With average yields of 10%, these medium capitalization ftse actions could overcome a passive income portfolio

He Ftse 100 It is a safe bet when it comes to choosing actions, but rarely offers the best yields. To add a little 'thrust' to a passive income portfolio, it is worth deepening a little more.

Today, I have discovered two medium capitalization actions in the smallest indexes in the United Kingdom that could provide profitable yields.

But not only go to performance: both actions have an impressive return on heritage (ROE) and a profit price growth ratio (PEP) below one. This shows that they use their equity efficiently and have a good price in relation to the growth of profits.

We are going to immerse ourselves.

Polar capital

Polar capital (LSE: Polr) It looks like a small outfit on the face of things, with a market capitalization of only 400 million. But he is an important Fund Administrator in London headquarters with more than £ 23 billion in assets under administration (AUM). Not only that, its AUM has grown almost 10% in the last year, for a period in which many fund managers have experienced a reduced AUM.

A risk is that the fund is largely focused on medical care and technology, much of which obtains income from the United States. With new commercial rates instead, these actions may suffer, transmitting losses to polar capital.

Price performance may not seem so good at the beginning; Sucidate less than 10% in the last five years. But when it fits dividends, the full return of investment (ROI) increases to 57.23%. That is equivalent to an annualized yield of 9.86% per year, it is not bad!

Of course, there is no guarantee that performance continues. But annual dividends have increased by 80% in the last 10 years, which is promising. Currently 11.4%fleshy, its typically fluctuate dividend yield between 7%and 15%.

Twenty -four income fund

Twenty -four income fund (LSE: TFIF) is a relatively young investment company established in 2013 in Guernsey.

Its approach is in European values ​​backed by assets (ABS) with low liquidity and high yields. This strategy provides investors exposed to a fixed -income market segment that is often overlooked but potentially valuable.

Consequently, the fund maintains a high and stable yield between 9% and 10%. During the last decade, its final dividend has grown from 6.38PA 9.96Pa a rate of 3.4% per year.

However, the focus on asset -backed values ​​(ABS) and values ​​supported by mortgages (MBS) also adds a moderate risk level. Not only can they lack liquidity, but they are also sensitive to the quality of underlying loans. If the borrowers fail to comply, the income and capital of the fund could be affected. Reduced income can lead to dividend cuts.

As is common with dividend funds, the price of shares has enjoyed only moderate growth of 30% in the last five years. However, total yields reach almost 87% when they fit dividends, which is equivalent to annual yields of 13.3% per year.

Although the two previous actions have experienced historical losses due to market recessions, I think it is worth considering high and reliable dividends. For investors seeking to build a stable passive income flow, a reliable dividend history with constant growth is a key element to search.