If you're not a fan of stock picking, then don't let that stop you from investing.
That's because exchange traded funds (ETFs) are here to make your life easier by allowing you to invest in a group of shares through a single investment.
The even better news is that there are ETFs for every occasion. Whether you want access to tech stocks, whole indices, or income, there's something out there for you.
With that in mind, two that could be worth considering for a retirement portfolio are listed below. Here's what you need to know about them:
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BetaShares S&P 500 Yield Maximiser (ASX: UMAX)
The first ETF for retirees to consider is the BetaShares S&P 500 Yield Maximiser.
It could be a top option for a retirement portfolio as it has been designed to generate attractive quarterly income and reduce the volatility of portfolio returns at the same time.
It aims to do this through the implementation of an equity income investment strategy over a portfolio of shares comprising the S&P 500 Index. These are 500 of the largest companies listed on Wall Street and includes dividend-payers such as Apple, Bank of America, Exxon Mobil, and Walmart.
The BetaShares S&P 500 Yield Maximiser's units currently provide investors with a whopping 9.2% distribution yield.
Vanguard Australian Shares High Yield ETF (ASX: VHY)
Another option to consider for a retirement portfolio is the Vanguard Australian Shares High Yield ETF.
The ETF provides investors with low-cost exposure to companies listed on the Australian stock exchange that have higher forecast dividends relative to other ASX-listed companies.
This excludes Australian Real Estate Investment Trusts (A-REITS) and is done with diversification in mind. Vanguard restricts the proportion invested in any one industry to 40% and 10% for any one company.
Among the companies included in the fund are income investor favourites such as BHP Group Ltd (ASX: BHP), Commonwealth Bank of Australia (ASX: CBA), and Telstra Corporation Ltd (ASX: TLS).
The Vanguard Australian Shares High Yield ETF is currently trading with an estimated forward dividend yield of 5.6%.
