By: Dividend Sensei
Just because the market is 33% overvalued and likely to deliver paltry returns in the coming years doesn’t mean you can’t put money to work safely and prudently.
With the right watchlists, you can even build the ultimate retirement portfolio from scratch, with the market at all-time highs.
Today these five amazing blue-chips are all attractively valued Ultra SWANs with the highest long-term consensus return potential.
They yield 3.2%, more than most high-yield funds, and have 16.5% consensus growth forecasts, and are 8% undervalued. Analysts expect 21.5% CAGR total returns over the next five years or 165% return potential vs. the market’s 29%.
Combined with the right asset allocation to bonds and cash, you can tailor your Ultimate Retirement Portfolio to your personal volatility tolerance. A 50/50 stock/bond version of the Ultimate Retirement portfolio is still expected to deliver 11% annual total returns while falling less than 4% in future market downturns. That’s more than 2x the return expectation of the S&P 500 and almost 2x that of the dividend aristocrats.