The income stream tab can be found next to the performance tab in your comparison. Here, you can add scenarios to show your client the evolution of their portfolio with regular withdrawals or contributions.
Just like the performance graph, the Income Stream tab does not make previsions for the future, but simulations of the growth of an investment that would have been made a certain number of years ago. You can toggle the time period and the data in the graph will reflect the returns.
Base scenario
On CapIntel, the dividends are reinvested in the portfolio by default. There are two columns in the Calendar year section: Value Reinvested and Average Monthly Income. Since distributions are reinvested in this case, the Value Reinvested includes the distributions and the Average Income is equal to 0.
The next section, Source of Distributions, has no data since nothing has been collected.
To add a new scenario, click on the plus sign in the top left corner of the portfolio information. It will open a new tab for you to configure it.
You can choose the Type (1) to show a withdrawal or deposit, the Amount (2) in dollars or as a percentage, and the Frequency (3), as either Monthly or Yearly. If you choose to collect the distributions as a part of the income simulation, instead of reinvesting them, tick the Harvest all distributions box.
Harvesting distributions
Here is a scenario where only the distributions are collected.
In the Calendar Year section, the Avg. Monthly Income shows the value of the distributions collected monthly and the Value with Dist. shows the value of the portfolio at the end of the year, after the distribution collection.
In the Source of Distributions section, we can see that Principal is always equal to 0% and Distribution is 100%, since only distributions are collected, and the original value of the portfolio is left to grow.
Withdrawal
Here is a scenario with a yearly 8% withdrawal.
In the Calendar Year section, you can see in the Avg. Monthly Income column that a monthly income has been calculated based on the 8% collected yearly. This equals to the client withdrawing between $540 and $695 per month, depending on the calendar year.
The Source of Distributions sections shows where the money of the withdrawal comes from. For the year 2024, 42.31% of the $653.22 collected monthly came from the Principal, and 57.69% came from the Distribution.
Deposit
Here is a scenario with a monthly $200 deposit.
In the Calendar Year section, you can see that the Avg. Monthly Income is equal to 0, since there are no withdrawals, and the Value with Dist. column takes the deposit into account.
Since there is no withdrawal, the Source of Distributions section has no data in it.
The Graph
All the scenarios are shown in the graph, in dotted lines. If you hover over the lines, a tooltip will show you the different scenarios.