3 High-Yield ETFs You Could Retire With

"The JPMorgan Equity Premium Income ETF (JEPI) has an interesting strategy that differs from other ETFs. It invests in large-cap U.S. businesses within the S&P 500. But it also writes call options against its holdings to generate more income and offer investors more upside. Funds that issue covered calls get to collect a premium for them, which generates ongoing revenue. That's income that can be shared with investors."

"Generally speaking, dividend ETFs can be a good choice for retirees because of the income they tend to generate. But the SPDR Portfolio S&P 500 High Dividend ETF (SPYD) employs a strategy that makes it a good pick. SPYD focuses specifically on the top-yielding stocks within the S&P 500 index. The fund has a heavy concentration on financials, utilities, and real estate, which means it's a bit less diverse than a broad income ETF."

Social Security payments often fall short of covering full retirement expenses, with the average retired worker receiving about $2,000 monthly. Higher earners may receive larger benefits, but outside income is frequently necessary for comfortable retirement. High-yield ETFs can provide steady supplemental income. The JPMorgan Equity Premium Income ETF (JEPI) invests in large-cap U.S. companies and writes covered call options to generate premiums and ongoing revenue, producing distributable income while carrying a higher expense ratio as an actively managed fund. The SPDR Portfolio S&P 500 High Dividend ETF (SPYD) targets top-yielding S&P 500 stocks and concentrates in financials, utilities, and real estate, reducing diversification.

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