You can use a YubiKey for a portion of a master password. This is best used by manually typing "correct" and autocompleting the latter portion with plenty of entryop of the password/phrase "battery horse staple" from the key. This way, if someone steals the key, you've still got a secret.
You'll still need a password manager to store the unique passwords for your services.
https://www.yubico.com/support/knowledge-base/categories/art...
https://www.yubico.com/wp-content/uploads/2015/11/Yubico_Whi...
EDIT: Explanation