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I've been using this strategy for about 11 years now in retirement. Its worked out pretty well, despite some learning bumps along the way.

Following this last credit collapse, I've learned the hard way that diversification is very important to mitigating the effect of a dividend cut or dividend elimination. IMHO, 20 stocks is not enough...I currently hold 52 income securities, 4 of which are ETFs...which I think is a good diversification alternative to individual stocks, although they will cost you a % of the income they produce.

Interesting idea on CD ladder. I can see the value of this with a total return rebalancing income strategy, but why would you need to do this with an income portfolio?

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