JAAA
Janus Henderson AAA CLO ETF
stock NYSE ETF

Yes a lot of people are making money in the US stock market. I am currently retired and living off of my dividned income currently at 5K a month. Now it is important to note I am not selling any shares to generate this income. Dividend are profit sharing cash payment to share holders. Dividend are a continuous stream of income that likely will last for decades or the rest of my life. I am 55 and moving fund to my roth for more income after age 60 I should have about a bit over 10Ka month of income at age 60.
Many young invests are putting a lot of money into growth funds right now lite VOO and VTI, or VT. But theses funds don't pay much of a dividned (About 1%) These fund rely on share price growth. So you have to sell shares to generate income. And when you run out of shareSos you have no income. Currently we hare in a Bull market and growth does best in this market.
Dividend in contrast do best in a bear market. Growth can be hard to find in bear market. Dividend funds I am invested in are BTCI, QQQI, SPYI, EIC, PFLT, ARDC, EMO, PBDC, CLOZ, UTF, UTG , JAAA.

Is this the etf JAAA?

Assuming your CMA's cash position is SPAXX, that fund is primarily invested in Treasury bills, floating rate government debt, and government repurchase agreements from the Fed. Only the treasury driven holdings are free from state income tax, so about half the fund's dividends are still subject to state income tax. So at its current yield of 3.62%, your after-state-tax effective yield if you lived in a state with let's say a 10% income tax would be 3.44% (3.62*(1-(10%*50%))). If you instead put that into FDLXX, which holds strictly treasury products, only about 3% of that fund's dividends are subject to state income tax. So though it's yield is lower, 3.54%, it's effective after-state-tax yield is higher, 3.52% (3.54*(1-(10%*3%))).
Money market funds are more expensive to operate, and Fidelity charges higher fees for these investor class funds, so by moving to an ETF like iShare's SGOV or Vanguard's VBIL, you can get higher yields due to their lower expenses. VBIL's currently yield is 3.86% and SGOV is 3.85%, both holdings only treasuries, so their dividends are *almost* entirely exempt from state income tax.
That's your lowest risk tier, short-term TBills. Going up in ascending risk you can get higher yields from...
* Ultra-Short Corporate Bond ETFs (i.e. VUSB/ PULS)
* Short Corporate Bond ETFs (VCSH / SPSB)
* AAA rated CLO ETFs (JAAA / CLOA)
Though, none of those are exempt from state income tax. Personally I hold a mix of VBIL and JAAA for my "excess savings".

I like JAAA with little more risk for sure

I don't see any issue with the fund selection. However MLPs generate K1 tax forms and can creat tax in a roth. I would replace that with EMO. for MLPs make sure you use a ETF or CEF that converts theK1 to a 1099 form to keep your taxes as simple as possible.
There is no reason to have the roth and taxable portfolios different unless you want to have individual MLP ocmpanies. If So the MLP go in the taxable not the roth.
As for cash emergency, keep 6 months of cash in a money market funds SGOV and JAAA are ETF and put those in your roth and taxable account. Ddon't automatically reinvest the diviedends in the taxable account. This will force the dividneds to show up as cash in the money market fund. Make sure you have a brokerage that offers a debit card linked to your money market account so you can easily access the money in the taxable account.
Then once a month setup reoccurring purchase order to invest 30% of your dividneds into the fund in your taxable account. Make sure each fund gets an equal ammount of money. The 30% reinvestment insures your income will grow at about the average rate of inflation. Any money you don't spend should be reinvested.
This setup should gradually reduce the need to hold cash as the dividends increase. So eventually you could reduce the ammount of money in the money market account if you desire. Also the growth index funds will gradullaually become your primary emergency fund. So if you have a real emergency that exceeds the cash available sell your your growth index funds. Avoid selling your dividend funds to preserve your dividend income.

I recently stumbled across a fund with 5% front load (JAAAX vs JAAA, which is what I was actually looking for), and was shocked that such products were still around. I guess they are quite profitable.

JAAA - very little risk bc all top rated debt and pays 5.62%
Best way if you want safe and over 5%

CLOZ, JAAA

Add a little risk: FLRN JAAA FLOT MTBA BUCK CSHI
Add more risk: HYBI SBAR XV
Add yield, add risk. Simple.

The names are pretty decent, most of them are highly regarded funds. I would reduce equity exposure in the income bucket to few funds only. You want your income bucket to be non-correlated with your growth bucket. Not sure if you need MLPA. WDI might be a good asset to add. I would also consider some REIT. And if your cash is in taxable I think BOXX is more efficient than SGOV and more stable than JAAA.

Hi All! 57M planning to retire in 1-2 years. Shifting from accumulation mode over the past three decades to a 3 bucket strategy:
1) Cash/Emergency (SGOV/JAAA)
2) Growth (SCHG/VT)
3) Income (per below)
***TAXABLE***
\- SCHD (dividend - US)
\- SCHY (dividend - international)
\- PFFA (preferred stock)
\- CEFS (CEF - fund of fund)
\- UTG (CEF - utilities)
\- AMLP/MLPA (MLP)
\- SPYI/QQQI/NIHI/GPIX/GPIG (covered call)
***ROTH***
\- FSCO (CEF - credit)
\- RFI (CEF - real estate)
\- UTF (CEF - infrastructure)
\- PBDC (BCD)
\- JEPI/JEPQ (covered call)
\- CLOZ/JBBB (CLO)
20 funds for diversification across 7 income investment categories, with a bit of international thrown in as well. The reason for overweighting covered call ETFs is because they each use different strategies and I'd like to see how they perform over time. Plus, they have different tax treatments. I believe above gets me in the 7-8% yield range. Would love everyone's thoughts!

I will buy JAAA after CLOs sell off in a credit downturn. In my opinion not worth one extra pt if interest to risk several points of price decline. CLO actual default rate is very very low but the market is illiquid so goes through liquidity discounts when markets are squishy.

Oh nice! Do you happen to know anything about JAAA and that being a better option with a higher yield?

You're complicating things a bit. It's a tax-centric calculation, not based on total return. The dividend is part of your cost basis.
In your example, you bought a total of $101 worth of JAAA and have *n* shares. The G/L is based on the current share price of JAAA times *n*, minus your cost basis of $101.
Original purchase $100, share price $50 = 2 shares acquired
Dividend reinvested $1, share price $50 = 0.02 shares acquired
Total shares owned = 2.02
If the share price is now $51, your holding is worth $103.02.
103.02 minus 101 = 2.02
2.02 / 101 = 2% gain
If the share price did not move and is still $50, your holding is worth $101. That's a 0% gain.

Oh right I did see a fund like JAAA and JBBB