Dividend Income Portfolio Builder

Prompt

Build a dividend income portfolio strategy for [YOUR NAME OR HOUSEHOLD].

Goals:
- Target annual dividend income: [AMOUNT]
- Portfolio size (current or target): [AMOUNT]
- Time to build: [IMMEDIATELY / OVER [N] YEARS]
- Income need: [CURRENT — SPEND DIVIDENDS / FUTURE — REINVEST NOW]
- Tax situation: [TAXABLE / TAX-ADVANTAGED / BOTH]
- Sector preferences: [ANY SECTORS TO FAVOR OR AVOID]

**PORTFOLIO CONSTRUCTION**

1. **Yield Target Analysis** — What blended yield do I need to hit my income target? Is it achievable without taking excessive risk?

2. **Quality Framework** — Criteria for a dividend stock worth owning:
   - Dividend growth rate (3-5 year CAGR)
   - Payout ratio safety (by sector benchmarks)
   - Balance sheet quality
   - Dividend coverage ratio

3. **Diversification Structure** — Recommended sector allocation for a dividend portfolio. How many positions for adequate diversification without over-diversification?

4. **Core Holdings Categories**
   - Dividend growers: lower yield, faster growth
   - High-yield stable: higher yield, slower growth
   - REITs: real estate income
   - International dividend payers: geographic diversification

5. **Screening Criteria** — Quantitative screen to find candidates in each category.

6. **Reinvestment Strategy** — DRIP vs. manual reinvestment. Which position to add to first.

7. **Income Ladder** — Build a dividend calendar showing income by month to ensure steady monthly cash flow.