No. of Recommendations: 1
If no dividend and we have another bad market downturn (think economic collapse in 2007 and the pandemic) I will feel really bad for the individuals that bought into the "create your own dividend" strategy. Studies & backtests have repeatedly shown that this is not the case.
The testfol.io link I posted earlier showed this.
Was that on this board or another board? I don't remember.
So, anyway, here is a new backtest. 4% "DIY dividend" quarterly, adjusted for inflation.
https://testfol.io/?s=b10hGQKc7NK (click "Logarithmic scale" on the chart)
SPY, BRK-B, GAM (who??), all beat KMI. Ditto for 5% dividend ($125/qtr).
Can't show the 2008/2009 crash since KMI doesn't go back that far. But for the covid crash starting 2/20/2020 the DIY dividends of those three also beat KMI.
https://testfol.io/?s=4yr3Zcds6wJGotta go, grandkids are ready for Christmas Eve.
