Summary
- The Schwab U.S. Dividend Equity ETF anchors a $75,000 dividend portfolio, offering low volatility and a 0.06% expense ratio.
- I enhance SCHD with the Vanguard Real Estate Index Fund and the JPMorgan Equity Premium Income ETF and eight high-quality stocks, boosting diversification and income potential.
- This portfolio achieves a weighted average dividend yield of 4.17% and a 5-year weighted average dividend growth rate of 5.79%, outpacing SCHD’s 3.11% yield.
- Strategic allocations target both current income (e.g., JEPI, Ares Capital, Altria Group) and dividend growth (e.g., Mastercard, Microsoft, Zurich Insurance Group), balancing risk and reward.
- I do much more than just articles at The Allocation Compass: Members get access to model portfolios, regular updates, a chat room, and more. Learn More »
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Analyst’s Disclosure: I/we have a beneficial long position in the shares of SCHD, MO, KHC, ARCC, UPS, ZURVY, ZFSVF, MA, MSFT, AAPL, VNQ either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
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