The High Yield Portfolio

Stephen Bland (TMFPyad on our discussion boards) introduced the concept of the High Yield Portfolio (HYP) on this website in November 2000.

The strategy involves picking a portfolio of high yield shares (i.e. shares that pay a dividend higher than the UK market average) from a wide variety of different industries. The main aim of the strategy is to produce an annual income that rises at more than the rate of inflation. A secondary aim is for the capital performance of the shares picked to outperform the UK market, as measured by the FTSE 100 index. Each portfolio consists of around 15 shares spread across a wide variety of different industries.

This page collects together links to Stephen's articles on the HYP strategy and also to his latest updates on the performance of his demonstration portfolios: HYP1 (picked in 2000), HYP2 (picked in 2003) and HYP3 (picked in 2005-06). A fourth high yield portfolio, HYP4, is being picked from September 2006 onwards, with one new share added each month.

• For an audio description of how the strategy works you can listen to this podcast.
  
  
• There is also a very active discussion board on this site where our users discuss the progress of the demo portfolios, the strategy itself and their own high yield portfolios.
  
  
• Read the most recent high yield articles here.
  
  

How the strategy works

Nov 2000	Introductory Article
Mar 2005	How To Pick A HYP
Sep 2005	Value vs High Yield
Dec 2003	To Dabble Or Not
Dec 2003	High Yield Beats Equity Income Funds
Nov 2001	Selection Rules
Oct 2005	HYP Lite
Oct 2006	My High Yield Portfolio
Sep 2006	Podcast: The High Yield Portfolio

Performance summary

Portfolio (start date)	Portfolio % gain	FTSE 100 % gain
HYP1 (Nov 2000)	+79.1%	-0.9%
HYP2 (Apr 2003)	+109%	+65.7%
HYP3 (2005/06)	+14.8%	+11.6%

Figures are as at 31 Dec 2006 and exclude dividends.

HYP1

Nov 2006	Sixth Birthday
Nov 2000	Initial Article

HYP2

Apr 2006	Third Birthday
Apr 2003	Initial Article

HYP 3

Aug 2006	ITV
Jul 2006	Pearson
Jun 2006	Unilever
May 2006	Shell
Apr 2006	William Hill (replacing Rank)
Apr 2006	Gallaher
Mar 2006	Scottish & Newcastle
Feb 2006	Rentokil Initial
Jan 2006	F&C Asset Mgmt
Dec 2005	Rank
Nov 2005	BT / Initial Article

HYP 4

Mar 2007	Aviva
Feb 2007	DSG International
Jan 2007	ITV
Dec 2006	United Utilities
Nov 2006	F&C Asset Mgmt
Oct 2006	Lloyds TSB
Sep 2006	BP

More resources

High Yield discussion board
High Yield FAQ
High Yield archives