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Bob Johnson

 
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  • A High Income Portfolio For A More Prosperous Retirement [View article]
    Cal Boomer,

    When you stop and look at it over the years, 1% of the principal can really add up.

    1% of $1,000,000 for ten years is $100,000.

    Some professionals do a great job. Today the better ones do their work on an hourly basis or for a fixed fee for a given service.

    Best,
    Bob J
    Jun 5, 2014. 07:48 PM | 1 Like Like |Link to Comment
  • A High Income Portfolio For A More Prosperous Retirement [View article]
    rashbaugh,

    Thanks.

    Bob J
    Jun 5, 2014. 07:41 PM | Likes Like |Link to Comment
  • A High Income Portfolio For A More Prosperous Retirement [View article]
    perkio,

    Thanks.

    Bob J
    Jun 5, 2014. 07:40 PM | Likes Like |Link to Comment
  • A High Income Portfolio For A More Prosperous Retirement [View article]
    Scott,

    Here's the reason.

    If a firm is an LLC and chooses to be taxed like an MLP, it also reports the income to you on a k-1.

    VNR - I suggest you go to their web site and go to investor relations and look at how they report to unit holders.

    "Vanguard Natural Resources, LLC is proud to announce that tax year 2013 K-1 information is now available on the website.
    In addition, the original K-1 tax packages will begin to mail to unitholders the week of March 10th."

    This is not a debatable matter of opinion, but rather a matter of fact. For all tax purposes, including reporting and UBTI, you should consider yourself a holder of an MLP.

    Linn Energy, LINE does exactly the same thing.

    Best regards,
    Bob J
    Jun 5, 2014. 07:39 PM | Likes Like |Link to Comment
  • A High Income Portfolio For A More Prosperous Retirement [View article]
    Nicholas,

    Thanks for the comment.

    What you put forth, DGI methodology, is certainly a good alternative and in most cases a conservative one.

    It sounds like you are also seeking capital appreciation along with current income. That's fine, but not a part of the strategy of this high current income portfolio.

    By moving sectors, I assume according to technical measurements such as momentum. That is outside my experience.

    Best regards,
    Bob J

    Whatever consistently works for you is undoubtedly the best thing for you.
    Jun 4, 2014. 08:05 PM | Likes Like |Link to Comment
  • A High Income Portfolio For A More Prosperous Retirement [View article]
    NV,

    You may note on the first table where I calculate average yield, the italics at the bottom say that it is the weighted average yield.

    Best regards,
    Bob J
    Jun 4, 2014. 07:48 PM | Likes Like |Link to Comment
  • A High Income Portfolio For A More Prosperous Retirement [View article]
    Sun, I think you've almost to it, but perhaps not quite.

    If you are going to hold Royal Dutch Shell in a tax-advantaged account such as an IRA or401k hold RDS.B.

    Best,
    Bob J
    Jun 4, 2014. 07:41 PM | Likes Like |Link to Comment
  • A High Income Portfolio For A More Prosperous Retirement [View article]
    Thanks, Mike.
    Jun 4, 2014. 07:34 PM | Likes Like |Link to Comment
  • A High Income Portfolio For A More Prosperous Retirement [View article]
    Sun Rising,
    RDS.B, the UK registration, is the preferred alternative to RDB.A, the Dutch version, tor IRAs. The reason is the UK withholds no taxes of dividends and the Dutch do. They are not recoverable from an IRA.

    As to exactly how dividends are handled from RDS.B, you need to contact your broker. For a time dividends were paid in RDS.A shares, which my broker set up as a separate holding in my IRA. It took a few months to straighten it out, and now cash appears in my account instead and I can either get it paid to me or reinvest it in RDS.B.

    Best regards,
    Bob J
    Jun 4, 2014. 07:33 PM | 1 Like Like |Link to Comment
  • A High Income Portfolio For A More Prosperous Retirement [View article]
    Sun,

    You'll get a 1099, I believe. To verify, the best thing you could do is read the company's prospectus.

    Best regards,
    Bob J
    Jun 4, 2014. 07:23 PM | Likes Like |Link to Comment
  • A High Income Portfolio For A More Prosperous Retirement [View article]
    Steven,

    Thank you so much for your thoughtful comment.

    I certainly agree with you that the watching the market go up and down, experiencing fear and greed on a daily basis, is usually counter productive to good investing.

    By maximizing your income stream you put cold hard cash in your pocket. You may continue to put the same amount of cash in your pocket even if the market falls 25%. If you panic out of fear of losing capital and sell, you may end up buying back the same assets a year later at a higher price.

    The income stream, the cold hard cash that you get paid, is what is important in retirement.

    Best regards,
    Bob J
    Jun 4, 2014. 07:20 PM | 2 Likes Like |Link to Comment
  • A High Income Portfolio For A More Prosperous Retirement [View article]
    gorgo,

    You commented, "I seem to think you can do better on a total return basis with higher quality co. with good div. growth than more riskier less quality co." I don't disagree. Then you go on to talk about capital losses and potential capital losses.

    However, I open the article with these words:

    "•This article is for investors concerned primarily with current income;"

    Obviously, this article makes no bones about the goal of current income. This is really not the place to be talking about the advantages of longer term capital growth, which requires an entirely different strategy.

    Was it Keynes who said, "In the long run we're all dead".

    Best regards,
    Bob J
    Jun 4, 2014. 07:08 PM | 2 Likes Like |Link to Comment
  • A High Income Portfolio For A More Prosperous Retirement [View article]
    Win,

    Thanks for your comment.

    Morningstar rates Thornburg Investment Income Builder I (TIBIX) as a five star Bronze fund, which is very good. It currently is 50% on non-US equities and 40% in US equities, with the other 10% in bonds, cash etc.

    The largest holding is JPM, followed by RDS.A and Walgreen's.

    Mutual funds are outside my area of expertise.

    Best regards,
    Bob J
    Jun 4, 2014. 06:54 PM | Likes Like |Link to Comment
  • A High Income Portfolio For A More Prosperous Retirement [View article]
    Thank you, Packer man.

    I am always happy to hear that my contributions are helpful.

    Best regards,
    Bob J
    Jun 4, 2014. 01:01 PM | Likes Like |Link to Comment
  • A High Income Portfolio For A More Prosperous Retirement [View article]
    rashbaugh,
    That is correct.
    Jun 4, 2014. 12:59 PM | Likes Like |Link to Comment
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