September was another strong month for the Income Bucket, generating a 17.70% annualized yield across our diversified income investments. Through the first nine months of 2026, the average monthly annualized yield stands at approximately 15.51%.
What continues to stand out isn't simply the yield, but how that income is generated. Private real estate, private credit, ETFs, and structured income notes each contribute differently, allowing the portfolio to generate cash flow without relying entirely on one investment or market outcome.
Private Real Estate
Private real estate continues to provide a foundation for the Income Bucket.
Current holdings include:
- BREIT — Blackstone Real Estate Income Trust
- GCREIT — Nuveen Global Cities REIT
These investments provide exposure to institutional-quality properties across multifamily housing, industrial facilities, data centers, healthcare, and other income-producing real estate.
While property values and financing conditions can fluctuate, rental income provides a different source of cash flow than traditional stock and bond investments.
The objective remains steady income supported by real assets.
Private Credit
Private credit has become one of the most diversified parts of the Income Bucket.
Current holdings include:
- BCRED — Blackstone Private Credit Fund
- OCIC — Blue Owl Credit Income Company
- CTAC — Carlyle Tactical Private Credit Fund
- CAPIX — Calamos Aksia Alternative Credit and Income Fund
- NABFX — Neuberger Asset-Based Credit Fund
- OWLCX — Blue Owl Alternative Credit Fund
- NAIFX — Nomura alternative credit strategy
The newer additions have expanded our exposure beyond traditional corporate lending into asset-based finance and specialty credit.
That's an important distinction. Two investments may both generate interest income, but their borrowers, collateral, and underlying risks can be very different.
The goal isn't simply to own more private credit. It's to diversify the sources of income and risk within the portfolio.
ETFs
The ETF sleeve continues to provide liquidity and flexibility while contributing meaningful income.
Established holdings include:
- PCMM
- QQQI
- CAIE
- CAIQ
During September, we also expanded our structured-income ETF exposure with MPIM, MPIA, and MPDY.
These newer investments provide additional access to structured-income strategies through exchange-traded funds, complementing our individual structured notes strategy. Offering some tax advantages.
This sleeve continues to play an important role in balancing income generation with portfolio liquidity.
Structured Income Notes
Structured income notes remain the most actively managed part of the Income Bucket. These investments generate contingent coupon income through defined structures that include maturities, call features, and downside barriers. As notes are called or mature, capital becomes available for new opportunities.
Each new investment is evaluated based on its yield, underlying exposures, issuer, maturity, and downside protection. The objective isn't simply to replace a called note with the highest available coupon. It's to maintain diversification while identifying opportunities that fit the overall portfolio at the client level.
Closing Thoughts
September's 17.70% annualized yield was another strong result, bringing the average monthly annualized yield through September to approximately 15.51%.
More importantly, the portfolio continues to evolve. Private credit now includes a wider range of lending strategies, the ETF sleeve has expanded, and structured notes continue to provide opportunities for income generation.
Monthly distributions will fluctuate, and annualized income yield is not the same as total return. However, the broader objective remains unchanged.
Build diversified, repeatable sources of cash flow that can support long-term financial plans across different market environments.
If you'd like to review how your income strategy is positioned or discuss how these investments might fit into your broader financial plan, I'd be happy to have that conversation.
For more information, visit 9M Investments or request a complimentary retirement assessment.