Top Dividend (Income) Strategies for 2026

Top Dividend (Income) Strategies for 2026
 
Everyone wants to earn income. However, with interest rates getting cut, so goes our dividend. C.D.’s are being called. Yield is going down. Where does the investor turn for the safe side of their wealth plan?
 
Crypto, gold and the Magnificent 7 have offered explosive share price gains over the last three years. However, these investments come with a great deal of volatility, with few or no dividends. As just one example, we could have purchased Nvidia at $94/share on April 8, 2025, when the S&P500 was down -20% from the Feb. 2025 highs. In 2022, when the S&P500 lost -19.44%, many of the Magnificent 7 companies were down by half or more. This has a lot to do with expensive share prices. The companies are the new blue chips. However, should a company that might only earn $5 billion in net income in 2025 be worth $1.46 trillion (Tesla)?

It’s always important to have a percentage equal to our age safe from the Wall Street roller-coaster – invested in assets that can offer an income without risking our principal. However, has the word “income” become bait for risky investments that lose a chunk of our money almost the instant we purchase them? Are you worried that we’re living in a Debt World, unsure of what the consequences might be? Are you tempted or seduced by the idea of earning a 10% yield? What are paper losses? Does it all wash out in the end, since yields rise when share prices fall, or is that just another sales pitch?  
 
FYI: We just hosted our annual Fixed Income and Bonds Without Paper Losses Masterclass. Receive access to the recording (value $695) when you register for our New Year New You Financial Freedom Retreat by Halloween (10.31.2025), or purchase a 12-month all-access pass, good for 3-4 retreats and 3-4 master classes in 2026. You’ll also receive the best price and a complimentary 50-minute private, prosperity coaching session. Email [email protected] to learn more and register now.
 
 
Here are the topics we’ll discuss in this blog.
 
Corporate Bonds
Treasury Bills
Certificates of Deposit
High-Yield Savings Accounts
Money Market Funds
FDIC-Insured Cash at a Brokerage or Fintech
Stablecoins
Gold
Crypto
 
Here are more tips to keep in mind
The Rising Yield, Sinking Stock Myth
No Blind Faith: Read the Fine Print
Keep the Terms Short and the Creditworthiness High
Never Reach for Yield
Underweight Bond Funds and Money Market Funds
Rolling Maturity Dates & FDIC Limits
 
And here is more information on each item.
 
Corporate Bonds
The mantra for all fixed-income products is: Keep the terms short and the creditworthiness high. (The additional tips listed below are also key.) Investing in a short-term corporate bond issued by a company with a AAA or AA credit rating in the secondary market could be one alternative to consider, particularly when our C.D.s are called in. With two more 25-basis point cuts expected in 2025 and one in 2026, banks will continue offering below-market interest rates, or calling in the C.D.s that we thought we had locked in. In our masterclass, we found a 5-year Microsoft (AAA) bond, due 9.30.2030, that was offering a yield to maturity rate of 3.7%. As you can see in the Fixed Income Offering graph below (from 10.17.2025), that is a competitive short-term yield.

Data from 10.17.2025.

With interest rates expected to be cut to the 3.50-3.75% range in 2025 and 3.25-3.50% range in 2026 (3.0% longer run), high-rated, short-term corporate bonds in the secondary market are one way to lock in a competitive income, while mitigating risk.
 
Treasury Bills
Are you being told to just buy Treasury bills when you Certificate of Deposit gets called? Are you aware that there have been liquidity issues in the T-Bill marketplace, or that long-term government bonds lost -26% in 2022 and another -6.415 in 2024? Long-term government bonds were some of the worst performing assets in 2022. So, this offers us a stark reminder that we should not put all our money in Treasury bills, particularly mid and long-term.

In September 2022, investors were spooked about the level of debt in the U.K., causing a crisis in their gilts (treasuries). Almost overnight, pension funds were on the brink of collapse (much like the 5 U.S. banks that failed in March of 2023). The Central Bank stepped in for the rescue (in both scenarios).
 
In addition to keeping the terms short and the creditworthiness high, diversify across fixed-income products, rather than putting all of our eggs in T-bills.
 
Certificates of Deposit
Many, but not all, C.D.s offer FDIC insurance, adding a level of security. Some C.D.s are not FDIC-insured, so we always want to read the fine print and know what the terms are.
 
With the 2025 interest rate cuts, C.D.s are getting called in. With more cuts expected, trying to lock in a short-term, market-yielding C.D. will continue to be an exercise in futility.
 
What’s hot and what’s safe change every year, which is why it is important to get updated on the areas of opportunity, as well as be forewarned about the money pits, on a regular basis. Our next Financial Freedom Retreat is Jan. 17-19, 2026, ONLINE. Register by Halloween and receive the best price and a complimentary, private prosperity coaching session (value $400), and access to the Fixed Income Masterclass of Oct. 18, 2025.
 
High-Yield Savings Accounts
“High-Yield” is false advertising. Many companies that offer these products give just a few tenths of a percent more than the market yield. Additionally, we might be taking on more risk than we realize.
 
What are the additional risks? Many high-yield saving accounts are offered by fintechs, stablecoins or brokerages that are not FDIC-insured. We’ll talk more about those financial services companies below.
 
Money Market Funds
Money market funds are not FDIC-insured. All funds, including MMFs, can go down in value. As interest rates get cut, the income you earn in the money market fund goes down automatically. Finally, money market funds are vulnerable to investor runs. As such, they often get into trouble in recessions. A lot of MMFs were bailed out in the Great Recession. However, there is no guarantee that they will be rescued in the next one.
 
FDIC-Insured Cash at a Brokerage or Fintech
Many fintechs and brokerages have a relationship with a bank and offer FDIC-insured cash through that relationship. However, it is important to remember that only banks are FDIC-insured. If the brokerage, stablecoin or fintech fails, the FDIC insurance does not kick in. As cautionary tales, depositors had their assets frozen and/or a good deal lost money, during the bankruptcies or crises of Blockfi, FTX, Gemini Earn and Voyager Digital in 2022, and the Synapse and Yotta failures in 2024.
 
PayPal, Coinbase, and Cash.App are all fintechs that are not FDIC-insured. It’s always important to read the fine print before you invest in anything – even if the marketing copy offers assurances that put you at ease. (We’ve seen some egregious claims, outlined later in this blog.)
 
Stablecoins
Stablecoins are not government insured. They can go down in value. We have seen stablecoins that have outright failed, some due to an implosion of the assets they were backed by and others by hacking events. TerraUSD is one of the most notorious. However, there have been hundreds of de-pegging incidences, not counting the rampant crypto scams. (More than $16 billion was lost to Internet crimes in 2024, up 33% from 2023.)

The 2025 Genius Act, which was passed on July 4, 2025, requires a 1-1 reserve in cash, short-term T-bills, REPOs and other named cash equivalents for stablecoins. Yet there are still ways that a stablecoin can run into trouble. Circle’s USDC stablecoin didn’t collapse, but it did break the buck in March of 2023. The coin experienced a liquidity crisis when Silicon Valley Bank collapsed. Why? Circle reportedly had $5 billion in uninsured deposits at the bank. When the FDIC and the Federal Reserve stepped in to guarantee uninsured depositors on March 12, 2023, Circle’s depositors were reassured. Today, the USDC stablecoin is the 2nd most popular, behind Tether’s USDT, with a market capitalization of $16.7 billion.

Gold
Gold is on fire. However, it is far more volatile than many people realize, and it doesn’t offer dividends. After the highs set in 2011, gold dropped -37% and stayed there until the pandemic. Most of us can’t afford to lose almost 40% of our wealth for a decade. So, I encourage you to read the Gold chapter of The ABCs of Money 6th edition. Because of the volatility, it’s a good idea to put our gold holdings on the “at-risk” side of our diversified wealth plan. I put it as a hot slice or two, which prompts me to capture gains at the high and add more when prices drop (if I believe it will rebound soon).
 
If you would like to personalize your own pie chart using our free web app, email [email protected] with free apps in the subject line. I also offer an unbiased 2nd opinion on your current plan. Email [email protected] for pricing and information.
 
Crypto
Crypto, like gold, is thought of as a safe haven. However, the safe side of our wealth plan shouldn’t fluctuate as much as crypto does. In fact, crypto is still a trading platform, not a currency. Currencies are stable and reliable, whereas Bitcoin and other crypto assets experience steep, prolonged periods of devaluation. During the most recent Crypto Winter (2022), Bitcoin lost -67%, dropping from a high of $69,000 in 2021 to a low of under $15,000 in 2022. In early Oct. of 2025, Bitcoin was worth $126,000/coin and then plunged to $109,000 two weeks later – a drop of -13.5%.

It is also important to realize that crypto, like gold and other perceived safe havens, don’t pay an income and are not federally insured. By allocating our crypto in the hot slices of the at-risk portion of our wealth plan, we are prompted to buy low and capture gains at the high – putting us on the right side of the trade of this volatile investment.
 
Keep These Tips in Mind
 
The Rising Yield, Sinking Stock Myth
Broker-salesman and stock gurus will often tell their clients not to worry about losing money on their fixed-income products because either they will get it all back when it comes to term or the yield will rise, as the share price sinks. However, if the company or fund gets into trouble and must cut its dividend, the share price will experience a gap down overnight that is far more severe than any amount of income can make up for. If a company must declare bankruptcy before the term of its bond is met, the bondholders will get back far less than they had invested.
 
These are only a few ways that the yield doesn’t make up for the loss of principal, which is why we’re encouraging the mantra, “Keep the terms short and the creditworthiness high.” Email [email protected] if you have any questions about this.
 
No Blind Faith: Read the Fine Print
In our bond masterclass of Oct. 18, 2025, I shared many examples of how the marketing copy of an investment can be a lie, while the fine print tells a completely different story – one that legally protects the company. One “defensively-positioned” product for “income-focused” individual investors claimed to have a “high-quality” portfolio. The fine print revealed that the managers invest in junk bonds and use leverage which “will magnify the potential for loss.” Once invested, individuals would have a difficult time selling their shares.

It's equally important to read the fine print on our brokerage statement to verify that what we’re being told by our money manager matches the data on the statement itself. It is the fine print that is the legal document, not the conversation. There have been many examples of insurance and financial services companies getting fined by the SEC because their salespersons were misrepresenting the terms of the asset in order to secure the sale. I offer an unbiased 2nd opinion on your current plan. Email [email protected] for pricing and information. Now is a great time to know what you own and why, and to make necessary adjustments, while stocks are still close to an all-time high.
 
Keep the Terms Short and the Creditworthiness High
There are many reasons why we want to keep the terms short. Here are a few examples that I used in October’s Bond masterclass.
 
What are the odds that Apple will get into trouble in the next two years? (very low) What are the odds that there might be a different smart phone in the next 25 years? (Are you aware that Samsung is the #1 smart phone maker by units and that Huawei replaced Apple as #2 in 2018?) Apple is back to #2 and is loved by its customers. However, remaining on top for decades is more difficult.

What are the odds that Boeing or Ford might get into trouble over the next two years? (high) These two companies are rated at the lowest rung of investment grade – BBB- with a negative outlook. Ford was a junk bond before being bumped up to investment grade on Oct. 30, 2023.

When a company gets a credit downgrade, the value of the bond goes down (a gap down). It might become illiquid. If the company has to restructure debt through a bankruptcy process, we’re going to lose some (or much) of our principal investment. Keeping the duration short and the creditworthiness high reduces the risk of these scenarios.
 
Never Reach for Yield
The higher the dividend, the higher the risk. Why would a company want to give you a 10% annual income, when creditworthy companies can borrow for under 5%? The above example of misleading marketing, where the truth was buried in the fine print, was offering 10.5% annualized… I mean 9.6% if you read the fine print. Why would a broker-salesman want to sell the product to his/her client? Could it be for the fees? (Annuities can pay up to 9% commission.)
 
Keep in mind the saying of Will Rogers, “I’m more concerned with the return of my money than the return on my money.“
 
Underweight Bond Funds and Money Market Funds
Many bond funds (and target date retirement funds) are losing money. Money market fund downsides were already mentioned above. Remember: the safe side of our plan is there to keep our wealth intact.
​

Source: MSN.com. (c) Microsoft. Used with permission.

​If you have a 401(k), and bond or MMF funds are the only choices on the safe side, there are a few strategies to consider. One is to contribute only to the employer match in your 401(k), while maxing out your individual retirement accounts, which offers a larger selection of options, including Treasury bills, bonds (not just funds) and C.D.s. Another would be to see if your employer-sponsored plan can be self-directed. If you’ve left the company, you can easily roll old employer-sponsored retirement accounts into an IRA, where you will have far more options on the fixed-income and the equity side.
 
Rolling Maturity Dates & FDIC Limits
Have rolling maturity dates, so that you have liquidity and access to your money. This is different from laddering. Also, observe FDIC-insured levels. While the uninsured deposits of Silicon Valley Bank were bailed out in March 2023 when the bank failed, that was a special exemption. There is no guarantee that there will be exceptions made in the future.
 
When times get rough, buying opportunities abound, but only for those who have liquidity (not those caught on the wrong side of the trade). Rolling maturity dates and shorter durations ensure our ability to buy low, when most will not have the resources to take advantage of assets on sale.
 
Bottom Line
Getting safe in a Debt World, where the debt to GDP of wealthy nations has not been this high since the Napoleonic wars (with the exception of the pandemic) is tricky. Paper losses are far more problematic than we are being told. It isn’t difficult to earn a competitive income without paper losses, once we clearly understand the terms I’ve outlined above. (Time to learn the life math that we all should have received in high school.) There are many reasons why a financial representative might not be painting a clear picture of the risk vs. reward required for a safe and sober wealth plan. We must be the boss of our money because when times get tough, it is our money at risk. This time around, even the safe side is vulnerable.

Since our inception in 1999, we have been offering fixed-income strategies with a competitive market yield and no paper losses. During the 15-year period after the Great Recession, when we weren’t getting paid to take on the risk (0% interest rates), we encouraged people to lean into income-producing real estate. Real estate more than doubled over that period, while offering the best and safest yield. (Not so today, as prices are too high and wipe out the cap rate.) There is always opportunity when we let wisdom, research and time-proven systems be our North Star.

 


Register now to join us at our online Financial Freedom Retreat Jan. 17-19 2026 where you'll learn how to protect your wealth, save thousands annually in your budget, invest in hot industries like AI, gold, crypto and more, and how to be in the best seat during our volatile Debt World. Register by Halloween (10.31.2025) to receive the best price and a complimentary, private prosperity coaching session (value $400). Email [email protected] to learn more and register now.

If you'd like a life-changing adventure of a lifetime, be our guest at a royal manor house in Cornwall, England, March 12-19, 2027. (With just eight rooms available, this exclusive, private, bucket-list adventure sells out a year in advance!) Call 310-430-2397 or email [email protected] to learn more. The 2025 Restormel Retreat was a magical and royal experience. Click to learn more. 

Receive the best price when you register with friends and family for the ONLINE Financial Freedom Retreat Jan. 17-19 2026. Request testimonials at [email protected]. You can also view some on the flyer page of the retreat. 

Learn how to:

* Invest in hot industries, such as cryptocurrency, Nvidia, artificial intelligence, and quantum computing,
* Save thousands annually with smarter big-ticket choices
* Hedge against a weaker dollar,
* Invest and compound your gains,
* Green your retirement plan,
* Easy and efficacious nest egg strategies,
* Get hot and diversified (including in artificial intelligence, quantum computing and crypto),
* Evaluate stocks,
* Avoid capital gains and financial predators,
* Keep an age-appropriate amount safe, and,
* Know what's safe in a Debt World.

Yes, it's a complete money makeover. 
​​
Email [email protected] or call 310-430-2397 to learn more and register. Learn the 15+ things you'll master and read testimonials in the flyer on the home page at NataliePace.com. Register with friends and family to receive the best price. ​

"Ten minutes into the first day I was already much smarter about investing than I ever thought I would be in my life and I knew I was in exactly the right place at this retreat. I am amazed at how EASY and FUN it is to make my money work for me and those I love. I think this kind of information should be compulsory in schools. I wish I'd learned this sooner." CM

If you’d like an unbiased 2nd opinion on your current wealth plan, email [email protected] for pricing and information.

​

Click through to the flyer to learn more. Call 310-430-2397 or email [email protected] for pricing, additional information and to register. Register by Halloween, Oct. 31, 2025 to Receive the best price and a complimentary, private prosperity coaching session (value $400).

Join us for our Restormel Royal Immersive Adventure Retreat. Spring Equinox 2027. Email [email protected] to learn more. Click for testimonials, pricing, hours & details. Register now to receive the best price, the best room and four private, prosperity coaching sessions. There are only 7 rooms available. This retreat includes an all-access pass to all of our online training for a full year for two. Considering the perks, you're receiving a 65% discount to learn the life math that we all should have received in high school, and the room is free! Email [email protected] to learn more. The best rooms at the 2025 retreat were sold out in 2024! Yes, it's a great idea to register and start transforming our lives now!

Natalie Wynne Pace is an Advocate for Sustainability, Financial Literacy & Women's Empowerment. Natalie is the bestselling author of The ABCs of Money (6th edition) and The Power of 8 Billion: It's Up to Us, and is the co-creator of the Earth Gratitude Project. She has been ranked as a No. 1 stock picker, above over 835 A-list pundits, by an independent tracking agency (TipsTraders). Her book The ABCs of Money remained at or near the #1 Investing Basics e-book on Amazon for over 3 years (in its vertical), with over 120,000 downloads and a mean 5-star ranking. The 6th edition of The ABCs of Money and the 2nd edition of Put Your Money Where Your Heart Is (2nd edition) are the most recent releases of these books. Follow her on Instagram. 
​​​​
Natalie Pace's easy as a pie chart nest egg strategies earned gains in the last two recessions and have outperformed the bull markets in between. That is why her Investor Educational Retreats, books and private coaching are enthusiastically recommended by Nobel Prize winning economist Gary S. Becker, TD AMERITRADE chairman Joe Moglia, Kay Koplovitz and many Main Street investors who have transformed their lives using her Thrive Budget and investing strategies. Click to view a video testimonial from Nilo Bolden.​​

---

Check out Natalie Pace's Substack podcast on Apple and Spotify.
Watch videoconferences and webinars on Youtube.

Other Blogs of Interest
Will There Be a Santa Rally in 2025?
Magnificent 7 Update. On Fire. Expensive. 
Crypto. Copper. Silver. Gold. More Magnificent than the Magnificent 7. 
Stablecoins. Should You Invest? 
Clean Energy. Solar Generation is On Fire. 
Capture Gains at an All-Time High. 
Jerome Powell's Big Speech in Jackson Hole. 
HHS Cuts MRNA Research. Weight Loss Drugs Soar.
Summer Sale & Sweepstakes. 
Will Tariffs Cause Stocks to Sink or Soar?
Are You Paying Thousands to Lose Money?
Coke & Pepsi Suffer From Poor Fiscal Health. 
Crypto, Gold, AI, Energy, Healthcare, Real Estate. Which Sector Performed Best in the First Half of 2025.
Crypto Goes Mainstream. The Genius Act Becomes Law.
Wealth Hacks: Are You Getting Killed in Capital Gains Taxes? 
Clean Energy Unplugged.
Tesla Sales Slump in 2Q 2025.
Our Super Performing Hots and Value Replacements.
Is Your Income Strategy Losing Money?
Gold and Silver Soar. 
Get Safe & Hot in 1 Easy Plan. 
Home Prices Soften. Is Your City Next?
Tesla Vision vs. Waymo LiDAR and Air Taxis. Are Any of Them Safe?
Archer Aviation is Chosen to be the Exclusive Air Taxi Service for the 2028 L.A. Olympics. Company of the Year?
USA Downgraded. Is U.S. Reserve Currency Status Threatened?
Utilities: In the Eye of the Natural Disaster Storms. 
Aging Mom Doesn't Want to Discuss Dilapidated House. Investors Ask Natalie.
Tesla, Tariffs, Chinese Competition and Price Wars.  
21st Century Recessions Look More Like Depressions. 
Will Oil Prices Sink or Soar? Executives are Uncertain.
Health Savings Accounts. Save Thousands. Get a Tax Credit. Provide for Tomorrow's Healthcare Needs.
Restormel Manor House 2025. A Truly Royal and Magical Adventure. 
9 Ways to Cut Your Tax Bill in Half and Save Thousands Annually.
Berkshire Hathaway. Should I Just Invest in Warren Buffett?
Should I Have a Money Manager?
Top Dividend/Income Strategies for 2025. 
10 Rules of Successful Investing. 
Quantum Computing. 
Paper Losses. ​Another Warning About Long-Term Bonds!
2025 Investor IQ Test. 
2025 Investor IQ Test Answers.
Indonesia: Rich in Nickel with Ambitions of Becoming an EV Battery Hub.
RoboTaxis. AI. The Magnificent 7. 
Why Are So Many Safe Investments Losing Money?
Canadian, Australian and U.S. Banks. Are Any of Them Safe?
Ireland. Rich in Technology, Biotechnology and Agribusiness. 
Robo Investing and AI. No, They are Not Foolproof.
Copper. Peru ETF Outperforms the S&P500.
9 Money Secrets of the Ultra Wealthy.
Housing & Budgeting Solutions.
Arkansas Sues Temu for Data Theft.
Fast Fashion. Fossil Fuels. Plastic Clothing. Atacama Desert Waste Dumps. 
Fintechs and Brokerages that Fail are Not FDIC-Insured.
2024 Rebalancing IQ Test. 
Answers to the 2024 Rebalancing IQ Test. 
China & Russia Double Their Gold Holdings. 
Housing. Unaffordable. What Works? Case studies and creative solutions. 
The Underperforming DJIA, Full of Fossil Fuels and Forever Chemicals.
13 Lifestyle Choices to Reduce Waste, Pollution & CO2 & Save a Boatload of Dough.
11-Point Green Checklist for Schools.
10 Wealth Secrets of Billionaires and Royals.
Fiat. Crypto. Gold. BRICS. Real Estate. Alternative Investments.
BRICS Currency. Will the Dollar Become Extinct?
Is Your FDIC-Insured Cash Really Safe? 
Money Market Funds, FDIC, SIPC: Are Any of Them Safe? 


Important Disclaimers
Please note: Natalie Pace does not act or operate like a broker. She reports on financial news, and is one of the most trusted sources of financial literacy, education and forensic analysis in the world. Natalie Pace educates and informs individual investors to give investors a competitive edge in their personal decision-making. Any publicly-traded companies, funds or projects mentioned by Natalie Pace are not intended to be buy or sell recommendations.

ALWAYS do your research and consult an experienced, reputable financial professional before buying or selling any security, and consider your long-term goals and strategies. Investors should NOT be all in on any asset class or individual stocks. Your retirement plan should reflect an age-appropriate, diversified wealth plan, which has been designed strategically, with the assistance of financial professionals who are familiar with your goals, risk tolerance, tax needs and more. The "trading" portion of your portfolio should be a very small part of your investment strategy, and the amount of money you invest into individual companies should never be greater than your experience, wisdom, knowledge, patience and diversified strategy.  
​
Information has been obtained from sources believed to be reliable. However, NataliePace.com does not warrant its completeness or accuracy. Opinions constitute our judgment as of the date of this publication and are subject to change without notice. This material is not intended as an offer or solicitation for the purchase or sale of any financial instrument.