Investors are increasingly turning to dividend stocks to protect their portfolios from market volatility and supplement income amid high inflation.
Earlier this year, an investor on Reddit shared a portfolio he said was built using ChatGPT and generated about $2,000 in dividend income per month from a $300,000 investment. He said he used ChatGPT’s in-depth research capabilities to build a portfolio designed to generate consistent high returns while preserving capital.
“I have been using and abusing the ChatGPT 3o model for some time now and after some back and forth I decided to go with this combination to get a $300k taxable account,” said the Reddit user. “I’m 58 and retiring in a few months, so this will only supplement my pension and other passive income until my Roth can step in.”
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Let’s take a look at some of the top holdings in the portfolio based on details shared by investors on social media platforms.
Altria Group (NYSE:MO) is one of the biggest holdings in Reddit sharers’ portfolios. ChatGPT highlighted Altria’s strong record of dividend growth and its steady performance during economic downturns, according to the investor. The company has raised its dividend for 56 consecutive years. Its dividend yield is over 7%. The stock has gained about 12% so far this year.
Canadian energy company Enbridge Inc. (NYSE: ENB) has a dividend yield of about 5.8%. The company has raised its dividend for 31 consecutive years. Earlier this month, the company reiterated 2025 EBITDA guidance.
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ChatGPT likes Enterprise Products Partners LP (NYSE: EPD ) because its tax-deferred MLP structure reduces current tax obligations and its history of distribution growth. Its dividend yield is about 6.8%. J.P. Morgan recently downgraded the stock to “neutral” from “overweight,” citing lower EBITDA growth than peers.
The NEOS Nasdaq-100 High Income ETF (NASDAQ: QQQI) gives investors exposure to Nasdaq-100 companies and generates income by selling covered call options on the index.
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The Virtus InfraCap U.S. Preferred Stock ETF (NYSE: PFFA) invests in preferred stocks of U.S. companies. The fund’s dividend yield is over 9%.
