Growing retirement income with the Rising Income Retirement Portfolio
Unprecedented for us, we are publishing the latest instalment of Douglas Moffitt’s Rising Income Retirement Portfolio before the usual 4 week embargo. After a year of minimal maintenance it shows not just growth, but record income growth. Click here to read more….
The Rising Income Retirement portfolio – or RIRP – is a concept created by Douglas Moffitt to provide growing retirement income using his 40 plus years of investing experience. It has one objective – to provide a growing retirement income that continues to beat inflation; a simple approach that should be ideal for most retired people.
The straightforward principles of RIRP are easy to understand and follow, allowing investors with all levels of experience seeking pension income to participate.
And for many this can be self managed, thereby taking away the costs of advisers, and removing much of the cost associated with retirement income.
As income is the number one consideration, capital growth is disregarded, much as capital was used to buy annuities. With RIRP though, you still own the shares, regardless of what their value is. With that in mind, the capital values may well and should be expected to decrease.
It has never claimed to be fool proof. But despite a few of the carefully considered dividend stocks under-performing, income has and continues to exceed expectation, and at the same time the capital value has also increased significantly.
The original rules for the Rising Income Retirement Portfolio required that £100,000 be invested in a maximum of 20 stocks, or a pro-rata balance, and bought over the course of about one year in £1,000 tranches employing the principle of pound/cost averaging.
Only shares with a decent starting yield are considered, and they must have good prospects for dividend growth.
That means that some may occasionally be sold off and replaced should they under perform or a much better candidate emerge.
Income for Life
RIRP was created to provide Douglas with an income for life. He maintains it and reports progress and changes in The IRS Report, a monthly newsletter dedicated to providing a diverse range of actionable investing opinions.
In 2015 he revealed a revised version of the same concept, but fully invested in a much shorter timeframe. The idea was to show how investors releasing their pension funds under the new pension freedom rules may be able to start generating retirement income very quickly. He called it the Income for Life portfolio. This is also managed and reported within The IRS Report.
Anyone can create their own or replicate the portfolios Doug developed. All of Doug’s previous pension income articles are available to read here at RIRP.co.uk. New articles published in The IRS Report will be made available after a delay of a few weeks. To follow Doug’s current articles you will need to subscribe to The IRS Report.
You can only follow Douglas Moffitt’s Rising Income retirement portfolio in The IRS Report
You can trial The IRS Report for free; No credit cards, no direct debits to worry about cancelling, just an honest 3 month trial where you’ll only be invited to subscribe by post.