Can You Really Retire on High Dividend Paying ETFs? |What Investors Get Wrong on Premium Selling High Dividend ETFs and Income | Are Assets More Correlated Today? | Index Weighting Concentration Over the Years

Derek Moore and Shane Skinner get into how investors are looking at high dividend ETFs the wrong way as total return vs distribution yield is what matters. Plus, how to think about how much in dividends you can take out knowing its total return that drives the probability of assets lasting during distribution phase. Later, they look at correlations between different asset classes over the years and ask whether today they are way more positively correlated. They then delve into concentration today in stock indexes vs prior periods. You might be surprised by who were the highest waited stocks throughout the years. 

 

Dividend Yield vs Total Return

Implied volatility in the options for Opendoor

Sequence of return risks during withdrawals

Tradeoff between premium selling and upside capture

Ordinary income vs capital gains and losses

Can investors really live off dividends?

Understanding the risks of concentration in asset deployment

Cross asset correlation

Comparing correlations over different periods in history

Have stocks and bonds become more correlated?

Nvidia and Microsoft are the highest 2 stock concentration in the Dow Jones Index?

Surprising companies that have been the highest weighted in the Nasdaq and S&P 500 Indexes

 

Mentioned in this Episode

 

Derek Moore’s book Broken Pie Chart https://amzn.to/3S8ADNT

 

Jay Pestrichelli’s book Buy and Hedge https://amzn.to/3jQYgMt

 

Derek’s book on public speaking Effortless Public Speaking https://amzn.to/3hL1Mag

 

Contact Derek [e-mail]