Why My 3 Worst Picks Beat The S&P 500 In Retirement

Rida Morwa Investing Group Leader Follow Summary Internet total return charts assume 100% reinvestment and zero withdrawals, a luxury working investors have that retirees living off their savings do not. The "D-List" Stress Test: A look at three individually underperforming picks that absorbed multiple dividend cuts, suspensions, and a +50% drop in share prices for two of the three holdings. When you start assuming withdrawals, even "bad" income picks outperform a portfolio forced to sell at low prices. Never rely on "selling the furniture to pay the rent"; anchor your retirement with cash flow so you never have to sell shares at a market bottom. Looking for more investing ideas like this one? Get them exclusively at High Dividend Opportunities. Learn More » iunewind/iStock via Getty Images Co-authored with Beyond Saving Investors on the Internet love to talk about "total returns," they like to inform me that total returns are the "only" thing that matters and that if a pick has not beaten the S&P 500 in total returns, then it doesn't This article was written by Rida Morwa 127.07K Followers Follow Rida Morwa is a former investment and commercial Banker, with over 35 years of experience. He has been advising individual and institutional clients on high-yield investment strategies since 1991. Rida Morwa leads the Investing Group High Dividend Opportunities where he teams up with some of Seeking Alpha's top income investing analysts. The service focuses on sustainable income through a variety of high yield investments with a targeted safe +9% yield. Features include: model portfolio with buy/sell alerts, preferred and baby bond portfolios for more conservative investors, vibrant and active chat with access to the service’s leaders, dividend and portfolio trackers, and regular market updates. The service philosophy focuses on community, education, and the belief that nobody should invest alone. Learn More. Analyst’s Disclosure: I/we have a beneficial long position in the shares of NLY, EPR, MPT, O either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Beyond Saving, Philip Mause, and Hidden Opportunities all are supporting contributors for High Dividend Opportunities. Any recommendation posted in this article is not indefinite. We closely monitor all of our positions. We issue Buy and Sell alerts on our recommendations, which are exclusive to our members. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.