F3nlander wrote:I would appreciate your thoughts and comments on this list which currently gives a trailing yield for the portfolio of 6.2%.
F3nlander, this is a rather experimental post, I have taken the liberty of replacing 9 of these lower yield selections with AEI Abrdn UK Equity Income Trust at yield 6.90%. At 9/15ths weight that increases overall portfolio yield to 7.5%, ie boosts next twelve months forecast income by
+20%.
AEI looks like a sound choice - it has increased its dividend for 22 years, and its dividend growth and cover figures through the Covid pandemic have been impressive, see:
https://www.hl.co.uk/shares/shares-sear ... /dividendsNow one may not want to hold such a weighting, but I think it raises an interesting debate: that the
de facto meaning of "high yield" in the HYP saloon is higher than practitioners may think. It is after all difficult to ignore the likes of AEI when undertaking the serious business of building a retirement income, isn't it? I'd say doubly so once one starts trawling through IAAGs tables.
EPIC | Name | Yield | Rank (#) | Mkt Cap (£M) | My Comment
MNG | M&G | 9.71% | 78 | 4,766 | Agreed
PHNX | Phoenix Holdings | 9.18% | 75 | 5,537 | Agreed
BATS | British American Tobacco | 8.71% | 8 | 59,263 | Agreed
SEQI | Sequoia Economic Infra | 8.33% | 206 | 1,380 | Mkt Cap Too Small
CBG | Close Brothers | 7.03% | 200 | 1,423 | Mkt Cap Too Small
PHP | Primary Health Properties | 6.78% | 213 | 1,311 | Mkt Cap Too Small
RIO | Rio Tinto | 7.92% | 7 | 64,300 | Agreed
NG. | National Grid Transco | 5.26% | 14 | 38,769 | Agreed
SSE | SSE | 5.38% | 29 | 19,599 | Agreed
MONY | MoneySupermarket | 4.24% | 191 | 1,482 | Mkt Cap Too Small
TEP | Telecom Plus | 4.73% | 211 | 1,345 | Mkt Cap Too Small
MNDI | Mondi | 4.73% | 68 | 6,319 | Agreed
TSCO | Tesco | 4.19% | 31 | 18,664 | Higher Yield - 4.60% - available from Sainsbury (SBRY)
GAW | Games Workshop | 2.86% | 105 | 3,746 | Yield Too Low
DCC | DCC | 4.05% | 85 | 4,561 | Higher Yields Available
AEI | Abrdn Equity Income | 6.90% |