HOW TO BUILD A CASHFLOW MACHINE WITH $200k:
(works at almost any size)
$75k
$VOO $75k $Q
$50k high conviction companies
That base compounds ~11%+ a year on average & NEVER gets sold.
Not in a crash, not ever.
Then sell 1+ year puts secured by that base. Not cash secured. Portfolio secured.
Every sold put has to pass all 5 tests here:
1. Company is below fair value TODAY
2. Real moat & pricing power
3. Profits growing for years
4. Strike 10% below current price
5. 1 year duration minimum
Premium hits the same day & buys more $VOO + $Q + Elite companies.
Bigger base secures bigger puts. Bigger p