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[quote=Anonymous][quote=Anonymous][quote=Anonymous]No one takes the time to study investing, so they have to slave away for decades.  [b]Most people don't know there are stocks yielding 10%+ dividends with minimal risk.[/b]  If you can get a 7% overall withdrawal rate for the rest of your life, which is very doable, you check out at $2M - no one needs more than $140K income in retirement.

But since people are told to buy bonds and other nonsense, they can only safely withdraw 2.5% or 3% of their portfolio and so must slave away until they're 65.[/quote]

Can you list a few?  I'd be interested in investing in them.[/quote]

I don’t want to list the particular names of companies since I’m continuing to buy them, but I’ll point you in the general direction.  BDCs (business development companies), REITs, closed-end funds, and covered call ETFs all have companies paying 8-11% yields.

And they’re not risky (well, many covered call ETFs are risky and I personally don’t buy them). But for example, BDCs lend money to, and invest in, other companies. To get favorable tax treatment, they have to pay out 90% of their earnings. So you get a high dividend (many times 10%+) because they pay out almost all their earnings. The flipside of this is that the stock price doesn’t go up much because they’re paying out all their earnings.

But the companies themselves are not risky – you can look at their portfolio and see that less than one percent of the loans they make are being defaulted on.  (Actually, I just read articles on Seeking Alpha from other people that have done the research.)

Similarly, a closed-end fund focused on utilities can pay you 9%. Utility companies pay out a very large majority of their earnings because they’re not going to have great ways to reinvest profits - they can’t suddenly find a way to make you use five times more electricity. But they’re solid and steady – even in a recession, most people don’t want their lights to be turned off so they continue to pay the bills.

Just two examples there, but it’s a game changer once you realize these types of stocks exist.[/quote]

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