
Quick summary
Putting $1,000 to work across three high-yield, cash-generating companies as of late August 2025 can — in a simple, equal-weight example — produce roughly $61 per year in dividend income (≈6.1% portfolio yield). This article explains the calculation, why these firms were chosen, and the primary risks to understand before you act.
Data snapshot: prices and yields used in the simulation are from market sources around. Always confirm live quotes before trading.
The simple simulation (equal allocation)
We split $1,000 into three equal parts ($333.33 each) and used the forward/most-recent yields reported around to estimate annual dividend income.
| Stock | Amount invested | Approx. yield (annual) | Estimated annual dividend |
|---|---|---|---|
| Energy Transfer (ET) | $333.33 | ~7.4% | $24.78 (approx.) |
| Brookfield Infrastructure (BIP) | $333.33 | ~5.47% | $18.25 (approx.) |
| W. P. Carey (WPC) | $333.33 | ~5.4% | $17.95 (approx.) |
| Total | $1,000.00 | ≈ 6.1% (portfolio) | ≈ $61.00 / year |
Sources for yields and pricing used in this table: market dividend pages and aggregated finance sites, Aug 29–30, 2025.
Why these three names?
Energy Transfer (ET) — midstream energy with fee-based cash flow
Energy Transfer operates pipelines, terminals and processing assets. Much of the company’s cash flow is backed by fee-based agreements, which tends to stabilize distributions compared with commodity-price-sensitive operators. Around late August 2025 the forward yield for ET was near the mid-to-high single digits, and the company has publicly emphasized sustaining distributions while funding capital projects. That combination — high current yield plus fee-based cash flow — is why it appears in high-yield screens.
Brookfield Infrastructure (BIP) — regulated/contracted infrastructure
Brookfield Infrastructure owns assets across utilities, transport, energy midstream and data infrastructure, with a high portion of revenues under long-dated contracts or regulated frameworks. That structure produces relatively predictable cash flows and historically supported rising distributions — the forward yield used in the example was roughly 5.47% on Aug 29, 2025. Its business model and dividend history make it a common pick for income investors seeking stability plus inflation-linked cash flows.
W. P. Carey (WPC) — a net-lease REIT with long-term leases
W. P. Carey focuses on single-tenant, long-term net leased properties with built-in rent escalations. That structure produces steady rental income that is largely distributable. As of the dates used in this post, WPC’s yield was in the mid-5% area. The firm’s payout policy and expected investments into new properties support the dividend level, although REITs carry their own sector risks.
Key risks to know
- Yields move every day. The portfolio yield in this post is a snapshot; price moves and dividend changes will change the math. Always check live quotes before investing.
- Sector risks: Midstream energy is exposed to commodity flows and regulatory changes; infrastructure is capital-intensive and sensitive to macro conditions; REITs are sensitive to property market cycles and interest rates.
- Payout sustainability: A high yield can reflect underlying business risk — verify cash flow support, payout ratios, and management commentary in each company’s investor materials.
- Tax and paperwork: Some energy MLP/LP structures issue K-1 tax forms which complicate taxes for some investors. Check tax treatment before buying.
Bottom line
An equal-weight allocation of $1,000 into Energy Transfer, Brookfield Infrastructure and W. P. Carey — using yields and prices around — produces roughly $61/year in dividend income under the assumptions above (≈6.1% annualized). These names were chosen because they offer above-average yields supported by business models that produce relatively steady cash flow, but they are not free of risk. Use this post as a starting point for research — check live quotes, read each company’s investor filings, and consult a financial advisor if you need personalized advice.
Short disclaimer
This content is informational only and is not financial advice. Market prices and dividend yields change daily — verify current data before making investment decisions. I may hold no position in the stocks mentioned.
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