Dad With 'Mini Portfolio' And $1M Investment Plan Wants Son 'Living Off Of Dividend Income Comfortably' – Reddit Debates Best Stocks To Buy

The tendency to interruption specified a generational curse is powerful, but truthful is the fearfulness of making the incorrect move, since a atrocious concern could derail years of cautious planning. This is precisely what a Reddit idiosyncratic is faced with now.

The investor, a dada of a 2-year-old, has asked for proposal connected gathering a $1 cardinal portfolio for his lad with the extremity of having him unrecorded comfortably disconnected dividend income by property 34. The poster is determined to acceptable his lad up for fiscal freedom, truthful he’s already started a “mini portfolio” with a combo of dividend-oriented ETFs and speculative stocks: Schwab U.S. Dividend Equity ETF (NYSE:SCHD), Astra Space (NASDAQ:ASTR), Virgin Galactic Holdings (NYSE:SPCE), and Vornado Realty Trust (NYSE:VNO).

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“We are looking for blueprints oregon instructions connected due investing for our children. How to make wealthiness is much important than wealthiness itself. We truly would similar to marque definite helium is financially liable beforehand,” the dada wrote.

His concerns impact picking the close investments to equilibrium maturation and dividends successful the adjacent 30-plus years, avoiding costly mistakes, and ensuring his lad is financially responsible. The responses to the investor’s station were a premix of encouragement and caution, with galore Redditors coming up with suggestions of assets.

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ETFs are Safe for the Long Run

Many commenters suggested idiosyncratic stocks are excessively risky for a 30-year concern horizon, and recommended low-cost ETFs instead.

“Not an adept astatine all, but I’m reasoning harmless ETFs with precocious prime companies. Time volition instrumentality attraction of everything. Thinking simple: SCHD, [SPDR S&P 500 ETF Trust (NYSE: SPY)],” a remark reads.

A Redditor suggested a premix betwixt dividend-focused and tech assets, which supply some maturation and regular payments.

“[Vanguard High Dividend Yield ETF (NYSE: VYM)], [Vanguard Dividend Appreciation ETF (NYSE: VIG)], [Invesco QQQ Trust (NASDAQ: QQQ)]. This is dividend + tech. That’s what I would stake connected for 30 years. Dividend low-fee ETF + immoderate maturation pass of tech. I personally would prime stocks for the QQQ information of the money [(Apple (NASDAQ: AAPL)] + [Microsoft Corporation (NASDAQ: MSFT)] + [Alphabet (NASDAQ: GOOGL, GOOG)] + [Amazon  (NASDAQ: AMZN)]).”