RE: Dividend income from £100,000 in an ISA14 May 2022 19:20
Just quickly read the trail of this £100k investment and £12k dividend income idea. To me its not realistic (try the horses may get that result) Yes no reason why you cant get a 12% return over time, but i think that will rely on sensible dividend reinvestment and taking/reinvesting capital gains from trading
If you want £12k now that is going to have to rise substantially to keep pace with inflation
I run two portfolios, similar investments in each over time, each have about twenty differing holdings. One is UK listed shares only and the other is UK investment trust (no Funds)
The equities has grown quicker in capital value (including reinvested dividends) and pay about 7% on invested capital The IT pay even better but the capital gain increase is slightly less as i dont trade for capital gains very often
The fall in equities value can be quit dramatic in line with the FTSE The IT variations is much less
If i was to start again i think i may load more into IT but that needs time. You could look at the likes of MYI. HHI, HFEL, as they get you some world coverage. There are some big payers on the money markets like NCYF, RECI, SMIF, SERE
Most of my poor buys have be when when the FTSE has passed 7300 mark, As earlier advisors said take your time , buy on low points , preferably ex divi to avoid the red figures on your spread sheets
Good luck