When 2 guys originally from New Jersey get together, you never know what’s going to happen. Fortunately, in Rob Isbitts’ latest appearance on the Money Life Show with Chuck Jaffe the topic was one that dives deeper into the process behind Rob’s Yield at a Reasonable Price (YARP) approach to dividend investing.
YARP dividend investing: distinguishing features
Focuses on a limited number of high-quality stocks
Rotates among those stocks as frequently as needed to try to capture as much dividend income and total return as possible each quarter
Supplements the stock portfolio with 2 types of options positions:
Put options for “tail risk” protection, to continue earning dividends in rough markets, while aiming to reduce or eliminate bear market losses
Call options for “return enhancement,” particularly at times of the market cycle that favor high-growth stocks over high-yield stocks
The only investment process that uses Rob’s trademark-pending Yield at a Reasonable Price (YARP) statistic, an innovative equity valuation factor, and the driver of Sungarden’s proprietary stock rating system, developed over Rob Isbitts’ 30+ years of investment management experience.
YARP: a different way to approach a familiar problem
Investors in and approaching retirement naturally gravitate toward dividend-paying stocks, which provide predictable income. However, dividend stocks are still stocks, and higher rates on US Treasury Bills call attention to the potential 50%+ declines we’ve already seen in the S&P 500 twice this century. YARP was designed by Rob Isbitts when he was managing “other people’s money” as a fiduciary advisor.
Now, his family is “the client” and he invites subscribers to follow his own trades and learn from his more than 120,000 hours of investing experience. YARP and the investment management method around it are central to how Rob, a former fund manager and current active contributor to Seeking Alpha and etf.com, manages his own own portfolio in semi-retirement.
It is a key driver of the new Sungarden Institutional service which is a subscription-based service for high net worth investors tired of overpaying advisors when they don’t add value, or who are self-directed investors in search of a tenured investment process with clear explanations and full transparency.
For more information, visit www.SungardenInvestment.com or contact Rob Isbitts at info@sungardeninvestment.com.
Rob Isbitts talks YARP™ dividend investing on the Money Life Show with Chuck Jaffe