Learn to build Research Affiliates model portfolios. How do they compare to the very best portfolios?
If you’re looking for income, then one of these portfolios should be on your radar.
We have compared the dividend yields of over 600 portfolios and present you with top 20 yielding portfolios.
Here are the best income portfolios
Below you can see the portfolios with the highest 12-month trailing dividend yield.
Portfolio data was last updated on 11th of August 2023, 08:35 ET
Here is what the table is showing you
Year to date: This shows what the portfolio has returned this year starting from the first trading day of the year.
10 Year return: This shows the compounded annualized growth rate over a ten-year period. The current year is excluded from calculations.
CAGR since 1989: This shows the compounded annualized growth rate since 1989. The current year is excluded from calculations.
Expense ratio: This shows the cost of holding the portfolio if you were to construct the portfolio using the proposed ETFs.
Yield: This is the expected dividend yield of the portfolio.
Please note that past performance is not a guarantee of future returns.
What is an income portfolio?
An income portfolio is a portfolio where the main objective is generating a sufficient income from the portfolio.
A capital appreciation portfolio on the other hand is a portfolio that seeks to maximize stock returns in the portfolio.
Which asset classes are good for income?
When building your income portfolio, you need to consider the choice of asset classes. This is because there are some asset classes that generate a far higher and consistent income than other portfolios.
Below you can see some of the asset classes that have consistent yields:
- High-yield bonds
- Emerging market bonds
Should you pick an income portfolio or a high-returning portfolio?
Some like to depend on a steady income stream to pay for their expenses. The opposite of that is building a portfolio that rises in value over time. This is capital appreciation.
We have found that capital appreciation portfolios generate far higher returns than income portfolios. But they also come with higher drawdowns.
|Name||See Portfolio||Year to date||Return in 2022||10 year return||CAGR since 1989 (%)||Draw Down|
|Ben Stein Retirement||Coming soon!||4.05||-18.03||9.46||10.8||-35.42|
|Paul Merriman 4-Fund-Portfolio||Coming soon!||9.22||-11.98||11.25||10.38||-35.26|
|S&P 500||Coming soon!||17.09||-18.19||12.52||10.28||-37.63|
|Paul Merriman Target Date Portfolio (25 year old)||Coming soon!||6.63||-13.08||8.28||10.2||-36.46|
|Scott Adams Dilbert Portfolio||Coming soon!||10.87||-18.75||7.0||10.19||-44.88|
|JL Collins, Simple Path To Wealth, Wealth Building Portfolio||Coming soon!||16.6||-19.51||12.08||10.19||-37.0|
|American Institute of Individual Investors (AAII) Portfolio||Coming soon!||3.74||-13.91||9.7||10.16||-40.85|
|Paul Merriman Target Date Portfolio (35 year old)||Coming soon!||6.57||-13.22||8.31||10.08||-36.35|
|Assetbuilder.com Portfolio 14||Coming soon!||6.95||-16.94||7.59||9.99||-37.91|
|Balanced Portfolio 90/10||Coming soon!||14.83||-18.87||11.03||9.84||-32.78|
Are REITs a good investment?
REITs have historicly been a great investment. They have returned just about the same as stocks. A good ETF for REITs is Vanguard’s REIT ETF with the ticker symbol (VNQ).