Summary
The Randy_IRA transition portfolio (base model) with an additional $300k deployed into the defensive income sleeve. Scales the defensive model 13.19× and grows the account from ~$208.7k to ~$508.5k, with income of ~$54,905/yr (~$4,575/mo) at a durable 10.8% blended yield.
The key result: +$300k moves the account from a slow-drain (income cannot cover the ~$58k/yr medical draw) to a sustainable retirement income account — the income gap against the draw shrinks from −$38.4k/yr to −$3.1k/yr, and sustainable draw (income + 4% principal) becomes ~$75.2k/yr.
Construction
Same logic as the base transition: sell the $92.6k option-income / speculative sleeve, keep the $97.4k anchors, then deploy the defensive model scaled up with new capital.
| Component |
Value |
Income |
Yield |
| Kept anchors (14 positions) |
$97,404 |
$7,505 |
7.7% |
| Defensive sleeve (scaled 13.19×) |
$402,248 |
$47,400 |
11.8% |
| Cash buffer |
$8,873 |
— |
— |
| Total |
$508,525 |
$54,905 |
10.8% |
Scale factor explanation: the defensive model base weights total $30,500; the +$300k version deploys $402,440 = base × 13.19×.
Holdings — Defensive Sleeve (priced Oct 4, 2026)
| Ticker |
Allocation |
Shares |
Yield |
Est. income |
| KQQQ |
$52,759 |
1,774 |
16.5% |
$8,705 |
| PFFA |
$52,766 |
2,669 |
10.5% |
$5,540 |
| KCOP |
$46,174 |
1,998 |
15.6% |
$7,203 |
| BNDS |
$46,168 |
948 |
8.3% |
$3,832 |
| QVOL |
$39,518 |
388 |
12.3% |
$4,861 |
| HTGC |
$39,573 |
2,364 |
9.6% |
$3,799 |
| CSWC |
$32,975 |
1,402 |
9.9% |
$3,265 |
| AMZA |
$32,942 |
687 |
8.5% |
$2,800 |
| FSCO |
$32,985 |
6,455 |
13.7% |
$4,519 |
| ICAP |
$26,389 |
961 |
10.9% |
$2,876 |
Sleeve total: $402,248 → $47,400/yr (11.8%)
Retained Anchors (unchanged from base transition)
VV, VTV, AMZA, PFFA, HTGC, STWD, NLY, CIM+B, MSIF, UNH, PDI, PTY, ICAP, KQQQ
Anchor sleeve: $97,404, $7,505/yr, 7.7% yield. Positive unrealized (+$23.3k).
Comparison: Before / Transition / +$300k
| Metric |
Before (Sep 30) |
Transition only |
+ $300k |
| Value |
$208,845 |
$208,717 |
$508,525 |
| Annual income |
$30,367 |
$19,578 |
$54,905 |
| Monthly |
~$2,531 |
~$1,631 |
~$4,575 |
| Yield |
14.5% (decaying) |
9.4% (durable) |
10.8% (durable) |
Medical Draw Coverage — The Critical Fix
Current draw rate: ~$58k/yr (YTD $43.5k through Sep).
| Scenario |
Income |
Gap vs $58k draw |
| Before |
$30,367 |
−$27,633/yr (−$2,303/mo) |
| Transition only |
$19,578 |
−$38,422/yr (−$3,202/mo) |
| + $300k |
$54,905 |
−$3,095/yr (−$258/mo) |
Sustainable draw (income + 4% principal rule): ~$75,246/yr (~$6,271/mo) — well above the current burn rate.
Verdict: +$300k converts the account from a slow-drain into a sustainable income machine. The medical draw is effectively covered by income alone, with principal intact and a large buffer above the 4% rule.
Correction Stress Model
| Scenario |
+$300k value |
+$300k income |
| Moderate correction |
~$448,969 |
~$53,392 |
| Bear market |
~$396,251 |
~$49,721 |
| Credit stress |
~$407,853 |
~$44,641 |
Yield on capital rises under stress (e.g., ~12.5% after a bear drawdown) — the DH compounding mechanic working as designed: income keeps landing while prices are down, reinvesting at higher yields.
Assumptions & Caveats
- Base values exact from Sep 30, 2026 Schwab statement; defensive sleeve priced at Oct 4 live quotes
- $300k assumed deployed in the defensive model proportions; alternative: tilt allocation differently (e.g., heavier covered-call sleeve) changes yield vs stability
- The anchors at 7.7% yield are the drag on the blended total — if the whole $508k were in the defensive model, blended yield would be ~11.6% instead of 10.8%. The anchors are kept for their +$23k unrealized gains and quality
- No tax impact (Rollover IRA)
- This is research, not investment advice