Analyst Q&A: Intelligent Investor Equity Income Portfolio
Income isn’t a theme or trend, it’s a necessity.
When you speak to SMSF investors about selling stocks and taking profit, instead of solely relying on dividends to fund their lifestyle, you can see the expression change on their face. Eating into capital is a proposition best left alone, even though most managers will preach total return.
Not wanting to eat into capital is one thing, but forsaking growth altogether should not be on the agenda for investors in pension mode.
Taking your income and growing your capital base should be the goal of all SMSFs in pension mode. The Intelligent Investor Equity Income portfolio has a current estimated annual yield of 4.32 per cent before franking credits, but it also has an All Ordinaries Accumulation Index outperformance as well.
Wrapping this portfolio up in a Separately Managed Account provides investors with multiple options when it comes to taking that income. You can set up your own regular withdrawal plan, make ad hoc payments as and when you need to, or set up a monthly withdrawal of all income (dividends and interest) received by the portfolio. Or a combination of all three.
Join InvestSMART's Head of Portfolio Services and Analyst, Mitchell Sneddon, Head of Research, James Carlisle, and Deputy Head of Research, Gaurav Sodhi, for a live Q&A on the Intelligent Investor Equity Income Portfolio.
- Find out how the team construct the portfolio
- Unconventional income stocks & why they’re in the portfolio
- Latest income stock ideas
- How we think about taking returns to pay for living expenses
- Plus your questions answered
2pm (AEST) Wednesday, 10th May.