WELCOME TO YIELD HUNTING'S DATA SHEETS

The "sheets " are designed to help you create your own portfolio of closed-end funds ("CEFs")

We will go through what each tab on the bottom details and how to use the sheets.

Macro Ratings: These are our thoughts on macro asset classes which shape/form the basis of the Core Portfolio. The "x's" with arrows next to them indicate those that moved in the last month

Model of Models: This is our asset allocation framework for your portfolio. This is a target allocation for each bucket to benchmark against.

Core Portfolio: This is the main portfolio of, primarily, fixed income CEFs. The top section is a follow along portfolio that you can copy or pick and choose securities. For investors who just want a managed CEF portfolio, follow this.

Muni Core Portfolio: For those in higher income tax brackets, they may want/need more tax free income. This tab allows you quickly find "buy" rated muni CEFs that have passed our vetting process.

Term Funds: These are the term and target term funds and buy/sell ratings. These tend to be lower risk given their structure.

YH Active Allocation Income Portfolio: This is our new model portfolio that aligns with the model of models asset allocation framework

Top CEF Ideas: Our best ideas for the month. These are divided into both safer options and higher risk options

Individual Corporate Bonds: Updated monthly this is our best ideas at the moment for purchase of individual taxable corp bonds.

Mutual funds: Our top picks in the fixed income mutual funds and ETF space for consideration. Replaces peripheral list for now.

Landlord Investor Preferred Portfolio: YH's contributing author Landlord investor who is a preferred stock expert displays his own portfolio and trades for those that want a model to follow.

Getting Started Links - We highly recommend reading!

Getting Started: An Introduction To Our Portfolios

How To Use the Sheets

Each member is going to use the sheets a bit differently. Some use it for a helping hand in the CEF space while others use it for their financial advisor

We would recommend getting familiar with how to navigate the different tabs and how each tab fits in your portfolio, if at all.

The 35% next to the Core Portfolio is the maxmium threshold we recommend placing into the Core. That is the MAXIMUM not the recommended amount

For more members, we would advocate placing in far less than 35% given the volatility. Especially for those new to CEFs.

Many members use the sheets to create an income portfolio that rounds out more traditional growth portfolios (equities)

Filing Your Buckets

The way we build portfolios - which is not to say you have to do it this way- is to designate a certain percentage to each bucket. Each member will have a different proportion in each bucket.

Bucket 1: Safer bucket. This is where you would have cash and other short-term investments designed to have less risk. This can be used to meet your spending needs in retirement or for dry powder.

Bucket 2: Core Portfolio: This is your income producer. We want a MAXIMUM of 35% of total liquid assets in this bucket, and preferably less.

Bucket 3: Peripheral: This is the rest of your income production. It can come from more CEFs, open-end mutual funds, exchange-traded funds, individual bonds and/or preferred stock

Bucket 4: Growth Bucket: This can be your long-term capital compounding through growth equities. Even retired folks should have something in this bucket even if it small to growth capital over time.

Start with the Core Portfolio.

We want a MAXIMUM of 35% in the Core/CEFs TLA (Total Liquid Assets).

Use the ratings in column F of the Core tab to know when to add those positions.

Build slowly over time. Only if you are in a hurry to begin the income streams and do not care about price you could you go against the ratings

Estimate Your Safe Bucket Size

We like having approximately 10%-15% in the safe bucket. In retirement, you should have AT LEAST one-year's worth of spending in the safe bucket

The less amount of money not correlated with the stock market, the better

If younger than 45 years old, think about piggybacking life insurance

Risk averse investors should have more than 15% here

Round out the Portfolio with the Peripheral Bucket

This will be the bulk of your legwork but once setup will require little maintenance

The Peripheral Portfolio tab has a long list of potential securities to include

Or you can simply hold some of you dividend stocks / mutual funds / ETFs

Keep your allocation to leveraged funds at a maximum of 35% of TLA

We would not add too much in the way of bond CEFs if you are at 35% Core Portfolio

* (unlevered and safe bond CEFs exempted - TSI for example)

Equity CEFs are typically unlevered and can be used in lieu of mutual fund and ETFs for those that know what they are doing

Keeping Tabs of your Portfolio

We would advise investors to calculate their portfolio's beta and leverage. This can be done for free on portfolio visualizer.