**Summary:**
I plan to draw down a building society loan of **€16,800** **without residential use** and invest specifically in **3 income-distributing ETFs**.
The aim is **cashflow-based repayment within approx. 24 months**, not buy & hold for 10 years.
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## 🏦 Financing (fixed)
* Loan amount: **16.800 €**
* Debit interest rate: **2,15 %**
* Term (formal): **10 years**
* Special repayment: **possible monthly at any time**
* Monthly interest charge: **≈ 30 €**
* Strategy: **Dividend income + special repayment**
*My goal repaid after 24 months loan
📊 Planned investment (debt capital)
**Equalized distribution: € 5,600 each**
1️⃣ **iShares World Equity High Income Active UCITS ETF**
ISIN: IE000KJPDY61 $WINC (+0 %)
→ Global equity income, high distribution (mainly quarterly)
2️⃣ **JPM Nasdaq Equity Premium Income Active UCITS ETF**
ISIN: IE000U9J8HX9 $JEPQ (-0,04 %)
→ Nasdaq exposure + option premiums, **monthly distribution**
3️⃣ **JPM Global Equity Premium Income Active UCITS ETF**
ISIN: IE0003UVYC20 $JEGP (+0,5 %)
→ Globally diversified + option strategy, **monthly distribution**
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💸 Expected cash flow (conservative)
* Total net dividends: **≈ 90-108€ / month**
* Interest covered: **yes**
* Pure repayment portion from distributions: **≈ 60-78€ / month**
* Additional repayment planned from own funds (dividends from the existing portfolio are diverted to repayment)
➡️ **Target:** Full repayment in **~24 months**, then cash flow free.
🧠 Risk classification (deliberately chosen)
* No margin, no Lombard
* Fixed interest rate < expected cash flow
* Income ETFs → limited upside, but predictable return
* Main risks:
* Reduction in distributions
* Sideways/downwards markets
* Option strategies limit price gains
💸 Cash flow side (income ETFs)
Conservative net distribution yield of the ETF basket:
≈ 6.5-7.0% net p. a.
corresponds to 650-700 basis points
➡️ Spread (yield - interest rate):
+435 to +485 basis points
🧠 Interpretation (for the community)
No classic growth lever
No price momentum required
Leverage based purely on carry
Comparable with:
conservative credit spread
structured income overlay
Yes, a savings plan on the Msci world could be in the portfolio after 2 years with a higher book value, but after 2 years I have one the shares in the 3 ETFs and monthly cash flow free
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## ❓ Open questions for the community
* How do you see the project?
* Is the **2.15% fixed interest rate** a justifiable "leverage" from your point of view?
* Would you set the weighting of the three ETFs differently?
* Am I overlooking a structural risk?
I am very happy to receive critical opinions.
The goal is not "get rich quick", but controlled cash flow with a quick payback
