About Portfolios

Here are the names of the three model Portfolio’s listed in the ‘Portfolios’ drop-down menu:

1. Long-Term Dividend Growth
2. Aggressive Growth
3. High Yield

Building a stock portfolio is a combination of both art and science. These portfolios are designed to meet the investment objectives listed below. However, as the saying goes: “past performance is not a guarantee of future results.”

Portfolios

Long-Term Dividend Growth

• Objectives
  • Dividend Growth – 10% to 15% per year
  • Dividend Yield – 1.5% to 2.5%
  • Capital Appreciation – Perform at least as well as S&P 500
• Target – Buy and hold investors seeking to maximize growth of retirement income through long-term dividend growth
• Composition – Diversified portfolio of dividend growth stocks
  • 5-Year Dividend Growth Rate – portfolio average above 12%
  • History of raising dividends every year for 10+ years
  • Quality Score – portfolio average above 20 (scale 0 to 25)
  • Simply Safe Dividend Score – portfolio average above 90 (scale 0 to 99)
• Start Date – 1/1/2021
• Initial Investment – $10,000
• Monthly Contribution – $500 (dollar cost average $25 into each stock)
• Target Weighting – Equal distribution (initially 20 stocks, each with a 5% weight)
• Dividends Reinvested monthly in stocks below 5% weight to maintain balance

Aggressive Growth

• Objectives
  • Capital Appreciation – Outperform S&P 500 by 20% – 40%
• Target – Investors seeking to maximize capital appreciation
• Composition – Portfolio of aggressive growth ETF’s
  • ETF’s focused on investment themes with high revenue growth rates and total addressable markets
  • Expense Ratio – portfolio average below 0.60%
• Start Date – 1/1/2021
• Initial Investment – $10,000
• Monthly Contribution – $500 (dollar cost average $100 into each ETF)
• Target Weighting – Equal distribution (initially 5 ETF’s, each with a 20% weight)
• Dividends Reinvested annually into ETF’s below 20% weight to maintain balance

High Yield

• Objectives
  • Income – portfolio average above 7%
  • Underperform in bull markets and outperform in bear markets due to the defensive nature of its holdings
  • Diversification across multiple asset classes (common stock, preferred stock, real estate, gold, bonds)
• Target – Investors seeking to maximize income
• Composition – Portfolio of high yielding ETF’s
  • ETF’s targeting income that may include using covered call option strategies
  • Expense Ratio – portfolio average below 0.50%
• Start Date – 1/1/2021
• Initial Investment – $10,000
• Target Weighting – Equal distribution (initially 5 ETF’s, each with a 20% weight)
• Monthly Contribution – None (75% of income is used for living expenses)
• Dividends Reinvested (25% of income) monthly into ETF’s below 20% weight to maintain balance

Full disclosure I do not own these exact portfolios, but I do own most of the stocks and ETF’s in various accounts.

*Disclaimer: Always do your own due diligence. Companies listed in the sample portfolios are not recommendations.