Last Update: 31 October 2024
The Charles Schwab Conservative Income Portfolio granted a 3.92% dividend yield in 2023.
It's a Low Risk portfolio and it can be implemented with 6 ETFs.
Portfolio Dividend Yield
The Dividend Yield of Charles Schwab Conservative Income Portfolio is the result of the following asset allocation:
| 2024(*) | 2023 | ||
|---|---|---|---|
| Charles Schwab Conservative Income Portfolio | 2.94% | 3.92% | |
| Weight | Components | Dividend Yield (%) | |
| 5.00% | VNQ - Vanguard Real Estate | 2.74% | 4.30% |
| 40.00% | BND - Vanguard Total Bond Market | 2.68% | 3.20% |
| 25.00% | BIL - SPDR Blmbg Barclays 1-3 Mth T-Bill | 3.83% | 5.03% |
| 18.00% | TIP - iShares TIPS Bond | 2.07% | 2.79% |
| 7.00% | HYG - iShares iBoxx $ High Yield Corporate Bond | 4.50% | 6.20% |
| 5.00% | BNDX - Vanguard Total International Bond | 1.68% | 4.66% |
Capital Growth and Dividends
In the following table, Capital Growth details (with and without dividend reinvestment) are represented.
If you are not interested in a periodic income and you need a strategy with a dividend reinvestment, please refer to the Charles Schwab Conservative Income Portfolio: ETF allocation and returns page.
| Year |
Dividend
|
Cumulative Dividend Cashflow |
Portfolio Value |
EOY Capital
|
||
|---|---|---|---|---|---|---|
| Amount | Yield |
Effective Ptf + Cashflow |
Total Return Div. reinvestment |
|||
| 1000.00 | ||||||
| 2013 | 19.55 | 1.96% | 19.55 | 961.31 | 980.86 | 980.86 |
| 2014 | 21.32 | 2.17% | 40.87 | 988.92 | 1029.79 | 1030.36 |
| 2015 | 17.90 | 1.74% | 58.77 | 968.81 | 1027.58 | 1027.30 |
| 2016 | 21.24 | 2.07% | 80.01 | 982.49 | 1062.50 | 1063.04 |
| 2017 | 24.35 | 2.29% | 104.35 | 988.63 | 1092.98 | 1094.03 |
| 2018 | 29.93 | 2.74% | 134.28 | 959.90 | 1094.18 | 1092.17 |
| 2019 | 30.56 | 2.80% | 164.84 | 1013.36 | 1178.20 | 1183.55 |
| 2020 | 22.57 | 1.91% | 187.41 | 1049.24 | 1236.65 | 1248.03 |
| 2021 | 28.17 | 2.26% | 215.58 | 1051.01 | 1266.59 | 1278.30 |
| 2022 | 36.05 | 2.82% | 251.63 | 916.56 | 1168.19 | 1150.83 |
| 2023 | 45.13 | 3.92% | 296.76 | 933.66 | 1230.42 | 1217.42 |
| Oct 2024(*) | 35.77 | 2.94% | 332.54 | 939.30 | 1271.84 | 1260.55 |
| (*) Dividend Yield is calculated only for a portion of the year | WITHOUT dividend reinvestment |
WITH dividend reinvestment |
||||
Column meaning:
- Dividend -> Amount: Income returned over the year (or portion of the year)
- Dividend -> Yield: Dividend Yield calculated on the starting price of the year
- Cumulative Dividend Cashflow: Sum of all the dividends received
- Portfolio Value: Investment Value, excluding dividends, at the end of year
- EOY Capital -> Effective: Investment Value plus cumulative dividends
- EOY Capital -> Total Return: Investment Value, with dividend reinvestment
Which are the global returns of the last periods? In the following table, the Effective Return considers the received (and not reinvested) dividends. Total Return is calculated assuming dividend reinvestment.
| Period | Portfolio Return |
Effective Return |
Total Return |
|---|---|---|---|
| Jan 2023 - Oct 2024 | +2.48% | +8.87% | +9.53% |
| Jan 2021 - Oct 2024 | -10.48% | +2.85% | +1.00% |
| Jan 2019 - Oct 2024 | -2.15% | +16.24% | +15.42% |
| Jan 2017 - Oct 2024 | -4.40% | +19.70% | +18.58% |
| Jan 2014 - Oct 2024 | -2.29% | +29.67% | +28.51% |
| WITHOUT dividend reinvestment |
WITH dividend reinvestment |
Yearly Returns and Dividend Yield
Dividends are essential for the investor who needs additional periodic income. When dividends are not reinvested, how much is the real portfolio return over the years?
| Year | Total Return | Dividend Yield | Return Without Dividends |
|---|---|---|---|
| 2013 | -1.91% | 1.96% | -3.87% |
| 2014 | +5.05% | 2.17% | +2.87% |
| 2015 | -0.30% | 1.74% | -2.03% |
| 2016 | +3.48% | 2.07% | +1.41% |
| 2017 | +2.91% | 2.29% | +0.62% |
| 2018 | -0.17% | 2.74% | -2.91% |
| 2019 | +8.37% | 2.80% | +5.57% |
| 2020 | +5.45% | 1.91% | +3.54% |
| 2021 | +2.43% | 2.26% | +0.17% |
| 2022 | -9.97% | 2.82% | -12.79% |
| 2023 | +5.79% | 3.92% | +1.87% |
| Oct 2024(*) | +3.54% | 2.94% | +0.60% |
Actual Dividend Yield for long term investors
What would have been the annual Dividend Yield received by investors if they had implemented the Charles Schwab Conservative Income Portfolio allocation over the past years?
E.g. If you had implemented it 3 years ago, how much would be your actual dividend yield today?
| Starting Period of the Investment |
Actual Dividend Yield over years | ||||||
|---|---|---|---|---|---|---|---|
| 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024(*) | |
| Jan 2013 | 2.99% | 3.06% | 2.26% | 2.82% | 3.61% | 4.51% | 3.58% |
| Jan 2014 | 3.05% | 3.12% | 2.30% | 2.87% | 3.68% | 4.60% | 3.65% |
| Jan 2015 | 2.90% | 2.97% | 2.19% | 2.73% | 3.50% | 4.38% | 3.47% |
| Jan 2016 | 2.91% | 2.97% | 2.20% | 2.74% | 3.51% | 4.39% | 3.48% |
| Jan 2017 | 2.82% | 2.87% | 2.12% | 2.65% | 3.39% | 4.25% | 3.36% |
| Jan 2018 | 2.74% | 2.79% | 2.06% | 2.57% | 3.30% | 4.13% | 3.27% |
| Jan 2019 | 2.80% | 2.07% | 2.58% | 3.30% | 4.13% | 3.28% | |
| Jan 2020 | 1.91% | 2.38% | 3.05% | 3.81% | 3.02% | ||
| Jan 2021 | 2.26% | 2.89% | 3.62% | 2.87% | |||
| Jan 2022 | 2.82% | 3.53% | 2.80% | ||||
| Jan 2023 | 3.92% | 3.11% | |||||
Collecting dividends is useful to obtain an additional income. Obtaining a large amount of income is the first step to financial freedom. However, if your need is to increase your capital as much as possible with dividend reinvestment, please refer to the Charles Schwab Conservative Income Portfolio: ETF allocation and returns page.
