Foundation Financial

Blueprint Portfolio
Sample Pies

Three income-focused model portfolios built on the Foundation + Accelerator framework. Designed for yield, diversified by strategy, and stress-tested against the PLEX Guardrail Scorecard.

The Two-Engine Framework

Every Blueprint portfolio runs on two complementary engines working together.

🏗️

Foundation Pie

Patient Capital — Builds the House

Stable, compounding positions that form the bedrock of the portfolio. Distributions are DRIP-reinvested to grow the base over time.

  • Bond CEFs, BDCs, MLPs, mortgage REITs
  • Lower volatility, proven multi-cycle track records
  • Compounds quietly — the wealth engine
  • Target: 65% of total portfolio

Accelerator Pie

Active Capital — Pays the Bills

Higher-yield positions that generate monthly cash flow for income needs or reinvestment. These circulate cash — they don't compound it.

  • Covered-call ETFs, 0DTE strategies, options-based income
  • Higher distributions, capped upside
  • Cash flow now — the income engine
  • Target: 35% of total portfolio

Why 65/35?

65% Foundation
35% Accelerator

The majority sits in patient, compounding capital that builds long-term wealth. The smaller Accelerator slice generates enough cash to cover income needs without requiring you to sell positions. Together, they create a self-sustaining system.

Model Portfolios

Choose your risk tier. Each portfolio maintains the 65/35 Foundation-Accelerator split.

Conservative Blueprint Low Risk

Stability-first income with proven, multi-cycle holdings

~13%
Target Blended Yield

Foundation Pie

65% of portfolio Weighted yield: ~13.2%
PDI 20%
TRIN 20%
DX 15%
OXLC 15%
MFIC 15%
PFN 15%
TickerAllocationYieldDescription
PDI20%~13%PIMCO Dynamic Income Fund — bond CEF
TRIN20%~14%Trinity Capital — BDC
DX15%~13%Dynex Capital — mortgage REIT
OXLC15%~18%Oxford Lane Capital — CLO CEF
MFIC15%~11%MidCap Financial Investment Corp — BDC
PFN15%~10%PIMCO Income Strategy Fund II — bond CEF

Accelerator Pie

35% of portfolio Weighted yield: ~12.75%
QQQI 25%
SPYI 25%
JEPQ 25%
IWMI 25%
TickerAllocationYieldDescription
QQQI25%~15%NEOS Nasdaq-100 High Income ETF — covered call
SPYI25%~12%NEOS S&P 500 High Income ETF — covered call
JEPQ25%~10%JPMorgan Nasdaq Equity Premium Income
IWMI25%~14%iShares Russell 2000 Covered Call ETF
Foundation (65%)
13.2%
×
Weight
0.65
+
Accelerator (35%)
12.75%
×
Weight
0.35
=
Blended Yield
≈ 13.0%

🛡️ PLEX Guardrail Scorecard

Diversification
5+ distinct strategies: Bond CEF, BDC, mREIT, CLO, CC ETF
Failure mode: concentration risk
Correlation
Target: <0.7 avg pair correlation
Failure mode: correlated drawdowns
Max Drawdown
Target: <15% peak-to-trough
Failure mode: yield-chasing blowup
Yield Sustainability
Target: ~13% blended — no NAV-eroding ETFs
Failure mode: distribution from return of capital
Volatility
Target: <12% annualized
Failure mode: psychological holding difficulty
Holdings Count
10 holdings (target: 20-35 at portfolio level)
Failure mode: single-position risk or over-dilution
Sector Count
5+ sectors: Fixed income, BDC, mREIT, CLO, Equity CC
Failure mode: hidden concentration
Category Allocation
65% Foundation / 35% Accelerator
Failure mode: drift to Cashflow-heavy

📊 Risk Profile

Expected Volatility
8–12%
Max Drawdown Range
10–18%
Recovery Profile
Moderate

Balanced Blueprint Medium Risk

Higher yield with a mix of leveraged CEFs and 0DTE strategies

~17%
Target Blended Yield

Foundation Pie

65% of portfolio Weighted yield: ~15.3%
CLM 15%
CRF 15%
TRIN 15%
PDI 15%
OXLC 15%
DX 15%
STRC 10%
TickerAllocationYieldDescription
CLM15%~19%Cornerstone Strategic Value Fund — leveraged CEF
CRF15%~19%Cornerstone Total Return Fund — leveraged CEF
TRIN15%~14%Trinity Capital — BDC
PDI15%~13%PIMCO Dynamic Income Fund — bond CEF
OXLC15%~18%Oxford Lane Capital — CLO CEF
DX15%~13%Dynex Capital — mortgage REIT
STRC10%~10%Sarissa Capital Acquisition — CLO

Accelerator Pie

35% of portfolio Weighted yield: ~21.3%
XDTE 25%
QDTE 20%
QQQI 20%
FEPI 20%
SPYI 15%
TickerAllocationYieldDescription
XDTE25%~28%Roundhill S&P 500 0DTE Covered Call ETF
QDTE20%~30%Roundhill Nasdaq 0DTE Covered Call ETF
QQQI20%~15%NEOS Nasdaq-100 High Income ETF — covered call
FEPI20%~18%REX FANG+ Equity Premium Income ETF
SPYI15%~12%NEOS S&P 500 High Income ETF — covered call
Foundation (65%)
15.3%
×
Weight
0.65
+
Accelerator (35%)
21.3%
×
Weight
0.35
=
Blended Yield
≈ 17.4%

🛡️ PLEX Guardrail Scorecard

Diversification
6+ strategies: Leveraged CEF, BDC, Bond CEF, CLO, mREIT, CC ETF, 0DTE
Failure mode: concentration risk
Correlation
Target: <0.7 avg pair correlation
Failure mode: correlated drawdowns
Max Drawdown
Target: <20% peak-to-trough
Failure mode: yield-chasing blowup
Yield Sustainability
Target: ~17% blended — monitor CLM/CRF NAV trends
Failure mode: distribution from return of capital
Volatility
Target: <15% annualized
Failure mode: psychological holding difficulty
Holdings Count
12 holdings (target: 20-35 at portfolio level)
Failure mode: single-position risk or over-dilution
Sector Count
6+ sectors: Lev. CEF, BDC, Bond CEF, CLO, mREIT, Equity CC, 0DTE
Failure mode: hidden concentration
Category Allocation
65% Foundation / 35% Accelerator
Failure mode: drift to Cashflow-heavy

📊 Risk Profile

Expected Volatility
12–16%
Max Drawdown Range
15–25%
Recovery Profile
Moderate-Slow

Aggressive Blueprint High Risk

Maximum yield — leveraged CEFs paired with 0DTE and AI-focused premium strategies

~21%
Target Blended Yield

Foundation Pie

65% of portfolio Weighted yield: ~16.5%
CLM 20%
CRF 20%
OXLC 20%
TRIN 15%
DX 15%
STRC 10%
TickerAllocationYieldDescription
CLM20%~19%Cornerstone Strategic Value Fund — leveraged CEF
CRF20%~19%Cornerstone Total Return Fund — leveraged CEF
OXLC20%~18%Oxford Lane Capital — CLO CEF
TRIN15%~14%Trinity Capital — BDC
DX15%~13%Dynex Capital — mortgage REIT
STRC10%~10%Sarissa Capital Acquisition — CLO

Accelerator Pie

35% of portfolio Weighted yield: ~28.9%
QDTE 25%
XDTE 25%
AIPI 15%
YMAG 15%
FEPI 10%
RDTE 10%
TickerAllocationYieldDescription
QDTE25%~30%Roundhill Nasdaq 0DTE Covered Call ETF
XDTE25%~28%Roundhill S&P 500 0DTE Covered Call ETF
AIPI15%~42%REX AI Equity Premium Income ETF
YMAG15%~25%YieldMax Magnificent 7 Basket CC ETF
FEPI10%~18%REX FANG+ Equity Premium Income ETF
RDTE10%~25%Roundhill Russell 2000 0DTE Covered Call ETF
Foundation (65%)
16.5%
×
Weight
0.65
+
Accelerator (35%)
28.9%
×
Weight
0.35
=
Blended Yield
≈ 20.8%

🛡️ PLEX Guardrail Scorecard

Diversification
6+ strategies: Lev. CEF, CLO, BDC, mREIT, 0DTE, AI CC, Mag7 CC
Failure mode: concentration risk
Correlation
Target: <0.7 avg — 0DTE funds may cluster
Failure mode: correlated drawdowns
Max Drawdown
Elevated risk: 20-35% drawdowns possible
Failure mode: yield-chasing blowup
Yield Sustainability
~21% blended — AIPI/YMAG require monitoring for NAV erosion
Failure mode: distribution from return of capital
Volatility
Expected: 15-22% annualized — above comfort threshold
Failure mode: psychological holding difficulty
Holdings Count
12 holdings (target: 20-35 at portfolio level)
Failure mode: single-position risk or over-dilution
Sector Count
7+ sectors: Lev CEF, CLO, BDC, mREIT, 0DTE, AI, FANG+, R2K
Failure mode: hidden concentration
Category Allocation
65% Foundation / 35% Accelerator
Failure mode: drift to Cashflow-heavy

📊 Risk Profile

Expected Volatility
15–22%
Max Drawdown Range
20–35%
Recovery Profile
Slow

⚠️ Market Regime Behavior — Aggressive Portfolio

🟢 Bull Market
Capped upside from options selling. You collect premium but miss large rallies. Distributions stay high.
🔴 Bear Market
Full downside exposure. Leveraged CEFs and CLOs amplify losses. Premium collected partially offsets but doesn't protect.
🟡 Choppy / Sideways
Favorable for premium collection. This is where the strategy shines — high vol = fat premiums.
💥 Crash / Crisis
Sharp drawdowns. Distribution cuts possible on leveraged CEFs. 0DTE positions may gap through strikes.
Important: 0DTE covered-call ETFs (QDTE, XDTE, RDTE) launched in 2023-2024. They lack multi-cycle track records. Their behavior in a sustained bear market or liquidity crisis is untested. Size accordingly.

🚫 Do Not Buy List

These single-stock YieldMax ETFs are excluded from all Blueprint portfolios.

TSLY
NVDY
MSTY
CONY
APLY

Why? These single-stock covered-call ETFs advertise headline yields of 30-80%+, but the distribution primarily comes from return of capital (ROC) — meaning they're paying you back your own money. NAV decays over time, often dramatically. The "yield" is an illusion; total return is frequently negative. They concentrate risk in a single underlying stock with no diversification benefit. They are income traps, not income tools. If you see a yield that looks too good to be true on a single-name ETF, it almost certainly is.

Disclaimer

This document is not financial advice. It is an educational resource and community tool created for the Foundation Financial community. The model portfolios presented are sample allocations for discussion purposes only. All yields shown are approximate, based on trailing distributions, and subject to change. Past distributions do not guarantee future results. Investments in CEFs, BDCs, MLPs, REITs, and options-based ETFs carry significant risks including loss of principal, NAV erosion, leverage risk, interest rate risk, and liquidity risk. Always do your own research and consult a qualified financial advisor before making investment decisions.

Foundation Financial · Blueprint Portfolio Sample Pies · April 2026