Retirees: Here's Why HDV Makes More Sense Than JEPI for Your Income Portfolio
The JPMorgan Equity Premium Income ETF (JEPI) is a prime example of why investors shouldn't get seduced by a high yield.
Retirees: Here's Why HDV Makes More Sense Than JEPI for Your Income Portfolio
Overview
In 2022, the JPMorgan Equity Premium Income ETF (NYSEMKT: JEPI) consistently yielded well over 10% and paid multiple monthly per-share distributions of $0.50 to $0.60. In June 2026, the distribution was around $0.39 per share, and the current yield is at 8.3%. That's what can happen when a yield is based on volatility rather than corporate performance, as the market begins to calm.
If you're in retirement, predictability is more important. If volatility spikes, the portfolio's value is likely to be affected. You want your income backed by high-quality dividend-paying companies that can deliver consistent returns over time.
That's why the iShares Core High Dividend ETF (NYSEMKT: HDV) is the better choice for retirement income.
Details
Source
Originally published at www.fool.com.
