Broker Check
What Does it Mean to Generate Income in your Portfolio?

What Does it Mean to Generate Income in your Portfolio?

July 28, 2020

Have you ever heard about someone making income in their investment portfolio or needing to generate income within their portfolio? Have you ever looked at them dumbfounded, unsure of what that means?

Yeah, I totally get why. It's hard grasp the concept of earning income if you're not physically working for it. But this is what is called passive income, specifically portfolio income. Your money in your investment portfolio is working for you, you're not working for it. This is the passive piece. The income component comes from interest, dividends, or capital gains being generated in your portfolio. Think of a Certificate of a Deposit earning interest, this is income. Or you're invested in a Technology stock that pays out a dividend every quarter, also income. Mutual Funds often issue capital gain distributions to investors near year end when they're selling off positions in their portfolios. This is also income.

Watch the video below for an explanation of why one would want to generate income from their portfolio and what that entails. Make sure to subscribe below so you can get monthly posts and videos sent directly to your email inbox!

Who is Carolyn?

Carolyn Rowland is a CERTIFIED FINANCIAL PLANNER™ passionate about empowering individuals to take control of their financial landscape. “We often tend to place our own priorities on the back burner for others, resulting in sacrifices we don’t often realize we’re making.”Carolyn believes in taking a values-based approach to financial planning. “Together we’ll define what matters most to you, what you want your life to look like, and develop a plan that fits your lifestyle.”

Carolyn Rowland is in the Milwaukee WI, area.


Sign up to receive empowering tips and updates to kick start your financial journey.

You’ve successfully signed up! Check your email for details.