10% a year including dividend with low risk and long term? Don't...

10% a year including dividend with low risk and long term?

Don't worry about LIC's just use the STW or IOZ, both track the ASX200 and both pay dividends (~4% yield currently).

If you enrolled into their DRIP, including dividends you'd make 10% a year long term no worries. The index itself has done 10.9% annual growth since 1985, so if you include dividends you'd be roughly sitting between 13-17% annual return.

It really depends on your time-frame though, as these are LT only options, you need to invest regularly (dollar cost average) and reinvest dividends to see the full return.

There are also a range of different goaled funds, available through ETF's rather than LIC's which tend to give a better management fee (as there is a constitution which limits it to a % and is clearly published, its not performance based and the strategy outlines the shares usually, so you know what you're getting).

http://www.asx.com.au/products/etf/managed-funds-etp-product-list.htm

Also, as they appear as a stock, you can easily cash in/out and there is no minimum except for brokerage minimum (normally $500). This allows for greater flexibility and for you to have several funds in different proportions depending on how you feel the world outside is going without needing to get into the nitty-gritty of individual stock tracking.

just some thoughts hope it helps,