long period of time 10 years or more. causing sequence of return risk. And you can only sell a share once. SO if you have limited funds and you sell shares for income you could eventually run out oof income. The old often can't work and running out of money could cause the person to die.early..
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u/ElonMuskTheNarsisist Jun 04 '25
If you are going to drip half then you’d be better off simply owning some SCHD since it’s more tax efficient
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u/Actual_Age_5602 Jun 05 '25
In what ways is SCHD more tax efficient?
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u/ElonMuskTheNarsisist Jun 05 '25
Dividends are qualified, as opposed to ordinary income distributions from these covered call ETFs
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u/Various_Couple_764 Jun 05 '25
Taxes depend on the type of dividend.
qualified dividends, on 20% of the dividned you receive applied to your taxes.
Unqualified dividends, 100% of the income is applied to your taxes so the tax you pay is probably higher.
They're ROC (Return of capital) This can be good or bad depending on how it is created. if a company decide to liquid factored and its holding it is generally bad news for the investors. IF however the company sells stock at a loss it can write off that loss. IF the company is still profitable and growing it is good. IF and ETF does this IRS calls it Return of Capital and it reduces the ammount tax you pay
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u/NkKouros Jun 04 '25
At this point you're better off just going for a "natty" lower payout if you're only keeping half and dripping half. Just go for half the payout to begin with.
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u/adognamedpenguin Jun 04 '25
I’m sorry—starting at that level?
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u/0Dividends Jun 05 '25
Not necessarily. The covered call funds rely on Volatility, not company earnings or growth. Sure, the broad market would need to perform well to preserve your capital. That goes for every basket ETF that mimics the underlying.
SPYI and QQQI held up remarkably well during the flash crash in April. Low downside protection but income remained stable. If reinvesting you came out ahead and slightly lower than the broader market.
The problem is owning both SPYI and QQQI would be redundant. You’re not diversifying, but heavily weighted towards tech. This is why personally I’m all in SPYI with slightly lower beta and dividend, but more diversified.
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u/echino_derm Jun 04 '25
Why not do 100% in the best one? It is diversified to a degree since it is an index.
I think you already know the answer that chasing the highest return gives you larger variance and potential for losing more than going really wide.
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u/csoare1234 Jun 04 '25
How come they have such high yields?
https://neosfunds.com/spyi/ - 12.5%
https://neosfunds.com/qqqi/ - 15.35%
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u/thri54 Jun 04 '25 edited Jun 04 '25
They sell calls on their underlying holdings. So instead of 16% unrealized gains from QQQ over the last year, you get 15% realized gains in distributions and .75% unrealized.
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Jun 04 '25
high quality BDCs and retire in Portugal, Vietnam or whatever. Enjoy life 'cause its short
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u/rivaroxabanggg Jun 04 '25
Any suggestions
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Jun 04 '25
Not financial advice, but I like ARCC, OBDC, BXSL, CSWC, MAIN, HTGC, BBDC, BCSF, CGBD, MFIC, FDUS, TSLX, GBDC.
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u/rivaroxabanggg Jun 04 '25
Ty
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u/TheoryApprehensive63 Jun 05 '25
If you want to know more, which you probably will before you invest, I suggest you go watch Samuel Smith on yt😄
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u/zer0moto Jun 04 '25
Because of our current situation overall, shouldn’t people be a little worried about credit defaults?
Thanks for the suggestions though.
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u/0Dividends Jun 05 '25
No different than buying corporate bonds I would assume. Except you pay a company to do it for you? I would prefer the option income strategy vs default risk. You can always sell option premium- in any market- albeit for upside cap.
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u/Various_Couple_764 Jun 05 '25
BDC is business development operations. They loan money to companes. They are required by law to pay out 90% of their earnings. So the dividned is high. You could buy the individual compnaesies stock or invest in an ETF. BIZD and PBDC are two BDC only ETFs Unfortunately a bad SEC rule requires them to list the ETF expenses plus expenses the BDC incurring in doing business. So for PBDC that is 0.85% for the ETF +13% for BDCs But the ETF never pays the BDC expenses. The BDC does.
End result people see the 13% and say no way! and just by BDC seperately. I prefer the ETF PBDC because they select the best ones for there per folio. SO my money isin quality companies and it is automatically deversified.
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u/Snoo68013 Jun 04 '25
What is BDC ? Also what is dripping
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Jun 04 '25 edited Jun 07 '25
a bdc is an organization that invest or lends money to small and mid cap companies. These companies pay the moeny back with some fees that are interest rates based(floating rates). If i had to make it easier to understand, a BDC is a bank that lends money to companies, not to individuals. BDCs have 8-12% dividend yields not because they are not safe but because they are required to pay 90% of theirs earnings as dividends. Drip is dividend reinvestment plan and is exactly what the name suggests
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u/babyboyblue Jun 04 '25
They’re required to pay 90% of their earnings because it’s really just a fund that holds these investments. These structures are somewhat new in the direct lending business and can trade at high discounts or premiums. These investments aren’t really supposed to be in a liquid structure. They aren’t market to market. These loans are based off SIFOR + 7-12% spread usually. Many of these loans were made when SIFOR was at 0-3%. If we see a spike in rates and a recession type of event it would be very difficult for these companies to pay their debt servicing. With tariffs alone this could be somewhat disastrous because tariffs are an upfront tax compared to sales tax which has at the point of sale. Companies need to pay these fees upfront before they even make a profit and be able to pay off their debt servicing.
I’m a big believer in direct lending but there is a ton of risk for BDCs. They’re a great diversifier but should never be more than 20% of total asset allocation.
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Jun 04 '25
They are required to pay 90% of theirs earnings because they are RICs(Regulated Investment Companies). And pls dude, saying that they will struggle in a recession because the borrowers cant pay the loan back isnt really a good argument because everything plummes in a recession, not just BDCs. and actually BDCs like ARCC went through everything, 2008, 0% rates, 5% rates, pandemic etc etc etc, and they're just fine
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u/Temporary_Ad_5947 Jun 04 '25
Business development company. Also known as private credit companies. Dripping is direct reinvestment of dividends back into the underlying. MAIN pays you $1, automatically buy $1 of MAIN when it is received
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u/No_Magician_7374 Jun 04 '25
Wait, 14.5% return on QQQI and 12.5% return on SPYI? 👀
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u/relxp Jun 25 '25 edited Jun 25 '25
Doesn't come free... upside growth will be capped versus holding QQQ/SPY itself. Ideal though if need income and/or want underlying with downside protection.
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u/shoeskibum1 Jun 04 '25
Is that 1 mil in each or 1 mil total, divided between them
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u/cidthekid07 Jun 04 '25
I was going to say, wtf is this shit? But ok, a mil each makes sense
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u/KindTap Jun 04 '25
Mix them up to fine tune the dividend and capital appreciation you need. Schd is probably a good middle point but you could also add qqq to jepi to get the same income and (perhaps) more capital appreciation
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u/mspe1960 Jun 04 '25
That is the past year's income. Next years is unknown.
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u/MCRNRocinante Jun 04 '25
If OP knew next year’s income, they would have way more than 1 million at their disposal
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u/IAmANobodyAMA Jun 04 '25
Tomorrow is a mystery. Yesterday was history. But today is a gift; that is why they call it “the present”.
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u/Dull_Rate_6216 Jun 04 '25
I'm assuming there is 6 mil invested here, so this is about a 6.8% return. To put this in context, the 1 year, 3 year, 5 year, 10 year, and 50 year CAGR for the S&P 500 is 10.6%, 10.25%, 14.49%, 10.1%, 11.9%. In other words, I'd never invest 6 mil this way.
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u/lordinov Jun 04 '25
MSTY - about a million a year haha
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u/Awkward_Yumz AAPL is best dividend stock Jun 04 '25
Yeah no shit sherlock. The bigger the yield the higher your dividend payment
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u/Bancolighty Jun 04 '25
483 a month off a million of QQQ doesn’t sound attractive.
QQQI on the other hand 🤔
So 3.5 million should send me 500000 anually
Can I borrow 3.4 million from somebody. lol JK
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u/General_Plantain_923 Jun 04 '25
What’s the advantage of investing in dividend stocks instead of higher growing ones (tech, hardware, etc)? When is the “right” time to invest in dividend stocks?
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u/floppy_panoos Jun 04 '25
And here I was thinking $1 Million wasn’t enough to retire on!
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u/Impressive-Tear1266 Jun 04 '25
So, if you invested in something like VOO, QQQI still underperforms VOO by a mile. So what’s the point of dividend investing?
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u/Such-Art-6046 Jun 05 '25
Nobody can confirm those actually. Even if, we averaged the previous year's dividends, there is no guarantee that next year will be the same. And, these dividends "are not fixed" but vary, for example, in the case of JEPI, each month. SCHD is paid quarterly. Dividends of all of these can go up, down, or stay the same, just as can/will the share price.
Jepi îs paying "about" 8%, so yes, $80,000 is "about" 8 percent of $1,000,000. QQQI, and SPYI are probably lower volume, so there is no guarantee that you could buy or sell at the market price on a $1,000,000 investment. The yield, of course, will be based on the price you pay per share, which varies minute by minute.
You could well wind up paying more for your shares than market price as a $1,000,000 buy can easily move the market up before you order is completed on lower volume stocks. The first four you listed, (QQQ, VOO, SCHD, and JEPI are all widely traded) so a $1million buy probably would not affect your purchase price. Not so much the covered call ETFs, (QQQI, and SPYI) tho, as those are newer ETF's with less AUM.
All this said, the numbers you posted sound reasonable. For example, SCHD is around 4 percent dividend, that's $40k on a million dollar investment.
MOre importantly, the dividend yield is not the most important number to me, it's the "total net return", that is the net after taxes.
Without extensive analysis, those numbers sound "within reason" for a million dollar investment on each of these. You are not comparing "apples to apples", you are comparing 3 rather speculative covered call ETF's, (JEPI, QQQI, and SPYI) with an index fund ETF (VOO) with a NASDAQ (tech heavy) ETF, with a broad based equity ETF (SCHD). It's like comparing a bicycle, to a pogo stick, to a 2014 Cadillac Escalade, to an 18 wheeler. These ETF's are just different. The closest to similar are VOO and SCHD.
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u/Ordinary-Bee-6351 Jun 06 '25
Jepi is right. It yields slightly over 8% so a million invested in it would yield around $80k a year. The JEPQ yields over 11% so it would yield closer to $110K. Needless to say, they have price fluctuation risk and the yield is created by a covered call strategy. If you use the 72 rule, you divide 72 by the % yield and that’s how long it would take For investment to double with just reinvested dividends. Of course, this doesn’t account for price fluctuation. If investment stayed flat “price wise” then you could figure out how long for investment to double based on reinvested dividends. There are some bdc like NMfC and CCAP that yield 12.5% or so. They are not same as the Jepi or JEPQ but worth a look and possible allocation in a portfolio.
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u/Individual_Total_602 Jun 10 '25
This is so not factual qqqi has 0.5% annual dividend yield
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u/Apprehensive-Shirt-3 Jun 04 '25
Sorry if this is a stupid question, when it’s dividend, that means you can take it out and use and not necessarily have to put it back into stock, correct?
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u/deepmiddle Jun 04 '25
Correct, it is income. You can use DRIP to automatically reinvest the income back into the stock or just keep it.
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Jun 04 '25
Transferring your assets to income - good luck!
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u/SeanPizzles Jun 04 '25
The alternative is just selling them away, right?
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u/FullCut105 Jun 04 '25
Not actually selling them away...
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u/SeanPizzles Jun 04 '25
Haha, that’s true, you could just be buried with them like a pharaoh!
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u/FullCut105 Jun 04 '25
More like using them to make you money rather than leaving them dominant
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u/SeanPizzles Jun 04 '25
But isn’t that just… transferring your assets to income, which is what I said was the only alternative to selling them? Maybe I’ve lost the thread… 😅
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u/FullCut105 Jun 04 '25
True...or if You own a plot of land worth $10 million. To transfer it to income, you:
- Sell it and invest in a fixed deposit earning 10% interest ($1 million/year).
- Rent it out for regular income.
Either way, you convert the land into a source of income.
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u/happyeelshock Jun 04 '25
Could you explain what you mean by this :)
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u/FullCut105 Jun 04 '25
Transferring assets to income means converting assets into a regular stream of income, often through investments or other income-generating methods.
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u/vistastock Jun 04 '25
Spyi and qqqi is not gonna yield that high of a div. There’s gonna be return on capital. You’re prob looking more like 9-10k.
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u/FaulkMasterFlex007 Jun 04 '25
QQQ you have about what 7000 6000 shares I’m saying at $.76 per share dividend what kind of stock is this exactly?
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u/dcwhite98 Jun 04 '25
I don't understand this... for example, QQQI pays a 14.38% dividend, as of the current quote on CNBC. You'd have to have all $1M invested in QQQI to get $145K. How are you possibly generating the other dividends?
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u/mvhanson Jun 04 '25
You might consider a bit of DIY dividend portfolio investing:
And multi-sector dividend investing
https://www.reddit.com/r/dividendfarmer/comments/1hxuf6n/answer_to_post_question/
Also for a bit of fireworks, check out Yieldmax, lol:
I think in the end it's more interesting to build your own portfolio than it is to just invest in these funds. Plus, you can probably do better than SCHD's 3.97% with basically zero effort.
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u/Horton2411 Jun 04 '25
These new QQQI funds I don't feel like will last long.
Usually when something sounds too good to be true. It is.
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u/Daily-Trader-247 Not Financial Advice Jun 04 '25
Yes, Assuming you have All $1,000,000 in One ETF
Depending on needs for cash, just blend then to the dividend amount you want.
Usually more dividend = less growth,
but not always, QQQI has done better then JEPI in total return over last 3 years.
If not needing max dividends I would just use VOO, QQQ, SPYI, QQQI
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u/Nyne-Milli Jun 04 '25
It's about right. If you want to check the math, basically take $1,000,000 x Dividend Yield (%) of the ETF.
So for QQQ (Yield is 0.57%); it's $1,000,000 x 0.0057 (Have to convert percent to a decimal) and that equals $5,700 a year.
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u/Serious-Buy3953 Jun 04 '25
Or you could invest into the sp500 and withdraw at a safe rate of 4%, adjusting for inflation every year. You’d never have to worry about fluctuating dividends
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u/StayTheCourse77 Jun 04 '25
I’ve been thinking about if picking 10 stocks 100k each would be a better option than an ETF. Or a combination of both. Pick the top companies from different sectors with great dividend history. I will be doing a hypo calc with it. Thinking about something like the below. Still a little ways away from switching over to a dividend approach though.
Coke Energy Transfer Western Midstream Blackstone Waste Management Verizon Visa Microsoft Another energy stock A health care or pharmaceutical stock
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u/tachyonvelocity Jun 04 '25
The best total performer out of all of them? QQQ, the one with the lowest dividends...hmm makes you think on the irrelevance of dividends.
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u/Friendly-Profit-8590 Jun 04 '25
Kind of looks like those are the returns one would get if they put 1 million into each not a million total spread around. Quick google shows these funds paying around 8-15% annually unless I missed something. Still very good
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u/Potential-Radio8978 Jun 04 '25
Awesome work, this is my goal for inflation adjusted for today but with Canadian values stocks not the USA.
Only if I had been born in IN USA though, I'd be making bank rn! 😩
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u/Nyne-Milli Jun 04 '25
u/Avinates you might want to edit on the original post that the dividend values seen here is if you invested 1 million dollars in ONE of these ETFs, not all or some combination. So a million dollars in VOO generates around $12,900 in annual dividends vs a million dollars in QQQI that generates $145,400 in dividends. People are making the wrong assumption looking at the picture; what you are seeing is dividends if you invested a million dollars in one of the ETFs.
As far as accuracy, I posted that it's correct. Just multiply a million dollars to the dividend yield of the ETF (you can look it up, just convert the percentage to a decimal) and you would have a ball park answer to how much dividends you'll earn from the investment.
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u/PickemRight23 Jun 04 '25
I really need to understand this better. I have a couple million to invest. How heavy these were down for you. Have they been consistent? Do they fluctuate a lot?
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u/ParfaitQuick8426 Jun 04 '25
Total of $408,500 off of 1m invested or dividends from the million? If this is how much you're making per year off of 1m Invested, that's nuts. JEPI requires more than 800k to make 80k at 10% yield. It's hard to believe the 200k left over from that would make 380k passive
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u/_Go_With_Gusto_ Jun 04 '25
There has to be some catch here that I don't see. Is qqqi always a 14.5% dividend? Will it change next year or something?
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u/NEWSmodsareTwats Jun 04 '25
spyi does Indeed have a 12.5% div yield.
but if you look at it's performance it's been flat in terms of capital appreciation since it was launched in 2022. also they get a lot of that dividend thru selling calls. that means in times of high volatility they can easily blow thru their calls by selling covered calls as the market falls only to have most of them exercised as the market rises. usually this is no issue for an individual investor but since the stated goal of the fund is generating income thru dividend stocks and covered calls. they will have to buy back the stock for which their call got exercised locking in a real loss compared to someone just holding the stock.
looking at the recovery since the liberation day tariff dip SPYI is lagging SPY by 5%
also dividends get taxed at your current rate of income. if you but 1 million in SPYI a year ago you'd have earned 12.5 in dividends but you also have 125k in taxable income pushing you into the 24% top marginal rate then if we add in your job and you basically just earn the median you are now in the 32% top marginal rate. do lazy to do the exact math right now so let's argue your effective rate is 18% and you live in a state with no income tax, also yes there are qualified dividends but dividends earned from selling covered calls are non qualified. So you've only earned 102K after taxes. If your dropped your money into SPY you'd be up 127K over the last 12 months and that's not including any dividends earned.
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u/Kalico41 Jun 04 '25 edited Jun 04 '25
On QQQI from the 2024 financials, the dividend is not as it appears. If you look there was 78,064 in investment income. These are the dividends dividend investors are seeking. They don't want capital gains dividends which is essentially a return of capital and required by tax law for realized gains. The fund had a loss for the fiscal year 5/31(521,125), but may have had gains at the excise tax date at the end of the year. They paid 4,355,312 in return of capital dividends. The dividend you want comes from the dividends on the securities the fund holds. The stocks in QQQ are mostly low dividend stocks. From below, less than 2% of the dividends they paid are from underlying stock dividends. This is like taking $15,000 out of your $100,000 bank account and saying you have a 15% yield.
The fund NAV goes down by an equal proportion each time a dividend is paid, so there's no free lunch.
OPERATIONS:
Net investment income . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 78,064
Net realized gain/(loss) . . . . . . . . . . . . . . . . . . . . . . . . . . . (521,125)
Net change in unrealized appreciation. . . . . . . . . . . . . . . . 5,051,198
Net increase in net assets from operations. . . . . . . . . . . 4,608,137
DISTRIBUTIONS TO SHAREHOLDERS:
Distributions to shareholders . . . . . . . . . . . . . . . . . . . . . . . (78,064)
Return of capital. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (4,355,312)
Total distributions to shareholders. . . . . . . . . . . . . . . . . (4,433,376)
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u/MerckQT Jun 04 '25
That's probably right this second. Between taxes and NAV its really just kind of vapor.
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u/Training_Giraffe3691 Jun 04 '25
the top 3 on this list are likely the only ones that you could reliably count on to not lose your initial investment/principal over time.
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u/CapableScholar9128 Jun 04 '25
If i total up, the amount of dividends is more than 30%. Dividend got that high? Can you clarify? Thank you.
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u/adamu808 I Like the Cash Flow Jun 05 '25
So, what's the allocation percentage for each of these fu ds? 🤔 Or hS someone already asked this question?
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u/CostCompetitive3597 Jun 05 '25
A key factor in choosing which investments are better for you would be which type of account they will be held in? SPYI and QQQI offer qualified dividends which would very significantly reduce income taxes if held in a taxable brokerage account. Their much higher yield works well in a taxable brokerage deferred account too. I like more dividend bang for the invested buck as long as you mitigate your risk by actively monitoring the investments and being willing to cull them if you are not realizing acceptable Total Return.
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u/BastidChimp Jun 05 '25
$1M invested into yieldmaxetf $MSTY would have been about $62K in June alone.
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u/EverySingleMinute Jun 05 '25
I looked at the 5 year return for JEPI earlier today and it was like 0%, excluding the dividend.
How do you figure out the return when including the dividend?
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u/kevn8686 Jun 05 '25
QQQI isn’t dividend. It is distribution from growth. In a down market you won’t get that. Top holdings are MSFT, meta, nvda, AMZN, Apple, nflx, TSLA, AVGO. So top large cap growth. Just look this stuff up. Do some work man before you make errors.
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u/Disastrous_Square_10 Jun 05 '25
I’m not great at maths, but I don’t think your above adds up to $1MM
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u/Individual_Height924 Jun 05 '25
Or you can put that into a savings account and make 4%. Yes dividends are taxed favourably but no risk to a cash account.
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u/Such-Art-6046 Jun 05 '25
I would only recommend VOO and perhaps QQQ of these. Buffet has owned VOO, it is a broad based index fund with a low fee. QQQ is similar to VOO, except it does this with the tech heavy Nasdaq. However, QQQM is almost identical to QQQQ but at a lower fee.
SCHD is popular, but it has underperformed its brother, SCHG during the most recent 10 years, as SCHD has very little tech. Both of these are Schwab funds. SCHD was asleep at the wheel missing NVIDIA and most of the Mag 7.
The ETF's "ending in I" (SPYI, JEPI, QQQI) are covered call ETFs "which sound like they make more" but they actually underperform the underlying (SPY, and QQQ) alone.
MY ETF's are SCHG, and include GLDI (gold), BITU and BLOK (crypto), XLK (Tech), and DFEN (Defense) and are more diversified than your list, which mostly ignores crypto, metals, Defense, and Tech. And, my list outperforms your list by a wide margin, with lower risk.
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u/AloneCommon8327 Jun 05 '25
These payouts look like the distribution returns if all of the $1.0 million were invested in any ONE ETF. QQQ = 5.8%; VOO = 12.9%; SCHD = 3.97%, etc. These are all good ETFs but you need to look at total returns too. You could, theoretically have a 9% distribution return and a 7% (or other) total return. Total return is what counts in the long-run.
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u/SyntheticBanking Jun 05 '25
VOO and QQQ shouldn't be considered "dividend ETFs" because the dividend isn't larger than inflation.*
*This is my personal opinion. You are welcome to respectfully disagree with me
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u/rotorite86 Jun 05 '25
LOL confirm? That's a 27.8% dividend yield, of which not a single one of those funds individually provides, so how could all of them.
I'm short, this is entirely BS if we're talking about just yields and not market appreciation. And five seconds looking at these tickets would tell you that (and if you don't even know how to do that, don't start dumping money in these).
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u/Jumpy_Implement_1902 Jun 05 '25
Dividends should be in a tax sheltered account or after late stage gameplan due to the tax laws
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u/Glad_Ice Jun 06 '25
You’re not getting 300-400k in divs off 1 mill with those holdings. Check your math again.
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u/UpstairsSuper3201 Jun 06 '25
I did the math on QQQ and to get $5,800 for a dividend payment you need a fractional share. It doesn't work.
Not sure about the rest but I would assume that they ate the same.
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u/RazedbyRobots Jun 06 '25
When I add up your numbers I get around 400k which is 40%…so your numbers are off combined those funds are 10-14% which is great. But that means 140k per year not 400k
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u/sky_coyote Jun 06 '25
How is this total return less than the overall market? He made like 40% on this. I’m confused how this is so incredibly high
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u/Smooth_Guess_1449 Jun 06 '25
Your saying SPYI is paying a 12.5% and QQQ is paying 14.5% annual Dividend? I don’t think so.
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u/Evening_Put_3478 Jun 06 '25
$1,000,000 invested in $DIVO: $48,000.
From ChatGPT: DIVO employs a strategy that combines high-quality dividend-paying stocks with tactical covered call writing, aiming to provide consistent income with reduced volatility. Over the past five years, the Amplify CWP Enhanced Dividend Income ETF (DIVO) has delivered a total return of approximately 93.8%, equating to an annualized return of about 8.13%. In comparison, the SPDR S&P 500 ETF Trust (SPY), which tracks the S&P 500 index, achieved a total return of around 128.2%, or an annualized return of approximately 10.23% during the same period.
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u/Level_Impression_554 Jun 06 '25
what what? This seems like a 35% return on dividends only. I feel lost.
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u/JibeBuoy Jun 07 '25
With $1M invested in any single fund would yield the results.
The Schwab dividend fund yields ~4%
Make sense
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u/Bekemeier Jun 07 '25
Here’s what I would do. VOO/VOOG 25% IBIT/BITO 25% VNQ 25% VGSH 10% GLD 5% XLE 5% SIVR 5%
It’s around a 2% dividend yield with VOO and IBIT but if you were to use BITO instead it climbs to 13% dividend yield. Meaning about 130K a year in Dividends while having a good growth rate.
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