Three income strategies for patient investors
- Income-generating strategies can help investors to diversify their portfolios in times of stress
- Dividend strategies perform relatively well when inflation rates is higher
- Dividends and buybacks accounted for 44% of the S&P 500 returns since 2011
- Not all high dividend strategies are created equal: introducing a quality filter in index construction helps to avoid potential value traps
- Invest in income and dividend strategies via dedicated funds and ETFs, in corporate bonds and stocks in different regions.