"When you retire, a significant shift in your investing strategy is necessary. Your aim shifts from capital accumulation to preservation, meaning you no longer take considerable risks. Instead, you try to keep as much as you have while making the most income out of it . Sensible retirement investing will get you fair gains that keep you ahead of inflation."
"It invests at least 80% of its assets into dividend stocks and uses a covered call writing strategy. DIVO takes stocks from the S&P 500 index and overlays them with covered calls. This is much more stable compared to ETFs that almost exclusively rely on premiums for income. You get more exposure to equity upside with a lower beta (volatility) than the broader market. A beta of 1 means an asset is just as volatile as the broader market. DIVO has a 0.72 beta."
Retirement requires shifting focus from capital accumulation to preserving assets while generating steady income that keeps pace with inflation. Recent strong market gains increase the risk of significant corrections, so retirees should emphasize safety and income stability. Dividend exchange-traded funds can provide consistent payouts even amid broader market weakness. Amplify CWP Enhanced Dividend Income ETF (DIVO) combines dividend-stock exposure with covered-call overlays, targets at least 80% dividend stocks, exhibits a lower beta of 0.72, offers a 4.51% trailing 12-month yield with monthly payments, and carries a 0.56% expense ratio.
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