I can't remember anyone posting here who is 100% DGI
That would be me, JJ. Don't know about rnsmth or anyone else. Tax issues are a reason I avoid REITs, BDCs, etc, but I get 100% of my investment income from qualified dividends. Am I the only one? I have nothing in fixed income and don't care to. I am not counting "emergency" funds held in MMFs.
I am feeling a bit lonely, though. I just posted a detailed [and somewhat eloquent :-))] defense of DGI on Fidelity Community Investor forum, where living off dividend income was deemed "wrong" and worse. The Fidelity forum can be pretty hard for me to take, so I find some solace here.
One of the reason DGI was characterized as "wrong" was because it was (allegedly) an error to forego growth in favor of income. When I posted the results of my DGI portfolio vs. the S&P over my seven years of DGI, that quieted a few people down, but that's all. BTW, my pretty traditional DGI portfolio underperformed the S&P by 5%-7% over seven years (price only), but made up for that with the extra dividend income. Plus, my beta is about .78 vs 1.0, so much better on a risk adjusted basis. (End of semi-rant) |
