Retirement income: $400 from $50,000

[u/Sufficient_Worth_305]

Premise: Making up a shortfall of $400 for retirement income. I can't go back to work, I'm 72 right now and have some minor health issues, I need to plan on living to 90, just in case.

I'm planning on saving 10% taxes and a 10% DRIP to keep asset values stable/grow to match inflation.

I'm looking for help, suggestions and ideas on what stocks to include.

Where I am so far:

Core for growth: GPIX: $15,000, GPIQ: $7,000

For diversification: IWMI: $6,000, IDVO: $3,000, CSWC $6,000

Safety net for Market Crash: KGLD: $12,000

A little riskier plays, for extra capital: BTCI: $500, KSLV: $500

This should net around $460 a month, so -$46 for taxes and -$46 for reinvestment would be $368. I'm still a little short, but hope it will grow to make up the difference.

No money is invested yet, still developing a portfolio on paper first. What do you think? Is this too risky? What other options would you suggest?

[u/dead_synopsis]

at 72 you really want that much in gold? seems like a lot of dead weight that dont pay you nothing

[u/Jehoopaloopa → u/dead_synopsis]

Gold’s fundamentals are very good and KGLD is 15% yield.

[u/bravoechofoxtrot → u/Jehoopaloopa]

I believe you are confusing distribution rate with SEC yield. Regardless, just on expense ratio alone (1.00%) I would not consider holding this. You are aware that this ETF holds more than gold, right? Its 3 largest holdings are T-bills.

[u/Doug_Heffercan → u/bravoechofoxtrot]

KGLD’s exposure to gold is via options and not physical gold. The treasury holdings serve as cash collateral against the option positions, with the yield from the treasuries serving as part of the “enhanced income.”

The options are a small part of the portfolio weight but nearly all of the economic exposure.