How To Retire With A Million In 10 Years

Dec. 21, 2019 9:45 AM ETABBV, CLX, D, DWX, ET, IVZ, JNJ, LMT, MMM, MO, MSFT, NNN, PEP, PFF, VLO, VTR, VZ, WFC, WY, XOM383 Comments

Summary

  • If you already are 50 or older and haven’t done retirement planning, it's high time to do so.
  • We use our hypothetical couple - John and Lisa - to demonstrate how to plan, save, and grow your capital to retire in 10 years.
  • We run various simulations for John and Lisa to show how they could grow modest savings into a significant sum that can last for a lifetime.
  • Lastly, we provide a model portfolio with two buckets to grow the capital safely at a 9%-10% rate while preserving the capital at the same time.
  • Looking for a portfolio of ideas like this one? Members of High Income DIY Portfolios get exclusive access to our model portfolio. Get started today »

Though there's no predetermined retirement age in the US, most people see it as something between 62 and 66 years of age. According to the census data, the average age of retirement is 65 for men and 63 for women. However, for Social Security purposes, 66 years and 2 months is considered as the full retirement-benefits age, which will gradually rise to 67 years for folks born in 1960 or later. The early Social Security benefits will continue to be available at age 62 at reduced rates.

That said, most people want and should at least plan for early retirement by age 62. The early retirement can be by choice but, at times, maybe forced upon by different circumstances. After all, life is full of surprises. For someone, it could be a voluntary retirement offer that's difficult to refuse, while for some others, it can be a forced one due to circumstances. Whatever the scenario, even if you end up working much longer, say until 65 or beyond, it never hurts to plan for early retirement.

Either way, if you are 50 or older and have not planned for retirement, it's high time that you make a plan and put it into practice. For the purpose of this article, we will consider a couple who have just turned 52 and want to be prepared for retirement in 10 years.

While planning for retirement, there are two primary questions that should be answered first before you can proceed. Both of these questions are inter-dependent to some extent and often are the most intriguing questions for most people who are not yet retired but plan to retire not too distant in the future.

  1. The first question is how much savings would be enough. Please keep in mind that people are living longer today than say 30 years ago. So, if you are retiring in your early 60s, you should plan for 30-40 years of retirement. It's better to plan for longer and have some surplus left for your heirs or any other causes than running out of money in your 90s.
  2. The second question revolves around coming up with a realistic estimate of your expenses in retirement. One way that has been suggested over the years by many financial planners is that you should plan for about 80% of your pre-retirement expenses. We think it's too high a target, and actual expenses in retirement could be much lower. Sure, if you could plan for 80%, good for you. But, obviously, one size does not fit all, and the answer could vary from person to person, their spending habits and personal goals, as well as financial means. You should attempt to make an honest assessment of your estimated expenses in retirement.

We would use our hypothetical couple - John and Lisa – to demonstrate the planning process. Let's assume John and Lisa are 52 years of age and wish to retire in 10 years at 62. It's always possible that they would change their mind in the future and may decide to work longer, but at least they want to be prepared to retire at 62 if they had to. Their current savings are modest at $350,000 and mostly invested in tax-deferred plans like 401K and/or IRAs. We will assume that their current household gross income is $140,000 a year, which falls solidly on the upper edge of the middle-class income group. According to a research study by Fidelity, by the age 50, you should have at least four times of annual salary saved, and by age 62, it should be eight times of your gross income. Although this is just an estimate, if we were to go by this yardstick, John and Lisa should have saved $560,000 by this time at age 52. So, they are clearly lagging behind. They recognize that their current savings are not enough, and they need to do some serious planning and make some tough choices if they hope to have a comfortable retirement starting in 10 years. They also recognize that the status quo will not be sufficient and they will have to make some sacrifices and cut down some of their discretionary spending and save and invest more.

PART-I: Retirement Planning for John and Lisa

Let’s make some more assumptions about John and Lisa’s situation.

  • They currently carry a mortgage on their house and have 15 more years to repay in full. They decide that they will make some extra payment each month on the mortgage, so that they are able to pay off the house in 10 years instead of 15, by the time they retire. They will pay $300 extra every month to pay off the loan early.
  • They decide that they will not carry any type of debt into retirement, be it car loans or credit cards.
  • They have one child in college whom they are currently supporting and will continue to do for the next four years.
  • They currently have one new car on the five-year term loan. They will continue to make existing payments on this car. However, once their child’s college expenses are over, they will start putting away $300 a month for a future car so that they would not need to finance another car.
  • Most importantly, they decide that they both will increase their current 401K contributions to 16% of their earnings. They will increase it further to 20% of their earnings after their child’s education is over in four years. This will require some sacrifices, but this is fundamental to reaching their retirement goals. This will help boost their savings significantly and also reduce their current taxes.

Table 1: John & Lisa‘s New Budget (estimated) vs. Old

New Budget

(annual)

Old Budget

(annual)

1

House Mortgage

18,000

14,400

2

Prop. Tax & other house expenses

12,000

12,000

3

401K contributions

22,400

8,400

4

Other payroll deductions

6,000

6,000

5

Income Tax (estimated**)

11,000

14,000

6

SS/Medicare deductions

10,700

10,700

7

College Tuition

14,000

14,000

8

Car payment

4,800

4,800

9

Food, groceries, and household

12,000

12,000

10

Total

110,900

96,300

11

Left for Misc. and discretionary expenses (140,000 – Line-Item 10)

29,100

43,700

** The author is not a tax expert/consultant, this estimate is just to give a broad idea for the purpose of demonstration; the actual amounts could vary.

How Much Savings Are Enough?

John and Lisa want to tackle the first question first. However, to know the total savings requirement, they will need to know the answer to the second question on their expenses in retirement.

Estimation of Expenses in Retirement:

There are several ways to work out an estimation of expenses in retirement. However, we must keep in mind that we are talking about estimation, and one must plan for a 10-20% variation from year to year.

  • The first method may be to multiply your current gross income by some percentage, like 70% or 80%. This is something many of the financial planners suggest. However, it's prone to overestimation (or underestimation in some cases).
  • Another method may be to make a list and add all of the likely expenses in retirement. However, one is likely to underestimate or overestimate some expenses. Furthermore, there's the possibility that you may forget to list some of the likely expenses entirely.
  • A third method that we recommend and may be more appropriate is to take the current household gross income and subtract all the expense items that you will “not” incur in retirement. Also, add any additional expenses that you may have in retirement that you do not incur currently, for example, there may be an increase in medical premiums/costs. Then, adjust this remaining amount for inflation for the number of years that are left prior to retirement. It basically means to figure out how much of the money currently goes into items that will no longer be needed. This method will ensure that you are able to maintain your current lifestyle into retirement.

Based on the above (third option), this is what John and Lisa come up with:

  • They will no longer need to put 16% (or 20%) savings contributions into their 401K or retirement funds.
  • Their tax bracket may change to a lower slab, so we will need to account for that reduction.
  • They will not be putting any more money into Social Security/Medicare deductions, as they should not have any earned income.
  • Besides, they will not have work-related expenses, like commuting, new clothing, dry-cleaning expenses, etc.
  • They should be done with kid’s college education, which will cut down another $10,000 - $14,000 a year.
  • They will not have the house mortgage payments anymore (monthly mortgage $1,200 or $14,400 yearly), as long as they plan to pay it off early.
  • They will not have the current medical premiums that get deducted from their paychecks. However, they will need to earmark higher medical premiums since they will not be eligible for Medicare until 65. It may be an option for one of them to work part-time until 65 so that they could get affordable and cheaper medical insurance plans through their employers.

Table 2: Expenses in Retirement

Total current gross earnings

Minus (-)

Current 401/IRA contributions

Social security/Medicare deductions

Reduction in Taxes, if any

Medical and other work-related premium deductions

Any work-related expenses

Kid’s college expenses

Home Mortgage payments

Car payment

Plus (+)

Extra costs or premiums for Medical Insurance.

We use a Google spreadsheet to run the numbers for John and Lisa (available at our website - Financially Free Investor, link here). It's easy to see that nearly 60% of their current gross income goes to expense items that they will no longer have or need in retirement. That means they would only require roughly 40% of their current gross income to support their existing lifestyle. Based on their current gross income of $140,000, it comes to $56,000 a year in today’s prices. However, due to inflation in the next 10 years (assuming an average of 2% a year), they will require $67,000 a year. In addition, they plan to earmark an additional $700 a month (or $8,400 a year) for medical premiums/costs. So, they figure out that they will need roughly $75,500 a year to be able to sustain their current living standards. They round it off to $75,000 a year.

Table 3: Expenses in retirement after inflation

40% of the current gross-income:

Inflation-adjusted Amount (10 years later):

Plus Additional Medical Premiums in retirement:

$56,000

$67,000

$8,400

Total:

$75,400 a year

Rounded off to

~= 75,000 a year

Revisit - How Much Savings Are Needed?

Once John and Lisa have answered the question on their yearly expenses in retirement, they can easily determine how much of the total savings they would need.

Looking at their income needs of $75,000 a year, on a conservative estimate of a 4% withdrawal rate, they would need to save $1.9 million. This definitely looks like a tall target considering their current savings of $350,000. However, they will have social security payments, which should reduce their savings requirements. In fact, they have many options to consider:

  • Option 1: Both John and Lisa could delay taking the Social Security benefits until the full eligibility age of 66 years and 10 months. They both could work part-time (or one of them works part-time) for another three years until 65. This will help them avoid paying higher medical expenses/premiums from 62-65 (65 is when they become eligible for Medicare). This also will bring some extra income. They withdraw the rest of the income from their portfolios from 62-67 (just as much as needed) until they start taking the Social Security benefits, after which their withdrawal rate will drop significantly.
  • Option 2: One of them to work part time until 65 (just as in the first option). John withdraws Social Security benefits at 62, but Lisa delays it until she reaches the full retirement age of 66 and 10 months. From age 62-67, they could withdraw the rest of the income from their portfolios to supplement other income.
  • Option 3: John would withdraw Social Security benefits at 62 but delay Lisa’s benefits until she reaches age 70. One of them also would work part-time until they get to 65. By doing this, they will be able to balance out the income needs along with compounding Lisa’s Social Security benefits to the highest payout possible. Besides part-time work income and Social Security payments, the rest of the income needs could be met from the portfolios.
  • Option 4: Neither of the two works after 62. John would withdraw Social Security benefits starting at 62 but delay Lisa’s benefits until she reaches age 70. They withdraw 5%-6% income from their portfolios from age 62-70. After that, the second Social Security benefits will kick in, and they will need to withdraw less than 3%.

Option 4 appears to be most challenging since they both will be fully retired at 62. However, the idea is to at least plan for this option, just in case they need it or really want it at that time. They would reserve one year of expenses in cash and withdraw roughly 5%-6% from their portfolio from 62-70 years of age. Some readers may question that a withdrawal rate of 5%-6% is too high. However, as it's demonstrated in the table below, it's for a limited window of eight years, after which the withdrawal rate would fall to less than 3%.

Let’s consider Option 4 in more details:

Both John and Lisa retire at 62. They do not opt for part-time work (or suitable work is not available). John will take Social Security benefits starting at age 62, and the approximate benefits are assumed to be $1,500 per month or $18,000 per year. Since Lisa will wait to withdraw Social Security benefits until 70, her benefits will be much higher at approximately $3,000 a month or $36,000 a year. They will reserve one-year expenses (75K) in cash from their retirement portfolio.

By doing some reverse calculation, here is what they would need:

Table 4: Calculation of savings needed

Annual Income need from age 62

$75,000

Less Social Security benefits (John):

-$18,000

Net income needed

57,000 (75,000-18,000)

Assumed income withdrawal

6%

Portfolio size needed

$950,000 (57,000/0.06)

Plus 1-years cash reserve

$75,000

Total Portfolio size needed at age 62

$1,025,000

So, this couple will need at least $1.025 million at the time of their retirement at 62 years of age.

Investment Returns Calculations (Age 52-62):

John and Lisa get to the task of planning how they could get to the target of $1.1 million in 10 years. They assume that their investments would grow at a very steady rate of 8% a year for the next 10 years, while they contribute 16% of income every year along with employer’s matching (assuming 80% on first 6%). Also, their annual income is likely to increase, but we are assuming it to be constant at $140,000.

As you would see below, with an 8% steady growth rate, they comfortably meet their target of $1.1 million. However, the big question mark is 8% steady growth over 10 years. The above assumption of 8% growth every year would be just fine over two or three decades, but over 10 years, it may or may not materialize. The market’s ups and downs from year to year can change the outcome. If history is any guide, it can vary greatly depending on how the markets do in the next few years. We will address this question a little later in section-II.

To be even more conservative and provide an extra margin of safety, we will calculate the returns on the basis of 7% (instead of 8%).

Table 5: Investment Portfolio Growth from Age 52-62

Rate of growth Growth Contributions of 16% -20% of Income Year-End TOTAL
Year 0 Starting Capital ===============> 350,000
1 7% 25,519 29,120 404,639
2 7% 29,344 29,120 463,103
3 7% 33,436 29,120 525,660
4 7% 37,815 29,120 592,595
5 7% 42,697 34,720 670,012
6 7% 48,116 34,720 752,848
7 7% 53,915 34,720 841,482
8 7% 60,119 34,720 936,321
9 7% 66,758 34,720 1,037,799
10 7% 73,861 34,720 1,146,380
Ending Capital after 10 years (approx.) =====> 1,145,000

Retirement Years Age 62-90 – Calculation of Growth and Drawdown:

For John and Lisa, during actual retirement, their strategy looks something like below. If everything works out according to the plan, they should never run out of money. In fact, as you would see below, at 80 years of age, their portfolio would be roughly double of what they started with at 62, while withdrawing and spending a substantial amount of income. That leaves plenty of scope for margin of error, and in all likelihood, they should never run out of money:

  • At the start of retirement, they reserve one year of expenses in cash from the total capital, a total of $75,000, leaving the investment capital to $1,070,000.
  • Also, (as per option-4) John would start withdrawing Social Security at the earliest eligible age of 62. Due to early withdrawal, he will receive roughly 73% of the full benefits. We will assume that SS-1 to be $1,500 a month and grow at a very conservative rate of 1% per annum due to COLA (Cost Of Living Adjustments).
  • This will allow Lisa to wait until the age of 70 years to collect and let the Social Security benefits be compounded to a much higher amount. We will assume that the SS-2 will be $3,000 per month, starting at 70 years and grow at 1% per annum by COLA adjustments.
  • However, at age 70, due to inflation (from age 62-70 years), their expenses would go up each year as well (assumed at 2%).
  • They assume that investments of $1,070,000 ($1.145 million – $75K reserve) will grow at a realistic rate of 8%. This is addressed in a later section.

Below is the table that simulates the income and withdrawals from the age of 62-90 years.

Table 6: Calculation of growth and drawdown from age 62-90

A

B

C

D

E

F

G

H

I

K

Age (year)

Total Yr-Begin Capital

Minimum Income Needed

Social Security (1)

Social Security (2)

Actual Cash Withdrawn

%age Cash W/drawn

Net Inv. Capital

Return on Inv. Capital

Total Yr-end Capital

Start

1,145,000

-

-

**75000

1,070,000

1,070,000

62

1,070,000

75,000

18,000

-

57,000

5.33%

1,013,000

8%

1,094,040

63

1,094,040

76,500

18,180

-

58,320

5.33%

1,035,720

8%

1,118,578

64

1,118,578

78,030

18,362

-

59,668

5.33%

1,058,910

8%

1,143,622

65

1,143,622

79,591

18,545

-

61,046

5.34%

1,082,577

8%

1,169,183

66

1,169,183

81,182

18,731

-

62,451

5.34%

1,106,731

8%

1,195,270

67

1,195,270

82,806

18,918

-

63,888

5.35%

1,131,382

8%

1,221,893

68

1,221,893

84,462

19,107

-

65,355

5.35%

1,156,537

8%

1,249,060

69

1,249,060

86,151

19,298

-

66,853

5.35%

1,182,207

8%

1,276,783

70

1,276,783

87,874

19,491

36,000

32,383

2.54%

1,244,400

8%

1,343,952

71

1,343,952

89,632

19,686

36,360

33,586

2.50%

1,310,366

8%

1,415,195

72

1,415,195

91,425

19,883

36,724

34,818

2.46%

1,380,378

8%

1,490,808

73

1,490,808

93,253

20,082

37,091

36,080

2.42%

1,454,728

8%

1,571,106

74

1,571,106

95,118

20,283

37,462

37,373

2.38%

1,533,733

8%

1,656,432

75

1,656,432

97,020

20,486

37,836

38,698

2.34%

1,617,733

8%

1,747,152

80

2,172,398

107,118

21,531

39,766

45,821

2.11%

2,126,577

8%

2,296,703

85

2,876,094

118,267

21,531

39,766

56,970

1.98%

2,819,124

8%

3,044,654

90

3,836,756

130,577

21,531

39,766

69,280

1.81%

3,767,476

8%

4,068,874

** Cash-reserve

Part-II: How to Get 8% Investment Returns (or more) Consistently

We know that it may be too risky to put all your money in the S&P 500 or any other set of index funds, mainly because in the investment world, 10 years is not a very long time frame, and our portfolio will be subject to the risk of the sequence of returns.

Note: Sequence risk, or sequence of returns risk, is defined as the risk that the stock market crashes early in your retirement.

So, what’s the alternative? We will suggest a portfolio with two buckets that will greatly reduce the risk of the sequential return.

  • DGI Bucket- 50%
  • Rotational Risk-Adjusted Portfolio -50%

The DGI portfolio will provide a safe and consistent 4% (and increasing) level of income from dividends. It also will protect and preserve the capital better than the broader market during a correction, if not entirely. At the same time, the second bucket consisting of a Rotational portfolio will provide the necessary hedge and protect the overall capital.

DGI Bucket:

We present a sample DGI bucket with 20 stocks. We will aim for roughly a 4% dividend yield.

Table 7: DGI Bucket

Stock Symbol

Company Name

Industry

Yield (12/17/ 2019)

LMT

Lockheed Martin (LMT)

Aerospace/Defense

2.49%

PEP

PepsiCo (PEP)

Beverages

2.79%

CLX

The Clorox Company (CLX)

Consumer Goods

2.80%

ET

Energy Transfer LP (ET)

Energy - Partnership

9.53%

XOM

Exxon Mobil (XOM)

Energy Major

4.97%

VLO

Valero Energy Corp (VLO)

Energy/Refinery

3.78%

WFC

Wells Fargo (WFC)

Finance/ Banking

3.76%

IVZ

Invesco Ltd. (IVZ)

Financial

6.93%

ABBV

AbbVie Inc. (ABBV)

Healthcare/Biotech

5.28%

JNJ

Johnson & Johnson (JNJ)

Healthcare/Drugs

2.65%

MMM

3M Company (MMM)

Industrial

3.37%

DWX

S&P International ETF (DWX)

Int'l Dividend ETF

4.24%

PFF

iShares US Preferred ETF (PFF)

Preferred ETF

5.63%

NNN

National Retail Properties (NNN)

REIT

3.95%

VTR

Ventas, Inc. (VTR)

REIT/Healthcare

5.68%

WY

Weyerhaeuser Company (WY)

REIT/Timber

4.59%

MSFT

Microsoft Corporation (MSFT)

Technology/ Software

1.32%

VZ

Verizon (VZ)

Telecom

4.02%

MO

Altria Group (MO)

Tobacco

6.64%

D

Dominion Energy, Inc (D)

Utility

4.50%

TOTAL/ AVERAGE

4.45%

Rotational Risk-Adjusted portfolio:

Below are the results based on back-tested numbers for one of such strategies. This portfolio would rotate between S&P 500 fund and the Treasury/bond funds. When the market is relatively strong and less volatile, the more funds get invested in the market. However, when the market starts declining and gets more volatile, more of the funds get switched to treasuries and bonds. In the example below, we are using “reverse volatility” to adjust allocation to the S&P 500 and Treasuries. Higher the volatility, we will allocate less to stocks and more to Treasuries and so on. Such a portfolio would generally underperform the broader market slightly during strong bull markets, but protect the capital during major corrections or recessions. You could observe this in the performance chart and the smooth curve for the Rotational model portfolio over a period of 26 years, in comparison to the zig-ag movements for the S&P 500. There can be many such strategies or variations that could be adopted, and we have written many articles on such strategies.

Author’s Note: The above Risk-Adjusted Rotation portfolio is part of FFI’s Marketplace service “High Income DIY Portfolios.”

Table 8: Investment returns and chart for Rotational portfolio and comparison with the S&P 500

Year

Rotation Model Return

S&P 500 Return

Rotation Model Balance

S&P 500 Balance

Begin-1994

100,000

100,000

1994

1.48%

1.18%

$101,480

$101,180

1995

37.36%

37.45%

$139,393

$139,072

1996

16.16%

22.88%

$161,919

$170,892

1997

24.35%

33.19%

$201,346

$227,610

1998

19.04%

28.62%

$239,682

$292,753

1999

6.10%

21.07%

$254,303

$354,436

2000

2.53%

-9.06%

$260,737

$322,324

2001

-6.03%

-12.02%

$245,014

$283,580

2002

-2.31%

-22.15%

$239,355

$220,767

2003

16.34%

28.50%

$278,465

$283,686

2004

7.02%

10.74%

$298,013

$314,154

2005

3.64%

4.77%

$308,861

$329,139

2006

16.57%

15.64%

$360,039

$380,616

2007

6.38%

5.39%

$383,010

$401,132

2008

0.31%

-37.02%

$384,197

$252,633

2009

2.35%

26.49%

$393,226

$319,555

2010

13.10%

14.91%

$444,738

$367,201

2011

18.74%

1.97%

$528,082

$374,435

2012

18.01%

15.82%

$623,190

$433,670

2013

19.55%

32.18%

$745,024

$573,225

2014

12.77%

13.51%

$840,163

$650,668

2015

-1.15%

1.25%

$830,501

$658,801

2016

14.66%

11.82%

$952,253

$736,672

2017

21.67%

21.67%

$1,158,606

$896,308

2018

4.93%

-4.52%

$1,215,725

$855,795

2019

11.18%

27.50%

$1,351,643

$1,091,139

Conclusion

The purpose of this article and the retirement planning exercise is two fold. First, it demonstrates the importance of planning for retirement and implementing it at an early age. In fact, sooner you start, the better, it would be. If you are already 50 years or older, it becomes even more important to run your numbers and consider various options to see how you can reach your goals in a realistic manner. It's always prudent to start saving from an early age, but as John and Lisa’s example shows, it's never too late. Even if you have modest savings by the time you turn 50, there's still ample time to make a plan, ramp up the savings/contributions to retirement accounts, and compound the savings. However, more you delay it, the harder will be the choices.

The second purpose was to provide examples on how to invest wisely in kinds of portfolios that will not only provide decent long-term investment returns (in the range of 9-10% annualized returns) but also provide lower volatility and capital preservation.



High Income DIY Portfolios:
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This article was written by

High-income, lower-risk portfolios suited for income-seeking investors.

I am an individual investor, an SA Author/Contributor, and manage the “High Income DIY (HIDIY)” SA-Marketplace service. However, I am not a Financial Advisor. I have been investing for the last 25 years and consider myself an experienced investor. I share my experiences on SA by way of writing three or four articles a month as well as my portfolio strategies. You could also visit my website “FinanciallyFreeInvestor.com” for additional information.

I focus on investing in dividend-growing stocks with a long-term horizon. In addition to a DGI portfolio, I manage and invest in a few high-income portfolios as well as some Risk-adjusted Rotation Strategies. I believe "Passive Income" is what makes you 'Financially Free.' My personal goal is to generate at least 60-65% of my retirement income from dividends and the rest from other sources like real estate etc.

My current "long-term" long positions (DGI-dividend-paying) include ABT, ABBV, CI, JNJ, PFE, NVS, NVO, AZN, UNH, CL, CLX, UL, NSRGY, PG, KHC, TSN, ADM, MO, PM, BUD, KO, PEP, EXC, D, DEA, DEO, ENB, MCD, BAC, PRU, UPS, WMT, WBA, CVS, LOW, AAPL, IBM, CSCO, MSFT, INTC, T, VZ, VOD, CVX, XOM, VLO, ABB, ITW, MMM, LMT, LYB, RIO, O, NNN, WPC, TLT.

My High-Income CEF/BDC/REIT positions include:

ARCC, ARDC, GBDC, NRZ, AWF, CHI, DNP, EVT, FFC, GOF, HQH, HTA, IIF, IFN, HYB, JPC, JPS, JRI, LGI, KYN, MAIN, NBB, NLY, OHI, PDI, PCM, PTY, RFI, RNP, RQI, STAG, STK, USA, UTF, UTG, BST, CET, VTR.

In addition to my long-term positions, I use several "Rotational" risk-adjusted portfolios, where positions are traded/rotated on a monthly basis. Besides, at times, I use "Options" to generate income. I am also invested in a small growth-oriented Fin/Tech portfolio (NFLX, PYPL, GOOGL, AAPL, JPM, AMGN, BMY, MSFT, TSLA, MA, V, FB, AMZN, BABA, SQ, ARKK). From time to time, I may also own other stocks for trading purposes, which I do not consider long-term (currently own AVB, MAA, BX, BXMT, CPT, MPW, DAL, DWX, FAGIX, SBUX, RWX, ALC). I may use some experimental portfolios or mimic some portfolios (10-Bagger and Deep Value) from my HIDIY Marketplace service, which are not part of my long-term holdings. Thank you for reading.




Disclosure: I am/we are long ABT, ABBV, JNJ, PFE, NVS, NVO, UNH, CL, CLX, GIS, UL, NSRGY, PG, KHC, ADM, MO, PM, BUD, KO, PEP, D, DEA, DEO, ENB, MCD, BAC, PRU, UPS, WMT, WBA, CVS, LOW, AAPL, IBM, CSCO, MSFT, INTC, T, VZ, VOD, CVX, XOM, VLO, ABB, ITW, MMM, LMT, LYB, ARCC, AWF, CHI, DNP, EVT, FFC, GOF, HCP, HQH, HTA, IIF, JPC, JPS, JRI, KYN, MAIN, NBB, NLY, NNN, O, OHI, PCI, PDI, PFF, RFI, RNP, STAG, STK, UTF, VTR, WPC, TLT. 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.

Additional disclosure: Disclaimer: The information presented in this article is for informational purposes only and in no way should be construed as financial advice or recommendation to buy or sell any stock. Please always do further research and do your own due diligence before making any investments. Every effort has been made to present the data/information accurately; however, the author does not claim 100% accuracy. Any stock portfolio or strategy presented here is only for demonstration purposes.

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