Three High-Yield Income Stocks for Passive Income Investing in 2026

When it comes to building reliable passive income through investments, you don’t need to settle for the meager returns offered by broad market indices. The S&P 500 currently yields just 1.1%, which leaves significant room for improvement. Smart passive income investing strategies often focus on identifying specialized assets that generate substantially higher payouts while maintaining reasonable safety profiles. Three standout candidates that deliver on this promise are Enterprise Products Partners, Realty Income, and Brookfield Renewable Partners.

Comparing the Income Opportunities

The three stocks present compelling income profiles for investors seeking passive returns. Enterprise Products Partners offers a 6.5% distribution yield, positioning it as the highest payout among the trio. Realty Income follows with a solid 5.3% yield, while Brookfield Renewable Partners rounds out the selection at 5.2%. To put this in perspective, each of these distributions substantially exceeds what you’d receive from traditional dividend stocks, making them particularly attractive for those dedicated to passive income investing strategies.

Enterprise Products Partners: The Reliable Infrastructure Play

Enterprise Products Partners operates differently from typical energy companies. Rather than betting on commodity price movements, it functions as a “toll collector” within the energy infrastructure sector. The company charges fees for transporting oil and gas through its pipeline networks and related assets, which means its financial performance depends far more on utilization demand than on fluctuating energy prices.

This business model has proven remarkably durable. Enterprise has maintained an impressive 27-year track record of consecutive annual distribution increases—essentially its entire tenure as a public company. For passive income investors concerned about energy sector volatility, this track record provides meaningful reassurance. The well-supported 6.5% yield reflects the reliability of its underlying cash flows.

Realty Income: The Monthly Dividend Specialist

Realty Income has carved out a unique identity as a net lease real estate investment trust. As a net lease operator, the company’s tenants shoulder responsibility for most property-level expenses, which substantially reduces operational complexity and risk. This structural advantage translates into lower maintenance burdens and more predictable cash flows.

Beyond its operational model, Realty Income benefits from an investment-grade balance sheet that provides privileged access to capital markets. This funding advantage enables the company to pursue acquisitions more efficiently than competitors. The company’s commitment to shareholders is evident in its 30-year streak of annual dividend increases, a achievement so central to its identity that it has trademarked the phrase “The Monthly Dividend Company.” With a 5.3% dividend yield, passive income investing through this vehicle appeals even to the most conservative portfolio builders.

Brookfield Renewable Partners: Clean Energy with Global Reach

Brookfield Renewable Partners represents a different angle for passive income investing—exposure to the expanding clean energy sector. As one of the world’s largest renewable energy platforms, the company operates across multiple continents including North America, South America, Europe, and Asia. Its diversified technology portfolio encompasses hydroelectric, solar, wind, storage, and nuclear power generation.

While Brookfield has a shorter public history than its counterparts, its distribution growth trajectory has been consistent and impressive. Between 2015 and 2025, the company increased its distribution at a 6% compound annual rate, comfortably within management’s stated target range of 5% to 9%. For investors seeking to blend passive income investing with exposure to the energy transition, this 5.2% yielder deserves serious consideration.

Building a Diversified Income Strategy

The common thread connecting these three opportunities is their commitment to shareholders combined with underlying business reliability. Whether through infrastructure fees, real estate net lease arrangements, or renewable energy operations, each company generates predictable cash flows that support attractive distributions.

For passive income investing approaches that emphasize stability over speculation, this trio represents a meaningful upgrade from standard dividend stocks. Each has demonstrated its ability to maintain and grow payouts across multiple economic cycles, suggesting that today’s yield advantage may persist for years ahead. In an environment where yield remains scarce across broader markets, selective focus on these high-quality generators makes prudent sense for income-oriented investors.

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
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