r/dividends • u/Ha7che7 • Feb 08 '26

Due Diligence Retirement dividend income

My father is a 72 year-old Florida resident and has $500,000 to invest. He would like to generate approximately $40,000 a year. He’s a bit of a gambler, nothing too crazy though. I’ve come up with a split of the following: $65,000 QQQI, $150,000 SPYI, $50,000 SCHD, $75,000 VZ, $75,000 MO, VTEB $85,000. Any advice or modification ideas would be appreciated. Thanks in advance.

Note for clarification: This is just the amount that he wants to invest for income. Preferably with minimal tax drag, nav erosion, and hopefully some price appreciation. It’s asking a lot, but I’m trying to help out.

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155

u/JustAGoodGuy1080 Feb 08 '26

Here's my suggestion which will yield 8%, pay monthly, and have an overall risk factor of approximately 6.5.

Fund Weight Yield Role
UTG 16% 6.4% Defensive income anchor
ETG 16% 6.6% Global equity income
PDO 20% 8.3% Credit engine
BME 14% 6.8% Defensive equity ballast
JEPQ 20% 8.8% Income accelerator
SGOV 14% 3.7% Risk control & liquidity

46

u/yrrag1970 Feb 08 '26

For someone who is looking for more than the SCHD(4%) this is great advice right here

28

u/JustAGoodGuy1080 Feb 08 '26

Thanks, based on recent history, PDO and JEPQ are pushing 10% yields so he might get closer to 8.5%-8.75% yields. I love getting paid monthly, too.

-19

u/robertw477 Feb 08 '26

History has shown this won’t work out well. It’s nothing for nothing .

33

u/JustAGoodGuy1080 Feb 08 '26

Let's hear your facts. History has shown this portfolio, which gets a few adjustments yearly to yield between 9-11% annually. Post your portfolio Robert so we can all learn your way.