The Dividend and Income Plus portfolio attempts to provide investors with stable value while seeking a target yield of 8%. We attempt to buy high-yielding securities that our research suggests have the financial ability to maintain and possibly raise dividends. We keep as much as 20% of the portfolio liquid for hedging purposes to maintain principal.
We strive to provide stable value while potentially generating a high yield. We typically invest 80% in domestic securities (U.S. stocks, preferred stocks, ETFs, also know as Exchange Traded Funds), and 20% in cash or a U.S. Index fund ETFs for principal stability. Our goal is to manage downside risk, reduce volatility, and sustain capital appreciation. We invest in dividend stocks in an effort to protect investments and reinvests dividends to avoid share erosion through ill-timed distributions at market lows.
We conduct fundamental research using financial statements and other publicly available information. We first performs a top-down overview to assess future dividend prospects and employ award-winning proprietary technical analysis to determine a long, short, or neutral position. We attempt to maximize the effectiveness of hedges by identifying the most appropriate sector based on correlation to the overall portfolio.
The portfolio typically holds a minimum of 10 income-producing securities, plus one or two additional market long or short positions. Holdings tend to increase as individual securities are added and decrease as more ETFs are selected.
We emphasize income generation rather than market return, including low priced securities with stable dividends, and reevaluate those that reduce or suspend dividends. We attempt to hedge against market losses by purchasing short or leveraged-short ETFs in the sector, making it possible to collect dividends while potentially minimizing or reversing portfolio risk.
Past performance is no guarantee of future results.
Performance of the Portfolio Manager's account is calculated by Covestor on a daily time-weighted basis, including cash, dividends and earnings distributions and broker commissions. Manager returns include trades and positions that fail Covestor's trading rules, as a result, actual client returns will differ. Covestor advisory fees are simulated and applied retro-actively to present the portfolio return "net-of-fees".
Average client returns are calculated by Covestor and are composed of the asset-weighted average returns of all active client investments (some of which may contain investment restrictions) to the underlying portfolio. These daily average returns are then linked together for the timeframe presented. These returns include cash, dividends, earnings distributions, brokerage commissions and Covestor advisory fees.
All graph data is as of the end of day for the referenced period, unless otherwise specified. The investment minimum is the minimum investment required to follow a particular portfolio. The minimum amount is determined by Covestor, based on the characteristics of the underlying portfolio. It should not be considered as specific investment advice for your investment situation.
The performance charts are provided for informational purposes only, and should not be used as the basis for making an investment decision. Variables such as corporate actions or foreign exchange may affect daily performance displays. We rely on mathematical formulas, computer programs, and pricing information from third-party vendors to provide these returns. Neither Covestor nor any of its data or content providers shall be liable for any errors in this information or any actions taken by you in reliance upon this information.
Benchmark returns have been calculated by Covestor using a time-weighted calculation of daily index valuations. Benchmarks presented are total return and therefore inclusive of cash, dividends and earnings distributions but not transaction costs.
Leverage indicates the level of margin utilized and is calculated by dividing gross exposure by portfolio net liquidation value.
All Portfolio Manager information including personal data, profiles, strategies, monthly investment reports, and historical results outside of Covestor has been provided by the Portfolio Manager. Covestor makes no representation or warranty of its accuracy, completeness or relevance and it does not represent the opinions of Covestor. Transaction history is available upon request. Portfolio classifications are provided by Covestor, and are intended to serve as a general guide.
Not all transactions listed will appear in your account due to Covestor's trading rules and individual client constraints. Eligibility of these securities is monitored periodically, and may change over time. Actual client investment holdings may vary.
Index returns do not reflect any management fees, transaction costs or expenses. Individuals cannot invest directly in an Index.