Do Wall Street’s smart-money investors have an easier time than you do wresting income from their portfolios? Maybe. But it doesn’t have to be that way. You can use their tricks too.
Like you, they have to deal with market risk, default risk, credit risk and the like. Also like many other investors, the smart money — high-income or high-net-worth investors, who can afford investment advice from the priciest financial advisors — uses traditional income strategies. But smart-money investors also make more use of alternative strategies than they did, say, five or 10 years ago, estimates Tony Hallada, managing partner at CliftonLarsonAllen Wealth Advisors (CLA). And they use those strategies more than Main Street investors do.