The NY Fed estimates a 68% recession probability within the next 12 months, the highest risk in 42 years.
Dividend aristocrats can provide a relatively safe investment option during a recession, with a history of raising dividends through economic downturns and much lower volatility.
A diversified high-yield portfolio of dividend aristocrats can offer market-like returns with lower volatility and higher yield.
These 10 high-yield aristocrats offer very safe yields, as proven by a 42-year dividend growth streak, BBB+ credit rating, and S&P 62nd percentile risk management.
Together with two hedging ETFs, they create a 6% yielding Ultra SWAN aristocrat portfolio that averages 9% peak bear market declines, 72% less than the S&P.
A 6% yielding portfolio that fell just 19% during the Great Recession is 98% likely never to fall 20+% in the next 75 years and is 80% likely to outperform a 60/40 retirement portfolio over the next 50 years.