For those wanting to grow their wealth here are three passive income stocks that I believe are worth considering as part of a well-balanced diversified portfolio.

Looking eastwards

Henderson Far East Income (LSE:HFEL) is an investment trust focusing exclusively on the Asia Pacific region. As of 31 August, its biggest exposures were to the IT sector (30.3% of asset value) and Hong Kong (25.9%).

Impressively, it’s raised its annual dividend for 18 consecutive years. Admittedly, the rate of increase has slowed recently but, over the past decade, it’s consistently offered a yield over twice that of the FTSE 250.

Future risks for its payout include another round of US tariffs and a regional economic slowdown. The future performance of the influential Chinese economy is also key.

Personally, I’m optimistic about the region’s prospects. It’s critical to the AI supply chain and there’s plenty of evidence to suggest that some of Asia’s stock markets are undervalued compared to others in the world.    

Blowing hot and cold

Another investment trust is Greencoat UK Wind (LSE:UKW). It operates 49 offshore and onshore wind farms with a capacity of 2GW.

Reductions in subsidies and higher interest rates appear to have led to a loss of investor confidence and badly affected its share price.

Indeed, with debt equivalent to 68% of its current market cap, it’s easy to see why the City has concerns over its vulnerability to increased borrowing costs.

However, it’s grown its payout for 12 years in a row. And it’s well covered by free cash flow. Its shares now trade at a 15% discount to the fund’s net asset value. This has helped push its yield close to double digits.

As long as the wind blows, it will generate revenue. And as the country transitions to net zero, it’s clearly operating in a growing market.

Supermarket Income REIT (LSE:SUPR) owns 131 large grocery stores in the UK and France, which it leases to blue-chip tenants under long-term arrangements.

Of concern, the UK commercial property market has a reputation for being cyclical. And with relatively large borrowings, higher interest rates could impact its earnings. Having said that, 98% of the cost of its debt is currently fixed until June 2028.

Positively, history is on its side. Since listing in 2007, it’s raised its payout every year. And during this period, it’s suffered no bad debts. It also enjoys 100% occupancy.

Crucially, as a real estate investment trust, it must return at least 90% of its earnings to shareholders via dividends. Otherwise, it loses its advantageous tax status. Generally speaking, this should help ensure that its dividend yield is higher than that of many other stocks.

Please note that tax treatment depends on the individual circumstances of each client and may be subject to change in future. The content in this article is provided for information purposes only. It is not intended to be, neither does it constitute, any form of tax advice.

What does this all mean?

The current (18 October) yield on these three stocks is 8.79%.

It means someone investing £10,000 today could earn £878 in dividends over the next 12 months. If the payouts received were reinvested for 30 years, the initial stake would grow to £124,874.

Alternatively, investing £250 a month could produce a portfolio worth £392,508 after three decades.   

Of course, dividends cannot be guaranteed. However, this example shows how income shares can be as effective as growth stocks when it comes to building long-term wealth. Fortunately, there are lots of other high-yielding shares on offer at the moment.

What income stock do we like better than Supermarket Income REIT Plc right now?

One of our Share Advisor analysts has just released a brand new stock report that we think is a must-read for any investor looking to try and generate potential income.

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No jargon. No hard sell. Just a clear look at an income share we think is worth your time.

James Beard owns shares in Supermarket Income REIT.