Build A Second Income Stream With 3 Funds
Three funds, three risk levels, and one that pays every single week.
In July my portfolio paid me $4,050 and I didn’t have to work for it. I believe in buying assets that appreciate or produce cash flow. I want my income and well-being to be completely uncorrelated to a job. I never liked the idea of a having a manager that controls your livelihood. Get fired and now you’re suddenly under the threat of losing your home.
The good news is that you live in the best time in modern history to be an investor. You also live in the era of AI and I think this is similar to the rise of the internet in the late 90s. You have an opportunity to get rich so take this seriously.
There are no barriers for you to start creating an income stream. Start small and the snowball will continue to grow as long as you stay consistent and don’t do anything stupid with your money. I now collect more than $44k in dividends, which is a second income stream for me.
The technology sector is in the middle of the largest capital spending cycle in its history. AI is here to stay!
The large-cap leaders are dedicating hundreds of billions towards the built out of their AI infrastructure. AI Data centers, better compute capacity, and better ecosystems to lock in users. I don’t think they’d be spending this sort of money without a clear plan to profitability. However, the market will bombard you with reasons on why AI companies aren’t profitable and they are wasting money.
“OpenAI doesn’t earn any money though!”
This uncertainty has created a golden opportunity to create a second income stream.
Below I will three funds that turn this AI uncertainty into monthly and weekly cash, split across three risk levels.
Put $50,000 across them at current rates and you collect $676 a month. Don’t have $50k?
That’s fine.
This process is scalable. You can implement this same strategy with $100, $1,000, $10,000. It’s all scalable.
Your Starting Point
I collect more than $44K a year but this took 7+ years of dedication to build. When you start, your dividend income will likely be tiny. For instance, $1,000 invested at a 10% yield will only pay you $100 a year in income. This is tiny and it can become a bit discouraging at first because this tiny stream of income doesn’t seem like it’s worth the effort.
We need to reprogram the way you think about this process so that it’s a bit more concrete.
Pick one bill that you would like your second income stream to cover. If your phone bill is $80 a month, lets aim to produce $80 a month. Start small and work your way up. Eventually you can aim to generate income that covers gas for the month. Then you can support groceries.
Assuming a 10% yield, here’s some examples of what to expect, based on how much you invest.
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The three funds, the risk levels, and the full income breakdown.
For this article, I will go through 3 different funds that you can utilize to start building a second income stream. These aren’t recommendations and you should do your own research. This is all to serve as a conceptual approach of what’s possible. This article will highlight the following:
3 funds broken down by risk level.
1 fund that pays dividends on a WEEKLY basis.
A clear understanding of the risks involved.
The math and what you should expect going forward.
