14 High-Yield Blue Chips For A Rich Retirement

Summary

• The market is 30% overvalued, and September is historically a time when many corrections begin. Fortunately, there are plenty of high-yield/low volatility blue chips to choose from.
• Today CL, ED, K, NVS, VZ, HRL, RBGLY, NWN, UGI, BAX, UL, PNW, MO, and MMM are reasonably to attractively valued.
• Together they yield 3.6% and are expected to deliver 9.3% CAGR long-term returns with far less volatility than the S&P 500.
• MMM, MO, ED, VZ, and NVS combine into a 5 sector balanced portfolio that yields 4.5% and is expected to deliver 10.4% CAGR market-beating returns, just as it has for the last 24 years.
• Combining this 5 sector portfolio with 10% cash and 10% bonds creates a 3.5% yielding high-yield/super low volatility Ultra SWAN retirement portfolio that's expected to generate 8.5% CAGR long-term returns, 2% more than a 60/40 portfolio. Over the decades that difference can amount to millions of dollars and generate the rich retirement of your dreams.
• This idea was discussed in more depth with members of my private investing community, The Dividend Kings. Learn More »

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Analyst’s Disclosure:I/we have a beneficial long position in the shares of ED, NVS, UGI, BAX, MO, MMM either through stock ownership, options, or other derivatives. 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.

Dividend Kings owns ED, NVS, UGI, BAX, MO, and MMM in our portfolios.