4 SAFE High Yield ETFs - Pay My BILLS Every Month!

Summary

The video discusses building a dividend growth portfolio for long-term income, focusing on ETFs that pay dividends monthly or quarterly with potential for capital appreciation. The speaker shares their strategy of reinvesting dividends and their goal to cover fixed expenses with dividend income in the future. Four high-yielding dividend ETFs are highlighted: Amplify CTP Enhanced Dividend Income ETF (DVO), S&P 500 High Income ETF (SPYD), Simplify Volatility Premium ETF (SBO), and JP Morgan NASDAQ Equity Premium Income ETF (JEQ). Each ETF is analyzed for its yield, strategy, and potential for growth, offering viewers options to diversify their income generation.

Takeaways

• 😀 The speaker has been building a long-term dividend growth portfolio for about six to seven years, focusing on stocks and ETFs that pay dividends and have potential for price growth.
• 💰 The primary goal is to generate enough dividend income to cover fixed expenses on a monthly basis, which is not yet achieved but is a future aim.
• 📈 The speaker currently reinvests around $6,500 per month into more dividend-paying stocks and ETFs, with a plan to use dividend income for bills and travel in the future.
• 🏦 The video discusses four high-yielding dividend-paying ETFs that the speaker has been investing in and plans to use for monthly bill payments.
• 🌟 The first ETF mentioned is DVO (Amplify CWP Enhanced Dividend Income ETF), which offers a relatively cheap expense ratio and pays dividends monthly with a distribution rate of around 4.81%.
• 🚀 The second ETF is SPII (SPDR S&P 500 High Income ETF), which has gained interest for its 12% starting yield and strategy involving tax loss harvesting and SPX index options.
• 📊 The third ETF is SBO (Simplify Volatility Premium ETF), which provides inverse fixed exposure and a dynamic hedge, aiming to balance high income with volatility drag.
• 💼 The fourth ETF is JEPQ (J.P. Morgan NASDAQ Equity Premium Income ETF), which uses a cover call strategy to generate consistent monthly income with less volatility and has grown significantly in price.
• 📚 The speaker offers a dividend investing ebook and a custom dividend tracker for those interested in tracking their progress towards dividend investing goals.
• 🔗 The ebook and dividend tracker can be found at the first link in the video description, which details the speaker's journey from $0 invested to earning over $6,000 monthly and over $1 million invested.
• 📈 The speaker emphasizes the importance of choosing high-quality ETFs for both income generation and potential capital appreciation, which are key for covering future expenses.

Q & A

What is the main goal of the speaker's dividend growth portfolio?

The main goal is to generate enough dividend income to cover most of the speaker's fixed monthly expenses.

How long has the speaker been building their dividend growth portfolio?

The speaker has been building their portfolio for around six to seven years.

What does the speaker currently do with the dividend income they receive?

The speaker is currently reinvesting their dividend income, averaging around $6,500 per month, into more dividend-paying stocks and ETFs.

What is the speaker's future plan for the dividend income?

The speaker plans to use the dividend income to pay bills, travel, and other expenses in the future, possibly within 1 to 5 years.

What type of ETFs is the speaker discussing in the video?

The speaker is discussing high-yielding dividend-paying ETFs that offer both a nice starting yield and potential for capital appreciation.

What is the Amplify CWP Enhanced Dividend Income ETF (DVO) known for?

DVO is known for its relatively cheap expense ratio, monthly dividend payments, and potential for price growth over time.

What is the starting yield of the Amplify CWP Enhanced Dividend Income ETF (DVO)?

The starting yield of DVO is around 4.81%.

What makes the SPII S&P 500 High Income ETF unique?

SPII offers a massive starting yield of around 12% and employs a data-driven call option strategy, managed by NEOS, for tax efficiency and potential growth.

How does the Simplify Volatility Premium ETF (SBO) generate its dividend income?

SBO generates income by providing inverse fixed exposure to the CBOE Volatility Index (VIX) and implementing a dynamic hedge strategy with call options.

What is the expense ratio of the Simplify Volatility Premium ETF (SBO)?

The expense ratio of SBO is relatively high at 1.16%.

What strategy does the JP Morgan NASDAQ Equity Premium Income ETF (JEQQ) employ?

JEQQ employs a cover call strategy, buying a basket of equities and selling out-of-the-money NASDAQ 100 index call options to generate monthly income.

What has been the historical performance of the JP Morgan NASDAQ Equity Premium Income ETF (JEQQ) in terms of yield and price growth?

JEQQ has historically provided a consistent 7-8.9% yield per year and has shown significant price growth.