u/Andor2050

I have had a Moto G Stylus (2023) for three years. Now it is developing problems even though I have not done anything to it or dropped it. First the ear phone port doesn't seem to put sound through both ear buds only one. Tried multiple headsets. Now, when I charge it says it is charging slowly even when using different chargers. It used to say it was charging rapidly with the same charger. It is also now more difficult for the charging cable to stay inside the port. I like the phone but now it is becoming unusable. Bummer.

I am retired and am planning some reallocations before RMDs. Currently, my only dividend focused ETF is SCHD and I am considering increasing exposure to other dividend ETFs (traditional or the covered call style). I can see the psychological benefit of having cash flow without selling shares of stock but the jury on dividend investing seems very polarized.

Some of the most knowledgeable people that I follow on YouTube, Podcasts and Bogleheads feel that Total Return investing is superior in the long term and they show charts and data to support that. They also point out that traditional dividend investing is just returning a part of the capital from the companies and they show how stock prices dip after dividend payouts to account for the loss of company capital. In addition, during a major stock market correction, there are no guaranties that dividends won't be cut or eliminated so they are not guaranteed.

On the other hand, there are those that support dividend investing saying that they can generate good cash flow while in retirement and people are not forced to sell shares to have cash flow which creates a stabilizing benefit.

I feel I might benefit from having increased exposure to quality traditional dividend ETFs for the cash flow, the lower volatility and because many are more focused on value companies.

On the covered call ETFs (JEPI, JEPQ, GPIX, GPIQ, SPYI and QQQI, etc.), the dividend returns look appealing but it seems like you are giving up long term growth potential for these dividends while keeping all or most of the downside risks of the underlying indexes. And while in retirement cash flow is very appealing but you also need solid growth to outpace inflation.

For those in retirement, what percentage do you allocate to traditional dividend ETFs and/or covered call ETFs and do you think the psychological benefit out weighs the increased return potential from Total Return investing?