Here is exactly how I would invest $2 million for retirement
to get over $100,000 a year from dividends alone
without ever having to touch the initial principal
I’m Tyler
I’m a former financial advisor and portfolio manager
and now I make financial content for free so that you don’t have to pay for it
number one I would invest 90% of my assets across four dividend funds:
XSHD’s Small Cap ETF
Global XS Super Dividend ETF
Invesco’s High Dividend ETF
just to spice it up
$450,000 to Invesco’s equity REIT: real estate investment trust
these funds currently average a 6.8% annual return
grossing me about $123,000 a year
and hopefully the underlying assets would continue to appreciate
No.2 I would keep the remaining $200,000 in cash on the sidelines
invested in a money market fund that would currently return about 5%
this would not only help me mitigate the risk of bad early market returns
it would also provide me with a relatively stable additional $10,000 a year
No.3 at 70 years old
I would take advantage of my full Social Security benefit
If it’s even still around then
which as of today would be about $48,000 a year pre tax
I would encourage you to see exactly what your projected benefits would be at 62
66 and 70
this will help you plan for the future
and get you one step closer to where you need to be