No. of Recommendations: 0
Hello, my mother in law recently sold her home, and currently the proceeds of that sale ($500k+) are sitting in various savings accounts. My wife and I are trying to convince her to put that money to work, but all 3 of us distrust "financial advisers" that just try to sell you expensive funds to pad their commission.

She has enough income from SS, 401k, and military survivor benefit to cover her expenses, so income on this principal would be for discretionary expenses. Her priorities are:

1. Preserve principal as much as possible (appreciation of principal is not a high priority)
2. Achieve 3-5% yield annual yield (some yield volatility is acceptable, since she's doesn't need the yield to pay the bills)

I'm not too knowledgeable about income investing, but here's what I came up with just from a few hours of research:

10% in a high yield money market account, ~1% yield
10% XLU-utility ETF, 3.9% div yield,
10% XLP-consumer product ETF, 2.7% div yield
10% DTD-broad dividend ETF, 2.7% div yield
10% DEM-emerging market dividend ETF, 4.0% div yield
10% TDIV-broad dividend ETF, 2.5% div yield
10% DHS-high yield dividend ETF, 3.6% div yield
10% EDV-treasury ETF, 3.4% div yield
10% ITR-corporate bond ETF, 2.9% div yield
10% EAD-junk bond fund, 8.9% div yield

Average yield of this portfolio is about 3.6%. Asset allocation is 10% cash, 60% dividend-paying equities, 30% bonds.

Thoughts? Thanks in advance.
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